Understanding Employment Discrimination Laws in Michigan

Employment discrimination is a serious issue that can lead to legal liability, financial losses, and reputational harm for businesses. In Michigan, both federal and state laws protect employees from discrimination based on various protected characteristics. Business owners must understand these laws to create a fair and inclusive workplace while ensuring compliance with legal requirements.

This guide explains Michigan’s employment discrimination laws, outlines the differences between federal and state protections, and provides actionable steps for business owners to prevent discrimination in the workplace.

What is Employment Discrimination?

Employment discrimination occurs when an employer treats an employee or job applicant unfairly because of a legally protected characteristic. Federal and state laws prohibit discrimination based on factors such as race, color, religion, sex, national origin, age, disability, marital status, and other personal attributes.

Discrimination can occur at any stage of employment and may take several forms, including:

Hiring discrimination – Refusing to hire a candidate based on a protected characteristic.
Wrongful termination – Firing an employee because of their race, gender, age, disability, or another protected status.
Unequal pay – Paying employees differently for the same work based on sex or other protected characteristics.
Denial of promotions – Overlooking an employee for advancement due to discriminatory reasons.
Harassment – Creating a hostile work environment through offensive jokes, slurs, intimidation, or other conduct related to a protected characteristic.

Employers must take proactive steps to prevent discrimination, both to comply with legal requirements and to foster a positive workplace culture.

Federal Employment Discrimination Laws

Several federal laws protect employees from discrimination in the workplace:

Title VII of the Civil Rights Act of 1964 prohibits discrimination based on race, color, religion, sex, and national origin. It applies to employers with 15 or more employees.
The Age Discrimination in Employment Act (ADEA) protects workers aged 40 and older from age-based discrimination. It applies to employers with 20 or more employees.
The Americans with Disabilities Act (ADA) prohibits discrimination against individuals with disabilities. Employers must provide reasonable accommodations unless doing so would cause undue hardship.
The Equal Pay Act (EPA) requires equal pay for men and women performing substantially similar work under similar working conditions.
The Genetic Information Nondiscrimination Act (GINA) prevents employers from using genetic information in hiring, firing, promotions, or other employment decisions.

Employers covered by these laws must ensure that their workplace policies and practices align with federal anti-discrimination requirements.

Michigan Employment Discrimination Laws

Michigan has its own laws that supplement federal protections and, in some cases, extend coverage beyond what federal laws provide.

The Elliott-Larsen Civil Rights Act (ELCRA) is Michigan’s primary anti-discrimination law. It prohibits employment discrimination based on religion, race, color, national origin, age, sex, height, weight, marital status, and familial status. Unlike federal laws that typically apply to businesses with 15 or more employees, ELCRA applies to all Michigan employers with one or more employees.

The Persons with Disabilities Civil Rights Act strengthens protections for individuals with disabilities by ensuring they have equal access to employment opportunities, accommodations, and workplace resources.

Michigan’s laws often provide broader protections than federal laws. For example, ELCRA includes height and weight as protected characteristics, while federal laws do not. Additionally, because ELCRA applies to all businesses regardless of size, small businesses in Michigan must comply with state discrimination laws even if they are exempt from certain federal laws.

Key Differences Between Federal and Michigan Employment Discrimination Laws

While Michigan and federal laws share many similarities, there are key differences that business owners should understand:

Employer Coverage – ELCRA applies to employers with one or more employees, whereas most federal discrimination laws only apply to businesses with 15 or more employees.
Protected Characteristics – ELCRA includes height and weight as protected characteristics, which are not covered under federal law.
Damages and Remedies – Under Michigan law, plaintiffs may seek damages for lost wages, emotional distress, and, in some cases, punitive damages. Federal law limits certain types of damages depending on the case.

Michigan businesses must comply with both state and federal laws where they overlap. In cases where Michigan law provides broader protections, state law will generally govern.

Ensuring Compliance with Employment Discrimination Laws

Employers can take proactive steps to ensure compliance with employment discrimination laws and create a fair work environment.

Develop a Written Anti-Discrimination Policy – Clearly outline that discrimination and harassment based on protected characteristics will not be tolerated. Include this policy in employee handbooks and onboarding materials.
Conduct Anti-Discrimination Training – Provide regular training sessions for employees and managers on workplace discrimination laws, including recognizing and preventing harassment.
Implement a Complaint Procedure – Establish a confidential and accessible complaint process for employees who believe they have experienced discrimination or harassment.
Respond Promptly to Complaints – Investigate all complaints of discrimination or harassment thoroughly and take appropriate corrective action when necessary.
Maintain Documentation – Keep detailed records of hiring practices, promotions, disciplinary actions, complaints, and investigations. This documentation can serve as critical evidence in the event of a legal dispute.
Review Hiring and Promotion Practices – Ensure that hiring and promotion decisions are based on objective, job-related criteria rather than personal biases.
Consult with Legal Counsel – Work with an attorney to review policies and procedures, ensuring they align with both Michigan and federal employment laws.

Best Practices for Eliminating Discrimination in the Workplace

Compliance with the law is the foundation of a fair workplace, but business owners should go beyond basic legal requirements to foster an inclusive and diverse company culture.

Promote diversity in hiring by actively recruiting candidates from underrepresented groups.
Encourage open communication between employees and management to address concerns before they escalate into legal issues.
Create mentorship and development programs to ensure equal opportunities for advancement.
Regularly assess pay equity to identify and correct any disparities in compensation.
Lead by example by demonstrating a commitment to equity and inclusion in decision-making.

Michigan-Specific Agencies for Employment Discrimination Claims

Several state and federal agencies enforce employment discrimination laws and provide resources for businesses and employees. Michigan Department of Civil Rights (MDCR) investigates claims of employment discrimination under ELCRA and the Persons with Disabilities Civil Rights Act. U.S. Equal Employment Opportunity Commission (EEOC) enforces federal employment discrimination laws and investigates complaints.

Employers should be familiar with these agencies to ensure compliance and respond appropriately if a complaint is filed.

How True North Legal Group Can Help

Navigating employment discrimination laws can be complex, especially for small businesses that may not have dedicated HR departments. True North Legal Group provides comprehensive legal guidance to help Michigan businesses comply with employment laws, develop anti-discrimination policies, and respond to complaints effectively.

Our legal membership model offers ongoing legal support at a predictable monthly cost, ensuring businesses have access to experienced attorneys when they need them. Whether you need assistance with compliance, employee training, or responding to legal claims, our team is here to help.

Contact True North Legal Group today to learn how we can help your business create a fair, inclusive, and legally compliant workplace.