We are independent & ad-supported. We may earn a commission for purchases made through our links.

Advertiser Disclosure

Our website is an independent, advertising-supported platform. We provide our content free of charge to our readers, and to keep it that way, we rely on revenue generated through advertisements and affiliate partnerships. This means that when you click on certain links on our site and make a purchase, we may earn a commission. Learn more.

How We Make Money

We sustain our operations through affiliate commissions and advertising. If you click on an affiliate link and make a purchase, we may receive a commission from the merchant at no additional cost to you. We also display advertisements on our website, which help generate revenue to support our work and keep our content free for readers. Our editorial team operates independently from our advertising and affiliate partnerships to ensure that our content remains unbiased and focused on providing you with the best information and recommendations based on thorough research and honest evaluations. To remain transparent, we’ve provided a list of our current affiliate partners here.

What Is a Business Necessity?

Esther Ejim
By Esther Ejim
Updated May 16, 2024
Our promise to you
SmartCapitalMind is dedicated to creating trustworthy, high-quality content that always prioritizes transparency, integrity, and inclusivity above all else. Our ensure that our content creation and review process includes rigorous fact-checking, evidence-based, and continual updates to ensure accuracy and reliability.

Our Promise to you

Founded in 2002, our company has been a trusted resource for readers seeking informative and engaging content. Our dedication to quality remains unwavering—and will never change. We follow a strict editorial policy, ensuring that our content is authored by highly qualified professionals and edited by subject matter experts. This guarantees that everything we publish is objective, accurate, and trustworthy.

Over the years, we've refined our approach to cover a wide range of topics, providing readers with reliable and practical advice to enhance their knowledge and skills. That's why millions of readers turn to us each year. Join us in celebrating the joy of learning, guided by standards you can trust.

Editorial Standards

At SmartCapitalMind, we are committed to creating content that you can trust. Our editorial process is designed to ensure that every piece of content we publish is accurate, reliable, and informative.

Our team of experienced writers and editors follows a strict set of guidelines to ensure the highest quality content. We conduct thorough research, fact-check all information, and rely on credible sources to back up our claims. Our content is reviewed by subject matter experts to ensure accuracy and clarity.

We believe in transparency and maintain editorial independence from our advertisers. Our team does not receive direct compensation from advertisers, allowing us to create unbiased content that prioritizes your interests.

Business necessity is a rule that states any requirement from a job must have a direct bearing on the performance of the job. The aim is to prevent those employers who may seek to unnecessarily exclude qualified applicants based on frivolous job requirements. Employers are not allowed to discriminate against qualified job seekers for any purpose and in order to protect themselves, they may claim business necessity as the reason why they reject some applicants. An example is a company based in the US with a lot of Chinese customers looking for a receptionist. The company may disqualify many qualified applicants based on the fact that they do not speak the Chinese language. In this case, business necessity becomes a legitimate defense for its actions.

The question that arises in business necessity is its application by some unscrupulous employers who may hide behind the cloak of business application to discriminate against certain applicants. For instance, a company might unfairly discriminate against qualified immigrants who do not speak the English language fluently. To such employers, it would not matter that the immigrant possesses the skills and qualifications required of the job. So far as the immigrant does not fit into the corporate culture or image of the company, such a person will not be employed. A company that is looking for a security guard may disqualify all partially disabled applicants simply because it is looking for someone who is able to fulfill the requirements of the job.

Another area in which the use of business necessity may lead to the unfair rejection of applicants is in the hiring of qualified applicants with criminal records. Even if the applicant has become rehabilitated, most businesses find it very hard to hire anyone who has a criminal record. Once the company perform a background check and discovers the record, such an applicant may not stand the chance of obtaining gainful employment. Not only is this unfair, but it also makes it hard for such people to earn an honest living, which sometimes causes them to turn to a life of crime once more.

The claim of business necessity may also be invoked in a situation where a company hires a certain sex above another. For instance, a company that is involved in the entertainment industry, such as a casino, may only prefer to hire men in a limited number of positions. They may prefer to employ mainly attractive women to serve as hostesses, dealers at the blackjack tables, and other types of roles. This might be a ground for a discrimination lawsuit by women who do not meet their criteria or definition of attractiveness as well as by men who may feel marginalized.

SmartCapitalMind is dedicated to providing accurate and trustworthy information. We carefully select reputable sources and employ a rigorous fact-checking process to maintain the highest standards. To learn more about our commitment to accuracy, read our editorial process.

Discussion Comments

SmartCapitalMind, in your inbox

Our latest articles, guides, and more, delivered daily.

SmartCapitalMind, in your inbox

Our latest articles, guides, and more, delivered daily.