In the case of Firefighters Local Union No. 1784 v. Stotts et al., the U.S Supreme Court ruled that a federal district court could not enforce an affirmative action plan by protecting minority workers from layoffs, if such protection violated established seniority systems under collective bargaining agreements. The Memphis Fire Department had been sued for racial discrimination and agreed to an affirmative action plan to increase hiring and promotion of African American firefighters. However, when budget cuts required layoffs, the union argued that those with less seniority should be laid off first as per their agreement - many of whom were African Americans recently hired or promoted due to the affirmative action plan. A lower court sided with black firefighters but was overturned by the Supreme Court in a 5-4 decision stating that Title VII does not require deviation from a bona fide seniority system absent proof it was designed to discriminate.

In the dissenting opinion for Firefighters Local Union No. 1784 v. Stotts et al., Justice Blackmun, joined by Justices Brennan, Marshall and Stevens, argued that the majority's decision was a misinterpretation of Title VII of the Civil Rights Act and contradicted established precedent regarding affirmative action plans. The dissenters believed that layoffs which disproportionately affected minority workers could be seen as perpetuating past discrimination even if they were carried out according to seniority rules. They also disagreed with the majority's view that court-ordered relief should not disrupt an employer’s freedom to conduct business unless there is proof of intentional discrimination; instead, they felt it was enough to show a discriminatory impact on minorities due to employment practices or policies. Furthermore, they criticized the majority for overstepping its judicial role by making policy decisions about how best to remedy racial inequality in employment.