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Unintended Consequences: Allowing the Unemployed to Sue Would Destroy Jobs

Abstract: With a high unemployment rate and a struggling economy, passing legislation that discourages job creation would seem counterintuitive. And yet, by pushing for the Fair Empolyment Opportunity Act (FEOA) this is precisely what President Obama and some Members of Congress propose. The FEOA would define the currently unemployed as a “protected class," and allow them to sue for discrimination in hiring. Little evidence exists that employers dsicriminate against the unemployed.

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