To be an equal opportunity employer, federal employment discrimination law and state-specific legislation must be understood and complied with, especially in today’s world where employment discrimination is a topic continuously at the forefront of legislative change.
Here are the most important things that every employer should know regarding federal discrimination laws.
Discrimination laws prohibit qualified employers from discriminating against any applicant or employee in any way, including:
Since the 1960s, there have been several federal labor laws in place to prevent employment discrimination. All of these were created to protect both employees and employers from the many different forms of discrimination.
To assist in the priority of achieving the EEOC’s vision of fair and inclusive workplaces, the EEOC has refined its Strategic Enforcement Plan (SEP) to take place from 2024 to 2028 in order to combat employment discrimination, promote inclusive workplaces, and respond to the national call for racial and economic justice.
The newly refined SEP is set to address the following:
This includes:
This is to encompass efforts to tackle policies and practices that restrict access, due to protected status, to on-the-job training, pre-apprenticeship or apprenticeship programs, temp-to-hire positions, internships, or other job training or advancement opportunities.
This involves leveraging artificial intelligence or machine learning algorithms to direct job advertisements, attract applicants, and facilitate or directly influence hiring and other employment-related decisions, practices, or policies. This effort is meant to further ensure fairness and equity throughout these processes, thereby enhancing efficiency and effectiveness while promoting inclusivity and eliminating bias.
In order to further address issues such as employment discrimination, promote more inclusive workplaces, and respond to the national call for racial and economic justice, the EEOC is putting priority toward, and addressing emerging issues such as:
This ensures better access to the legal system and to legal action by examining and addressing excessively broad waivers, releases, non-disclosure agreements, or non-disparagement agreements.
To ensure that the EEOC is achieving its goals regarding the SEP for 2024 to 2028, program offices will present progress reports to the Commission during semi-annual briefings.
The three offices consist of:
The Equal Employment Opportunity Commission (EEOC) is a federal agency that protects civil rights by administering and enforcing employment discrimination laws. The EEOC is the main line of defense against discrimination in the workplace. Created by the Civil Rights Act of 1964, the EEOC began in 1965 and is still operating today.
The EEOC consists of five members, who are appointed by the president of the United States along with input and approval from the Senate.
The EEO-1 Survey is a mandatory annual report collected by the EEOC, which is required from all private-sector employers with 100 or more employees and federal contractors with 50 or more employees meeting certain criteria. These employers must submit demographic data across their employees, which includes data by race / ethnicity, sex, and job categories. Most HR software comes with standard EEO-1 reports employers can use to fulfill this requirement.
For employers who fail to file their EEO-1 survey or report, the EEOC may seek a court order requiring these non-compliant employers to file the report. Employers who intentionally file false EEO-1 data and summaries may incur fines or even jail time.
The EEO-1 reporting window for 2023 opened on April 30th, 2024. The deadline to file 2023 EEO-1 reports was June 4th, 2024.
Employers should take a look at the updated 2023 EEO-1 Component 1 Data File Upload Specifications for filers.
There are three other types of EEO Data Collection, that each apply to specific types of businesses. They include the following:
Businesses do not need to submit more than one report. If none of the above-listed reports apply to your business, then you should submit the EEO-1 Report. However, if any of the above reports DO apply to your business, then you should submit these in place of the EEO-1 report.
On October 19, 2022, The EEOC released a new poster that employers are required to display, called the "Know Your Rights: Workplace Discrimination is Illegal" Poster. This poster updates and replaces the previous “EEO is the Law” poster.
The poster should be placed in a conspicuous, easily accessible location in the workplace where other notices are typically posted.
With the creation of the Pregnant Workers Fairness Act (PWFA), which went into effect June 27, 2023, employers will need to ensure that their "Know Your Rights: Workplace Discrimination is Illegal" Poster is up to date.
Employers can find the date of their poster in the bottom right corner. Anything not dated after June 27th may very well be out of date.
