Title VII of the Civil Rights Act of 1964 prohibits employment discrimination based on race, color, religion, sex, or national origin, but contains an exemption allowing religious organizations to prefer co-religionists in hiring.
In Hosanna-Tabor v. EEOC (2012), the Supreme Court unanimously recognized a 'ministerial exception' barring anti-discrimination suits by employees who perform religious functions.
In Our Lady of Guadalupe School v. Morrissey-Berru (2020), the Court expanded the ministerial exception 7-2 to cover lay teachers at religious schools whose duties included religious instruction.
Supporters of broader exemptions argue the First Amendment's Free Exercise and Establishment Clauses bar government interference in religious staffing decisions.
Critics argue expansive exemptions can leave workers — including those in healthcare, education, and social services funded partly by taxpayers — without protection against discrimination based on sex, sexual orientation, or disability.