Earlier quoted context omitted.
What if the company is based in northern Alaska? What if work hours are 2000-0400? It's hard to make out a disparate impact claim to begin with. Doing so on the basis that you don't like the living arrangements would seem impossible. What limiting principle would the courts apply that wouldn't result in legal liability for every company that doesn't allow employees to telecommute?
It's funny you bring that up: employers need to be careful about asking where employees live, out of concern of giving the impression that a candidate's selection depends on where they live or are willing to live. You can ask "can you arrive at the job site reliably every day at 8:45AM", but you cannot safely ask "do you live in the Chicago metro area". In practice, people do casually ask where candidates live (usual…
I don't understand - what does the "norm" have to do with anything? Are you asserting that some underlying legal principle demands that all employers stay within spitting distance of the average?
If not, I don't see how this policy would even fall within some sort of disparate impact theory. As far as I know, disparate impact lawsuits apply to selection processes. I.e. if the employer hires fewer members of a protected class, a process is bad. But if fewer members of a protected class accept job offers, that doesn't fit into disparate impact.