This is why something such as a labor law poster service can be vital to employers. In the instance of the PWFA, employers using such a service would have received the posting update as soon as it became available.
In 2022, the following update was made to EEO legislation:
In addition to the legislative updates, a new poster was announced which included a QR code with a link to file an EEO complaint, as well as an updated format using plain language and bulleted format.
There are two civil rights acts that make up the foundation of anti-discrimination laws in the United States. Without the Civil Rights Act of 1964 in particular, anti-discrimination would almost be nonexistent. The civil rights act stemmed from the Equal Pay Act of 1963, one of the first employment discrimination laws made.
The Equal Pay Act of 1963 prohibits sex-based wage discrimination between men and women in the same establishment who perform jobs that require substantially equal skill, effort, and responsibility under similar working conditions.
The Equal Pay Act prohibited sex discrimination in the workplace in terms of employee compensation.
Update 10/19/22: Sex discrimination includes discrimination based on pregnancy and related conditions, sexual orientation, or gender identity.
No employer shall discriminate between employees on the basis of sex. This applies to employees of opposite sexes when the work being done is viewed as a composite of skill, effort, and responsibility. Work must also be done under similar conditions.
When there is a differential in pay between employees of the opposite sex, the employer must demonstrate the difference in pay is due to another bonafide factor other than sex. Some of these reasons that are acceptable are:
The Lily Ledbetter Fair Pay Act of 2009 lifted the severe restriction on the time period for filing complaints of employment discrimination concerning compensation.
Discrimination charges can now be filed within 180 days of the discriminatory pay thanks to the act. The law also now states that each discriminatory paycheck that an employee receives, be treated as its own instance of discrimination.
Title VII of the Civil Rights Act of 1964 prohibits employment discrimination based on a person's race, color, religion, sex, sexual orientation, or national origin (known as protected classes) and applies to employers who have at least 15 employees.
In 1978, the Pregnancy Discrimination Act was passed, adding pregnancy, childbirth, or other related conditions to the list of protected classes. This added to the protection of sex discrimination in the workplace.
Title VII is possibly the most important federal discrimination law that there is.
Under this discrimination law, an employer can't refuse to hire, promote, or terminate an employee, based on their color, race, religion, sex, sexual orientation, or national origin. An employer may also not segregate employees in a way that would affect their employment opportunities or employee status based on those same traits.
Employers are also prohibited from using these traits to help determine things like pay, fringe benefits, retirement plans, or disability leave. Employers may not harass employees or applicants because of these traits either.
In addition to typical employers, Title VII also applies to employment agencies and labor organizations.
Employment agencies may not refuse to refer a candidate for employment or in any other way discriminates against a candidate based on their, color, race, religion, sex, sexual orientation, or national origin.
Labor organizations may not refuse to give, or expel an employee from membership or in any other way discriminates against a candidate based on their color, race, religion, sex, sexual orientation, or national origin.
The Civil Rights Act of 1991 amended Title VII by providing monetary damages to plaintiffs (employees who sue for unlawful discrimination practice) for intentional employment discrimination. An employee may recover punitive damages from an employer if the employee demonstrates that the employer engaged in a discriminatory practice and violated one of the several federal discrimination laws.
Before damages are awarded it must first be determined that the discrimination is not only intentional but must also cause:
The amount of punitive damages awarded to plaintiffs are as follows:
Employers must have an EEOC-approved poster that includes, at the very least, summaries of the pertinent provisions set forth by this law. The poster must be in an easily accessible and viewable place, on the work premises, and on every premise where work is performed.
All-in-one federal and state labor law posters are an easy way to address these notice requirements and all the other posting requirements listed throughout the article, especially with a labor law poster subscription service.
Since the Civil Rights Act of 1964, there have been many laws that have expanded the protections under anti-discrimination laws.
