Employer Anti-Discrimination Rules (Federal Employment Law)

Cannabis employers must comply with federal anti-discrimination laws, even though cannabis remains illegal at the federal level. These rules apply to every dispensary and cover all stages of employment, from hiring through termination.

Violations can trigger federal investigations, lawsuits, and enforcement actions.

What This Covers

  • Protected classes under federal law
  • Prohibited employment practices
  • Accommodation and harassment obligations
  • Documentation and policy consistency requirements
  • Enforcement authority

Protected Classes

Federal law prohibits discrimination based on:

  • Race
  • Color
  • Religion
  • Sex, including:
    • Pregnancy
    • Sexual orientation
    • Gender identity
  • National origin
  • Age (40 and older)
  • Disability
  • Genetic information

These protections apply regardless of cannabis license status.

Prohibited Practices

Discrimination is prohibited across all employment decisions, including:

  • Hiring and recruitment
  • Scheduling and shift assignments
  • Training, promotion, and advancement
  • Discipline and termination
  • Pay, leave, and benefits

Policies must be applied consistently to all employees.

Accommodation and Harassment Requirements

Employers have additional affirmative obligations.

  • Provide reasonable accommodations for employees with disabilities, unless doing so causes undue hardship
  • Maintain a workplace free from harassment, including sexual harassment
  • Investigate complaints promptly and document outcomes
  • Maintain clear, written workplace policies

Failure to accommodate or address harassment is treated as discrimination.

Enforcement and Oversight

Identifies agencies that enforce anti-discrimination laws.

  • Equal Employment Opportunity Commission (EEOC)
  • U.S. Department of Justice (DOJ), Civil Rights Division
  • U.S. Department of Labor (DOL), where applicable

Enforcement can result in investigations, corrective orders, or litigation.

What Operators Usually Miss

  • Federal employment laws apply even to state-legal cannabis businesses
  • Inconsistent enforcement of policies creates liability
  • Poor documentation weakens employer defenses

When This Comes Up

  • Hiring and onboarding
  • Employee complaints or disputes
  • Disciplinary actions or terminations
  • Audits, investigations, or lawsuits

What Happens If You Ignore This

  • Federal investigations
  • Employee lawsuits
  • Monetary damages and penalties
  • Mandatory corrective action

Related Pages

Source Material