
This article examines legal issues surrounding Religious exclusions in federal contracting laws. This article also addresses Executive Order 11246 as well as Section 702(a), Title VII of Civil Rights Act of 1964. We also look at the special requirements that religiously exempt products must meet. The final part of the article contains important advice for employers.
Executive Order 11246
To clarify the religious exemption, the Office of Federal Contract Compliance Programs proposed rulemaking. The new rule, which builds upon precedents from Supreme Court cases, will define what constitutes religious organizations. The proposed rule provides guidelines and examples for applicants. Further, the OFCCP has published FAQs on the religious exemption.
Executive Order 11246 provides protection for employers who are organized or hold out a religious purpose. It also allows them to exercise their religion in furtherance. This exemption allows them to create employment conditions that are based on religious principles, and not violate any workplace laws. This exemption does NOT apply to organizations that discriminate against people based upon race, nationality or gender.

Section 702(a) of Title VII of the Civil Rights Act of 1964
In a concurring opinion, Justice Brennan noted that SS 702 is more palatable when applied to nonprofits than for-profit entities. This is because the statutory language would more easily accommodate activities of religious organizations that are not for-profit. On the other hand, a religious organization that has religious activities that are for-profit would stretch the language of SS 702 to the point of being unconstitutional.
A government activity cannot "prejudice" an activity in order to be exempted from liability under Section 702(a) of Civil Rights Act. SS702(a), allows government activities to promote religion, but it must not hinder it. The court cited cases that have addressed this question.
Federal contracting legislation allows for religious exemptions
Under federal contracting laws, religious organizations are afforded protection from discrimination. These protections apply to all businesses. Religious organizations can hire members of their faith and conduct religious activities. They could be eligible for federal contracts. Religious organisations have to follow certain restrictions. First, they have to follow the law.
The Department of Labor's Office of Federal Contract Compliance Programs recently proposed regulations to clarify the definition of the religious exemption, including new definitions. These regulations are designed to encourage religious organizations and ensure that they receive the proper protections. These rules will take effect on January 8, 2021.

Impact on employee credibility
Some religious exemptions may have a negative effect on an employee's reputation. An employee might not be able show that her religious practices are in line with the employer's policies and values. Employers might be suspicious of an employee who cannot show that her religious practice is in line with their policies and values.
Other examples may involve employees who display religious symbols at work or use religious phrases when greeting co-workers. They may feel that they are obligated to preach their beliefs or help others. Employers should be aware of this behavior and tell their employees why they believe it.