The Age Discrimination in Employment Act of 1967 (ADEA) protects employees ages 40 years and older from discrimination based on their age in hiring, promotion, termination, compensation, terms, conditions, or privileges of employment. The ADEA applies to employers with 20 or more employees.
An employer may not refuse to hire or terminate an employee or in any other way discriminate against an employee because of their age in regards to:
An employer may also not segregate or classify employees by age in which doing so would deprive or tend to deprive any individual of employment opportunities.
Cutting wages in order to comply with this discrimination law is also prohibited. Meaning if there is an illegal discrepancy in compensation, the party being paid less must be given a raise to make compensation equal.
Like the previous act, this discrimination law also applies to employment agencies and labor organizations.
An employment agency may not refuse to refer a candidate for employment or in any other way discriminate against a candidate based on their age. A labor organization may not refuse to give or expel an employee from membership or in any other way discriminate against a candidate based on their age.
No employer, employment agency, or labor organization may retaliate or discriminate against any employee who opposes an unlawful practice.
Employers must have a poster that includes, at the very least, summaries of the pertinent provisions set forth by this law. The poster must be in an easily accessible and viewable place, on the work premises, and on every premise where work is performed. It must be EEOC approved like these labor law posters.
Laws preventing discrimination against disabilities started with the Rehabilitation Act of 1973. This law protected employees and applicants with disabilities against discrimination in the federal government sector.
Since then, there have been several laws that address discrimination against employees and applicants with disabilities. Most notable are Title I and V of the Americans with Disabilities Act of 1990, or simply the Americans with Disabilities Act (ADA).
The Americans with Disabilities Act, which is commonly referred to as the acronym ADA, prohibits private employers, state and local governments, unions, and employment agencies from discriminating against disabled individuals in virtually any aspect of employment from application to termination.
This law is the proverbial legislative backbone that guarantees the protection of Americans with disabilities against discrimination.
In 2008, the Americans with Disabilities Act, Amendments Act (ADAAA) was passed. It emphasized and expanded the definition of disability. Now, a person with a disability is defined as an individual who:
Major life activities are placed into two categories - general major life activities and major bodily functions.
General Major Life Activities:
Major Bodily Functions:
Impairments can not be transitory. This means that they can not be temporary (which is an actual or expected duration of 6 months or less).
No employer, who is covered under this federal discrimination law, may discriminate against an employee or applicant on the basis of disability in regards to:
For more information regarding disability discrimination in a construction setting, see the EEOC’s website.
Under the ADA, employers who have 15 or more employees are usually required to provide reasonable accommodations to employees with disabilities.
These accommodations may include:
An appropriate defense would be a case where the discrimination of an employee or a candidate with a disability, is job-related and consistent with business necessity. Such performance must also not be accomplishable by reasonable accommodation.
This federal discrimination law does not apply to religious corporations, associations, or schools that give preferential treatment to individuals of a particular religion; or require that employees and applicants be of a particular religion.
A qualified individual with a disability also does not include an employee or applicant who currently engages in the use of illegal drugs or substances.
Employers must have a poster that includes, at the very least, summaries of the pertinent provisions set forth by this law. The poster must be in an easily accessible and viewable place, on the work premises, and on every premise where work is performed. It must be EEOC approved but can be part of an all-inclusive labor law poster or labor law poster subscription service.
There are also laws that pertain to protections against discriminating against employees and applicants because of genetic traits and information. These laws cover discrimination, harassment, the confidentiality of genetic information, and the acquisition of genetic information.
Title II of the Genetic Information Nondiscrimination Act of 2008 prohibits employment discrimination based on genetic information. GINA prohibits the use of genetic information in making employment decisions and restricts employers from requesting, requiring, or purchasing genetic information. The discrimination law also strictly limits the disclosure of genetic information.
The definition of genetic information under this discrimination law includes information about an employee’s and their family’s genetic tests. It also includes information regarding disease and disorders in the family genetic history (also known as family medical history).
The definition also includes:
Protections for genetic information discrimination pertain to two different categories - discrimination and harassment.
