Businesses are NOT ALLOWED to give or use placement tests that flunk a disproportionate number of minority test takers (have "disparate impact"). The Supreme Court case on this was Griggs V Duke Power (1971)
Prior to this, companies could hire smart people out of high school. Now they have to use a college degree as an (expensive to the applicant) indicator of basic literacy.
We have to get rid of the EEOC and its enabling legislation.
Duke power was using IQ tests and it was found that some whites working at the firm didn’t place high on the test nor were working as well as blacks, who while they didn’t place high on the test could do a superior job never the less.
Plenty of places use placement tests...you’ve heard of civil service exams or written exams one takes to be able to become firemen or go to police school...right? Many nursing jobs, as part of the application process might require simple calculations tests.
The key is, they can’t be written in such a way that excludes minirities unfairly.