Civil Rights Act Turns 60: What the Milestone Means for SMBs

Today, employers know that their workplace must be free from discrimination and retaliation based on a variety of protected characteristics, but sixty years ago, there was no such requirement. In 1964, Congress passed the transformative Civil Rights Act, and its momentous impact continues to be felt in workplaces across the United States today. 

For employers, prohibiting discrimination and retaliation in the workplace isn’t only a requirement, it’s good business. The protections in Title VII are a foundation for employers when building a workplace culture of respect, equity and inclusiveness.

Title VII Explained

While the Act covered a broad range of areas including voting rights, public accommodations, desegregation, as well as prohibiting discrimination in federally assisted programs, Title VII continues to have the most significant impact on the workplace. In sum, Title VII prohibits discrimination by covered employers on the basis of color, race, religion, sex and national origin. Title VII also prohibits discrimination against an individual who associates with another person based on a protected characteristic. In addition, employers are also prohibited under Title VII from retaliating against individuals who assert their rights to be free from discrimination in the workplace.

Of the listed protected characteristics, the meaning of “sex” as a characteristic has continued to change within the workplace. Originally, the inclusion of “sex” to the list of protected categories was a last-minute addition designed to aid in the failure of the bill.  As a result, what Congress intended by “discrimination on the basis of sex” led to the Supreme Court weighing in on how this characteristic was protected in the workplace. The Court concluding incrementally over the years that discrimination because of sex included sexual harassment and hostile work environments, as well as discrimination based on sexual orientation, gender identity, and transgender status.

The Prodigy of Title VII in the Workplace

While Title VII caused a marked shift in the employment landscape, it left gaps in employment protections, and as a result, Congress has since passed additional workplace anti-discrimination laws. Title VII has been supplemented by laws such as the Age Discrimination in Employment Act (1967), the Pregnancy Discrimination Act (1978), the Americans with Disabilities Act (1990), and the Genetic Information Nondiscrimination Act (2008). Today, these laws make up the backbone of the employment protections at the federal level. 

Because Title VII applied to employers with 15 or more employees for 20 or more weeks per year, many states and local municipalities passed anti-discrimination laws that apply to employers in their state with fewer employees. States also added protected characteristics like marital or familial status, sexual orientation, caste, hair styles, and more to their prohibitions for workplace discrimination.

The Impact of Title VII on SMBs

Compliance

Employers who run afoul of these anti-discrimination laws are at risk for charges, litigation, and monetary damages, in addition to reputational damage. For small and medium-size businesses (SMBs), it is critical to understand which laws apply to their workplaces and what steps are available to help assess risk and mitigation strategies. Given the federal and state regulatory schemes, SMB leaders often rely on experts like TriNet to guide them through these challenges, so that they can focus on running their businesses.

Company Culture

SMBs are uniquely positioned to develop guiding principles in the workplace that expand upon the impact of 60 years of Title VII, and company culture is often what makes an SMB successful. Employers that prioritize having safe, inclusive, and appreciative workplace principles in their company culture reap the benefits through increased worker engagement, improvements in performance and productivity, and long-term success. 

Company leadership is essential to driving the ethical culture. Employees watch leadership very closely. Culture is the support and guidance for successfully operating in an ethical and compliant manner. When a company’s culture ignores the human side of their employees, a climate for prejudice or discrimination can quickly take root. Employees should be treated as people first, with inherent value and dignity. Developing an authentic company culture means listening to employees if they bring issues of policy violations or other ethical issues to HR or leadership. 

The workplace has come a long way in the last 60 years since the passage of the Civil Rights Act. When we embrace our differences, employers can have more positive employee experiences and higher performing businesses. From company culture to compliance, TriNet is ready to support your HR needs — connect with our experts today.

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