The Department of Justice is now squarely at odds with the Equal Employment Opportunities Commission over whether Title VII’s prohibition on sex discrimination also applies to discrimination against transgender employees. Specifically, in EEOC v. R.G. & G.R. Harris Funeral Homes, Inc., the EEOC had filed suit against a funeral home for terminating a transgender funeral director (who was born a male) after she informed the owner that she intended to transition from male to female, and would thus proceed to dress as a woman at work. The funeral home’s basis for terminating the employee was that her decision to dress as a woman at work violated its dress code policy, which required male employees to wear suits and ties, and female employees to wear skirts and business jackets. The EEOC asserted that the funeral home’s decision violated Title VII’s prohibition against discrimination on the basis of “sex,” because its decision was based on her failure to conform to sex stereotypes or, alternatively, that terminating someone for being transgender or “transitioning from male to female,” itself, qualifies as sex discrimination under Title VII. Ultimately, the Sixth Circuit Court of Appeals agreed, and on March 7, 2018, held that discrimination on the basis of transgender or transitioning status amounts to unlawful sex discrimination under Title VII.
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