The Department of Justice issued an opinion to the Equal Employment Opportunity Commission that found the commission’s guidelines about disparate-impact liability under Title VII of the Civil Rights Act are unconstitutional.The guidelines, according to the DOJ, pressured employers to engage in racial discrimination. By following the guidelines, employers could be held liable for unequal hiring and promotion outcomes without regard to the employer’s intent.
The opinion helps implement the “Restoring Equality of Opportunity and Meritocracy” executive order signed by President Donald Trump in April 2025.
“Despite trying to promote equality, EEOC’s disparate impact liability interpretation under Title VII actually fosters the very discrimination its guidelines seek to address. This opinion will now allow businesses to hire based on performance, restoring equal opportunities in the American workplace,” Acting Attorney General Todd Blanche said in a statement.
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