What Washington Employees Need to Know About the New Executive Order on Disparate Impact Liability

On April 21, 2025, President Trump signed a new Executive Order titled "Restoring Equality of Opportunity and Meritocracy in Federal Employment and Contracting." While aimed at reshaping how federal agencies and contractors handle hiring and promotion, this Order could also affect how workers in Washington State experience fairness and equity in the workplace.

What Changed?

The Executive Order takes aim at the concept of "disparate impact"—a legal theory that lets employees challenge neutral workplace policies that end up disproportionately hurting certain groups, such as women, people of color, or older workers. The new policy tells federal agencies not to rely on statistical evidence alone when investigating discrimination and directs them to focus on proving intentional bias.

Photo by CoWomen: https://www.pexels.com/photo/three-woman-sitting-on-white-chair-in-front-of-table-2041627/

Why This Matters to You as an Employee

1. Protections May Be Weakened in Federally-Funded Workplaces If you work for a federal agency or a company that contracts with the federal government, this Order may change how your employer handles fairness, promotion, and hiring. Employers may now feel less pressure to address disparities in outcomes between different groups.

2. Fewer DEI Commitments Many employers in Washington—especially in cities like Seattle and Olympia—have adopted diversity, equity, and inclusion (DEI) programs to address past inequities. This Executive Order may discourage those efforts, especially if they rely on goals tied to demographics or group-based outreach.

3. State Laws Still Protect You Importantly, Washington State law continues to recognize disparate impact claims. So even if your federal protections are narrowed, you still have legal avenues under the Washington Law Against Discrimination (WLAD) to challenge unfair practices.

4. Know Your Rights If you believe you’re being affected by hiring or promotion practices that disadvantage your group—even unintentionally—you still have options. Keep records, talk to HR, and consider speaking with an employment attorney.

   
   

The Bottom Line for Workers in Washington

This Executive Order marks a shift in how the federal government views discrimination—but it doesn’t erase your rights. Washington State continues to support broader protections against workplace bias. Still, workers in federally-funded sectors or federal contractors should stay informed and vigilant, especially if you notice changes in how your company talks about equity or makes decisions about advancement.

If you have been discriminated against in the workplace, we can help. Contact us today.