DEFINITION of 'Direct Cost'. A price that can be completely attributed to the production of specific goods or services. Direct costs refer to materials, labor and expenses related to the production of a product.REAKING DOWN 'Direct Cost'. For example, the cost of meat in a hamburger can be attributed directly to the cost of manufacturing that product, as could the cost of packaging materials and preservatives. These are considered variable costs that are inconsistent and change amounts often.
Pregnancy Discrimination Act. To amend Title VII of the Civil Rights Act of 1964 to prohibit sex discrimination on the basis of pregnancy.
In order to make out a case of pregnancy discrimination, an employee must initially show that: 1. the employee or his spouse was pregnant; 2. the employee was qualified for her job; 3. the employee was subjected to an adverse employment decision; and. 4. there is a relationship between the pregnancy and the adverse employment decision. If the employee establishes all four factors set out above, the employer must articulate a legitimate, non-discriminatory reason for its actions in order to escape liability for damages.