What is an equal opportunity employer?

Understand what defines an equal opportunity employer, including the legal obligations and protected characteristics that prevent workplace discrimination. Explore the role of the EEOC in enforcing these guidelines and exemptions for certain employers.

Douglas Wade, Attorney

By Douglas Wade, Attorney

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Table of Contents

1. Introduction

2. What Is an Equal Opportunity Employer?

3. What Characteristics Can an Equal Opportunity Employer Not Discriminate Against?

4. Why Do Employers Advertise Themselves as Equal Opportunity Employers?

5. Do Small Businesses Need to Worry About EEOC Guidelines?

6. What Is an Equal Opportunity Employer: A Summary

Introduction

What does it mean when a company refers to itself as an equal opportunity employer? It might be difficult to know what is required of equal opportunity employers and what the difference is between equal opportunity employers and normal businesses.

In this article, we will explain everything you need to know about equal opportunity employers and what equal opportunity employers can and cannot do.

What Is an Equal Opportunity Employer?

Since 1964, federal law has mandated that employers cannot discriminate against employees for protected characteristics. This means that American employers are legally obligated to be equal opportunity employers. There is an exception for religious organizations who, for practical purposes, are permitted to only employ people who share their religion.

As per federal law, the legal definition of an equal opportunity employer is:

“An employer that pledges to not discriminate against employees based on race, color, religion, sex, national origin, age, disability or genetic information.”

Equal opportunity employers are overseen by the EEOC. The EEOC doesn’t oversee small businesses that have fewer than 15 employees, so small businesses are an exception to equal opportunity employer laws.

What Characteristics Can an Equal Opportunity Employer Not Discriminate Against?

The EEOC is given the power to set anti-discrimination guidelines and investigate discrimination claims in the workplace. Equal opportunity employers cannot discriminate against employees on the basis of the following protected characteristics:

Age
Color
Disability
Genetic information
National origin
Pregnancy
Race
Religion
Sex (both gender identity and sexual orientation)

This applies to both current and prospective employees of an equal opportunity employer.

The earliest law for equal opportunity employers was the Civil Rights Act of 1964. Under that law, it was illegal to discriminate against employees on the basis of color, national origin, race, religion, or sex. The additional protected characteristics for equal opportunity employers listed above were added in subsequent laws.

Now that the EEOC oversees employment anti-discrimination laws, they are able to update regulations for equal opportunity employers to address areas of concern or nuances that are not adequately protected under law.

Why Do Employers Advertise Themselves as Equal Opportunity Employers?

If all employers are legally obligated to be equal opportunity employers, you may wonder why so many employers advertise themselves as equal opportunity employers?

Well, firstly, some of the employers who are exempt from the equal opportunity employers rules (either because of their size or because their business model is not overseen by the EEOC) may advertise themselves as equal opportunities to indicate that they are committed to non-discriminatory business practices.

However, employers who are bound by the EEOC guidelines and federal laws will often advertise themselves as equal opportunity employers. There may be many reasons for that. Usually, these employers want to communicate to prospective employees their commitment to diversity and inclusion. They want to reassure job applicants from minority groups that they won’t face discrimination during the hiring process.

Do Small Businesses Need to Worry About EEOC Guidelines?

Small businesses don’t technically need to worry about being an equal opportunity employer, but they should consider their long-term growth plan. Once they start hiring more employees, they may want to consider if they are likely to grow to 15 or more employees in the future. If they do, they will need to follow EEOC guidelines and federal anti-discrimination laws.

As small businesses grow, it might be worth working with an HR professional to start introducing the necessary framework for becoming an equal opportunity employer. This will make it a lot easier when they do reach 15 employees because the necessary arrangements are already in place.

What Is an Equal Opportunity Employer: A Summary

In short, an equal opportunity employer is an employer that does not discriminate on the basis of age, color, disability, genetic information, national origin, pregnancy, race, religion, sex (both gender identity, sexual orientation). This means that employees at these equal opportunity employers cannot be passed over for a promotion, project, or otherwise discriminated against on the basis of the listed characteristics. An equal opportunity employer also cannot discriminate against prospective employees on the basis of those characteristics. The EEOC provides guidelines to help equal opportunity employers understand how they can update their policies and practices to ensure that discrimination doesn’t occur, either intentionally or unintentionally.

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