Color Discrimination Laws in Minnesota: Know the Difference From Race Discrimination

Federal law prohibits color discrimination through Title VII of the Civil Rights Act of 1964 (42 U.S.C. § 2000e), which covers employers with 15 or more employees. Title VII explicitly protects employees from discrimination based on color, defined as the pigmentation of the skin or complexion. This protection applies to all aspects of employment, including hiring, firing, pay, job assignments, promotions, harassment, and retaliation. Color discrimination is distinct from race discrimination, though the two often overlap; an employee can be protected from color-based bias even if they are of the same race as their employer or coworkers.

The Equal Employment Opportunity Commission (EEOC) enforces Title VII color discrimination claims. Remedies available under federal law include back pay with interest, front pay, reinstatement or hiring, compensatory damages for emotional distress, punitive damages (in cases of intentional discrimination), and attorney fees and costs. However, federal law does not cover all employers—those with fewer than 15 employees are excluded from Title VII protection, requiring state law protections to fill that gap.

Minnesota Statute § 363A.09 provides significantly broader protection than federal Title VII by covering all employers with one or more employee, rather than the federal 15-employee threshold. This means even small businesses and sole proprietorships in Minnesota cannot legally discriminate based on color. The statute explicitly states it is unlawful for an employer to 'refuse to hire, employ, admit, register, classify, or otherwise treat a person unfavorably because of race, color, creed, religion, disability, national origin, gender identity, sexual orientation, or status with regard to public assistance.'

Minnesota's definition of color discrimination encompasses skin tone, complexion, and related physical characteristics. Unlike Title VII, which is limited to certain employment decisions, Minnesota law extends to all terms and conditions of employment. The Minnesota Department of Human Rights (MDHR) enforces this statute through administrative complaints, investigations, and conciliation efforts.

State law remedies are comprehensive and often exceed federal standards. Under Minnesota Statute § 363A.28, complainants can recover actual damages (back pay and front pay), compensatory damages for emotional distress and humiliation, punitive damages if discrimination was intentional or reckless, attorney fees and costs, and injunctive relief to prevent future discrimination. Additionally, the MDHR can order reinstatement, hiring, promotion, or other affirmative action to remedy discrimination.

Minnesota law also prohibits retaliation against anyone who files a discrimination complaint, participates in an investigation, or opposes discriminatory practices. This protection applies even if the underlying discrimination claim is ultimately unsuccessful, as long as the employee's good-faith participation is established.

Minnesota's color discrimination law contains limited exceptions. The statute does not apply to discrimination based on bona fide occupational qualifications, though these are rarely found valid in color-based cases since color is almost never essential to job performance. Federal contractors may have separate obligations under Executive Order 11246, which reinforces but does not expand color discrimination protections.

At-will employment does not shield Minnesota employers from color discrimination liability. Even employees hired at-will cannot be fired because of their color, and at-will status does not permit employers to discriminate in any employment decision based on color.

Unions and collective bargaining agreements do not exempt employers from Minnesota's color discrimination laws. If a union contract contains discriminatory provisions based on color, both the employer and union can be held liable. Religious organizations receive limited exemptions under Minnesota Statute § 363A.36, allowing them to discriminate based on religion in ministerial roles, but this exemption does not extend to color discrimination.

Small employers cannot claim ignorance or lack of resources as a defense. There is no threshold below which the statute does not apply, meaning even sole proprietorships with one employee are bound by the law. Employer defenses are limited to proving discrimination was not the motivating factor, that the employment decision was based entirely on legitimate, non-discriminatory reasons (such as documented poor performance unrelated to color), or that the complainant failed to establish a prima facie case of color discrimination.

Private employment agencies and labor unions also fall under Minnesota's color discrimination prohibitions. Temporary staffing agencies cannot refer candidates for rejection based on color, and unions cannot exclude or disadvantage members because of color.

Step 1 — Document Everything: Keep detailed records of incidents related to color-based treatment. Document dates, times, locations, what was said or done, who witnessed it, and how it affected your employment (pay, promotions, assignments, or work environment). Save emails, text messages, performance reviews, and payroll records showing differential treatment compared to coworkers of different colors. Take screenshots of internal communications and save copies to a secure personal location outside your work computer. If possible, have witnesses provide written statements about what they observed.

Step 2 — Internal Complaint Process: Before filing externally, review your employee handbook for internal complaint procedures and grievance policies. Submit a written complaint to your HR department or manager's supervisor, clearly describing the color-based discrimination, dates, and impact on your employment. Request written confirmation of receipt and keep copies. Notify HR that you expect the company to investigate promptly. Internal complaints create a record and may trigger an investigation that resolves the issue without external filing. However, do not delay filing with the Minnesota Department of Human Rights—the one-year deadline runs from the date of discrimination, not from the date of internal complaint.

Step 3 — File with the Minnesota Department of Human Rights: You must file a charge of discrimination with the MDHR within one year of the discriminatory act. Go to the MDHR website at https://mn.gov/mdhr or call the Minneapolis office at (651) 539-1500 or the St. Paul office at (651) 296-5663. You can file online, by mail, or in person. The complaint requires: your name and contact information, employer's name and address, description of the discriminatory conduct, date(s) when it occurred, names of witnesses, names of people who committed the discrimination, and whether you have filed the same complaint with the EEOC. There is no filing fee. Once filed, the MDHR assigns your case a charge number.

Step 4 — Investigation Process: The MDHR will notify your employer in writing of your complaint. The agency then conducts a fact-based investigation, typically lasting 60–180 days depending on complexity. The investigator interviews you, your employer, witnesses, and reviews documents you and the employer provide. You will receive updates on case progress. The MDHR determines whether there is 'probable cause' to believe color discrimination occurred. If probable cause is found, the agency attempts to conciliate (negotiate a settlement) between you and the employer. If conciliation fails and the MDHR finds probable cause, it may issue a finding of discrimination and order remedies. If no probable cause is found, you receive a 'right to sue' letter allowing you to file in civil court within 90 days.

Step 5 — Consult an Attorney: Contact an employment law attorney experienced in discrimination cases as soon as possible, ideally before filing with the MDHR. An attorney can help document evidence, draft your complaint, represent you during investigation interviews, and negotiate settlements. If the MDHR issues a right-to-sue letter, an attorney is essential for court litigation. Many employment lawyers work on contingency, meaning they take a percentage of any recovery rather than hourly fees upfront. Even if you initially consult alone, retain an attorney before the one-year deadline expires and certainly before responding to the employer's position during the MDHR investigation.