In economic downturns, companies may undertake a reduction in the size of their
In economic downturns, companies may undertake a reduction in the size of their workforce by laying off employees. Federal law requires that employees be treated the same regardless of age, with employees over the age of 40 in a protected class. Allegations of discrimination often center on a comparison of the treatment of employees above and below the age of 40. Below is the data for a round of lay-offs at one company:
Laid Off-----Not Over 40-----Over 40
Yes-------------10------------------42
NoOver------519----------------750
One part of the procedure for conducting a hypothesis test to decide if there is evidence of discrimination is to determine the expected cells counts for each table entry, under the assumption that there is no difference. Determine the expected counts, and fill them in below.
Expected Counts
Laid Off-- Not over 40--- Over 40
Yes
11 years ago
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