With employees playing a key role in the success of the company in the knowledge industry, following fair practices in the company is necessary. Amicable team effort and a cordial environment are necessary for the smooth flow of operations. A high quality work culture has immense power in attracting and retaining expertise within the organisation. Companies follow a non-discriminatory policy for the victory of the entity derived through team effort.

Equality of opportunity is one of the basic rules pursued by the companies. The management promises its employees an environment free of discrimination. Every individual in the organisation is given equal opportunity to grow and develop within the entity. Each individual has the same probability to rise up in the career ladder. The management support for individual development should be free from any discrimination based on sex, religion, education, background, etc. The employer promises tolerance in the recruitment process wherein the employee selection will be based purely on the merit of the individual. The compensation policies of the company will be free from bias and will be based on the individual capabilities. Favouritism should not be given room in the organisation if team work should aim at the achievement of the organisational objectives. The employee promotion should be based on the past achievements of the candidate which can be analysed using various tools of employee assessment like performance appraisal rating system. A rise in the career ladder based on merit induces the employees to put in better efforts, resulting in higher profitability.

The employer also promises the employees through the non-discriminatory policy to show utmost respect to the individual, his actions and opinions. The reverence can be revealed by giving the employees freedom to express their opinions and giving it due consideration. Exploiting employee private data for the personal gain of the company amounts to employee discrimination. Privacy of the employees should be given due respect. For instance, physical ill health should not become a barrier for the career development of an employee. AIDS awareness program were undertaken by companies to prevent a hostile treatment to employees afflicted with AIDS.

Sexual harassment is a common discrimination seen in business entities. The gender of the person should by no means come in the way when making decisions. The instances of where the women get sexually harassed in the business houses are showing an upward swing. If the company fails to keep vigilance over the employee policies, the working environment can become hostile, impacting the profitability of the concern.

Companies generally follow an open environment where the employees are given the liberty to speak about the discriminatory behaviour experienced by them within the entity. . This provides the platform to the management to take the required measure to prevent its recurrence, thereby creating a brand image of being the good employer in the market. Redress forums are a prerequisite for every organisation to direct the activities through the positive channel. For example, Satyam Computers have a Grievance Redress Body where the employee can send a mail complaining about employee discrimination. Such forums help the companies in overcoming employee discriminations within the entity.

Employee discrimination is harmful as it can reduce the amount of faith the employees has on the company, visible through poor performance, thereby having an impact on business wealth.