The Equal Employment Opportunity Commission (EEOC) has announced that it will no longer pursue discrimination complaints based on disparate impact—a long-standing legal theory that allows challenges to policies that appear neutral but disproportionately harm certain groups. This shift follows a Trump-era executive order directing agencies to limit reliance on disparate impact in civil rights enforcement.
For employers, the change signals less federal scrutiny of hiring practices that may unintentionally (or intentionally, in many cases) disadvantage protected groups, especially as the use of AI in recruiting expands.
Still, the risk hasn’t disappeared: many states and local jurisdictions continue to recognize disparate impact claims, and private lawsuits remain possible. Employers should continue to monitor hiring tools, algorithms, and workplace policies to ensure they do not create hidden barriers for certain applicants or employees.
My thoughts? What a step backwards. They can pretend disparate impacts don’t exist all they want, but that doesn’t make them go away. I fully expect the doctrine will be revived by a future administration, so employers would be wise to stay prepared. Disparate impact is real—it permeates all aspects of our society—and the EEOC’s retreat from addressing it doesn’t erase its presence. It only shifts where accountability will come from next.
