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Last month, we discussed the fact that the Supreme Court has granted certiorari in a case involving Gavin Grimm, a transgender student in Virginia, and his attempt to use men's restrooms and locker-room facilities in his school district. The critical issue in the case involves the U.S. Department of Education's (DOE) interpretation of a federal prohibition on sex discrimination in schools. The DOE concluded that the term “sex” includes gender identity and sexual orientation, initially permitting Grimm the access he desired. After his county school board implemented a policy in direct contrast to the DOE's interpretation, Grimm filed suit in district court, challenging the policy. The case was dismissed, and subsequently appealed by Grimm to the U.S. Court of Appeals for the Fourth Circuit. In G.G. ex rel. Grimm v. Gloucester Cty. Sch. Bd., 822 F.3d 709 (4th Cir. 2016), the Fourth Circuit, giving deference to the DOE's interpretation of federal regulations, overruled the district court's dismissal, and upheld the DOE's interpretation of the meaning of “sex.”
The Supreme Court's decision in this case, Gloucester County School Board v. G.G., is likely to have a significant impact on federal workplace discrimination laws, despite the fact that the case does not implicate the employment relationship, or involve employment law. The Religious Freedom Restoration Act of 1993, 42 U.S.C.A. § 2000bb–1(b), may also impact the future of LGBTQ workplace rights. If case law is still largely unsettled as to whether sexual orientation and gender identity are protected under the umbrella of “sex,” can religious freedoms be asserted as a reason to deny employment on the basis of LGBTQ status? In EEOC v. R.G. & G.R. Harris Funeral Homes, Inc., No. 14-cv-13710-SFC-DRG (E.D. MI filed 08/18/16), a district court in Michigan recently relied on another, more recent Supreme Court decision, Burwell v. Hobby Lobby Stores, Inc., 134 S. Ct. 2751, 189 L. Ed. 2d 675 (2014), to hold that an employer can terminate a transgender employee using religious freedoms as a valid legal justification. Some state legislatures are also attempting to use Hobby Lobby as a jumping-off point to enact religious freedom laws that might very well implicate the LGBTQ community in that same way. See http://bit.ly/2hlMQeG.
The Gloucester Decision
It is against this backdrop that the Supreme Court's decision in the Gloucester case takes on critical importance, and will provide the most obvious guidepost for where the courts are headed on this important legal issue. Gloucester is more than a bathroom access case. In order to determine whether the DOE could properly compel the Gloucester County School Board to permit restroom access based upon sexual identity or transgender status, the Supreme Court will necessarily have to determine whether the term “sex” under a federal anti-discrimination law extends to the LGBTQ community.
Thus, the term “sex” is likely to be analyzed under all theories promulgated, including the theory put forth by the EEOC in Scott Medical and Pallet Companies that, by definition, “sex” is inclusive of sexual orientation and transgender status. Neither Title VII, the workplace, nor the employer-employee relationship is involved in the Gloucester case. Yet, it is likely to be the case that will have the single most important impact on LGBTQ workplace rights in 2017.
What Can and Should Employers Do?
With the Supreme Court's 2015 decision in Obergefell v. Hodges, 135 S. Ct. 2584, 192 L. Ed. 2d 609 (2015), which rejected the constitutionality of laws banning same-sex marriage, it seemed inevitable that at some point in the not-too-distant future, federal employment anti-discrimination law would expand to include the LGBTQ community. The inevitability of expansion may have changed in the current political climate, however, so what is an employer to do in the midst of this evolving but uncertain landscape?
Conclusion
Employment lawyers and other workplace professionals will be paying close attention this spring waiting for the Supreme Court's decision in this important and, perhaps, transformative case. It is unlikely that the Court will come right out and state that “sex” under Title VII includes the LGBTQ community, given the Supreme Court's penchant for narrow rulings and limited interpretation. What is more likely is a decision that will continue to fuel the debate over LGBTQ workplace rights, and possibly provide more clarity as to whether it is the judicial or legislative branch that will fully address the meaning of “sex” under Title VII.
***** Christopher A. D'Angelo is a Partner with Michelman & Robinson, LLP's New York City office, and represents management in employment law disputes, including litigation. The assistance of Jonathan Goeringer, an associate at the firm, in preparing this article is greatly appreciated.
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