Question

While testing a division's compliance with company affirmative-action policies, an auditor found that

1. 5% of the employees are from minority groups.
2.No one from a minority group has been hired in the past year.

The most appropriate conclusion for the auditor to reach is that


A. Insufficient evidence exists of compliance with affirmative-action policies.
B. The division is violating the company's policies.
C. The company's policies cannot be audited and hence cannot be enforced.
D. With 5% of its employees from minority groups, the division is effectively complying.

Answer 1

The auditor should conclude that there is insufficient evidence of compliance with affirmative-action policies due to the lack of minority hiring within the past year, despite a 5% minority representation in employees.

Step-by-step explanation:

Given the information that only 5% of the employees are from minority groups and no one from a minority group has been hired in the past year, the most appropriate conclusion for the auditor would be A. Insufficient evidence exists of compliance with affirmative-action policies. While a 5% minority representation in the company could be aligned with some affirmative action standards, the lack of hiring from minority groups in the past year raises questions about ongoing compliance with affirmative action efforts to promote workforce diversity. Affirmative action policies require more than a static representation; they necessitate continuous and active efforts to recruit and consider diversity when making employment decisions.