What is an example of disparate impact?

An example of disparate impact is a hiring practice that requires all applicants to pass a standardized test that unintentionally disadvantages a specific racial or ethnic group. For instance, if the test is found to be more challenging for candidates from a certain background, resulting in significantly lower pass rates for them compared to other groups, this could lead to fewer job opportunities for those individuals. Even if the test is applied equally to all applicants, the outcome may disproportionately affect one group, highlighting a potential issue of discrimination.