30 Jul Federal Court Vacates EEOC Guidance

On May 15, 2025, the U.S. District Court for the Northern District of Texas ruled that the U.S. Equal Employment Opportunity Commission (EEOC) exceeded its authority back in April 2024 when the agency issued updated Enforcement Guidance on Harassment in the Workplace that expanded the definition of “sex” to include “sexual orientation” and “gender identity.”

In its ruling, the Texas District Court vacated certain elements of this updated guidance, including:

• All language defining “sex” in Title VII of the Civil Rights Act (Title VII) to include “sexual orientation” and “gender identity”
• The entire section of the updated guidance outlining harassment based on sexual orientation and gender identity
• The example that states misgendering an employee may constitute a hostile work environment
• All language defining “sexual orientation” and “gender identity” as protected classes under Title VII

All other portions of the updated guidance remain in effect. Although the Texas ruling affects how the EEOC may evaluate claims of harassment at the federal level, the Supreme Court’s 2020 decision in Bostock v. Clayton County still prohibits employment discrimination based on sexual orientation and gender identity. In addition, employers may be subject to prohibitions on sexual orientation and gender identity harassment and discrimination under state and federal laws. Therefore, employers should continue to ensure compliance with all relevant discrimination and harassment laws and guidance.