GINA Discrimination Rules & Provisions
An employer may not use genetic information to make an employment decision because that information is not relevant to an employee’s capability to work.
The law forbids discrimination on the basis of genetic information when it comes to:
GINA Harassment Rules & Provisions
Employers, nor employees may harass a person because of his or her genetic information. An example of harassment would be making offensive or derogatory marks towards a person as a result of their, or a family member’s genetic information. However, teasing and such is not considered harassment by default.
Harassment becomes illegal when it is so severe or pervasive that it creates a hostile or offensive work environment. It also becomes illegal when it results in an adverse employment decision.
A harasser can be a supervisor, a co-worker, or someone who is not an employee, such as a client or customer.
Typically, it is illegal for a covered entity to obtain genetic information.
Exceptions can include:
It is also illegal to disclose genetic information about applicants, employees, or members. This information must be kept confidential and in a separate medical file.
An exception to this is the disclosure of relevant genetic information to government officials investigating compliance with Title II of GINA and for disclosures made pursuant to a court order is permitted.
Employers must have a poster that includes, at the very least, summaries of the pertinent provisions set forth by this law. The poster must be in an easily accessible and viewable place, on the work premises, and on every premise where work is performed. It must be EEOC approved, but can be part of an all-inclusive labor law poster or labor law poster subscription service.
There are also discrimination laws in place to protect pregnant women as well as nursing mothers in the workplace.
On December 29, 2022, President Biden signed the Consolidated Appropriations Act, 2023 into law. This included the PUMP for Nursing Mothers Act (“PUMP Act”).
The new law extends coverage to more nursing employees the rights to receive break time to pump and a private place to pump at work. Now, nearly all FLSA-covered employees have the right to take the needed time and to access an appropriate space to express breast milk for a nursing child (up to one year after child birth).
Important to note is that employers with fewer than 50 employees are not subject to the FLSA break time and space requirements if compliance with the provision would impose an undue hardship. Businesses should be aware of any state or local laws, however, that may extend coverage further.
The Pregnant Workers Fairness Act (PWFA) went into effect on June 27, 2023. While there are other laws that protect pregnant employees from discrimination due to the basis of pregnancy, childbirth, or related medical conditions, the PWFA requires certain reasonable accommodations to be made. It is still enforced by the EEOC.
Under the new law, covered employers must offer special accommodations for pregnant workers regarding known limitations related to pregnancy, childbirth, or related medical conditions, unless the accommodation will cause the employer an “undue hardship.”
Employers will want to make sure that their discrimination posters are up to date and cover this new legislation.
All private and public sector employers are covered by PWFA. This includes Congress, Federal agencies, employment agencies, and labor organizations.
Employers are required to provide reasonable accommodations unless they would cause an “undue hardship” on the employer’s operations. This would mean that reasonable accommodation would mean significant difficulty or expense for the employer.
While reasonable accommodation under the law is defined as "changes to the work environment or the way things are usually done at work", examples outlined by the legislation include but are not limited to, the ability to:
Under the PWFA, there are some other provisions and employer requirements to be aware of.
Employers may not:
Under EEOC guidelines, employers are prohibited from retaliating (punishing) an applicant or employee who brings forth a complaint of discrimination.
The EEOC handles all charges of retaliation. An instance of retaliation from an employer can include the following:
For employers who are guilty of discrimination, the goal of anti-discrimination law is to make the employee whole. Meaning to place the employee in the same or nearly the same position they would be in, had the discrimination not occurred. What type of relief the employee receives depends on the discriminatory action and its effect on the plaintiff. Victims of discrimination may recover attorney's fees, expert witness fees, and court costs.
Federal discrimination laws have a long history. Since 1964 there have been various changes to such laws. Employers should acquaint themselves and their HR departments with the various laws to ensure compliance.
The best way to start ensuring compliance is by seeking help from an experienced payroll and HR company.