Judge Rules Catholic Charity Discriminated Against Gay Employee, Orders $60,000 Payout

Catholic Charity Held Accountable for Discrimination Against Gay Employee

A Catholic aid organization based in Baltimore faces significant legal repercussions after a federal judge determined it violated federal laws prohibiting discrimination based on sexual orientation. The ruling, made on Monday, requires Catholic Relief Services to pay $60,000 to a former employee who alleged sexual discrimination in a lawsuit.

The employee, who is referred to as “John Doe” for privacy, served as a program data analyst at Catholic Relief Services from June 2016 until the controversial termination of his spouse’s health benefits in late 2016. Doe, who is married to a man, claims that his rights were infringed upon when he was informed that his husband’s health coverage was mistakenly granted.

Background of the Lawsuit

According to Doe’s lawsuit, filed in 2020, he was initially assured that his husband’s health benefits would be included in his employee health insurance plan. However, just a few months after his employment began, officials from Catholic Relief Services abruptly informed him that coverage for same-sex spouses was not allowed. They stated that his husband had been mistakenly added to the plan, and his health insurance would be terminated by the end of November 2016.

Following this notification, Doe attempted to negotiate with his superiors to retain his spouse’s health benefits. By October 2017, however, these efforts proved futile, and his spouse’s coverage was eliminated. Doe alleges that during this period, he faced threats of termination simply for seeking clarification on his benefits.

Legal Framework and Arguments

In his lawsuit, Doe argued that Catholic Relief Services discriminated against him based on his sexual orientation, in violation of Title VII of the Civil Rights Act of 1964, the Maryland Fair Employment Practices Act, the Maryland Equal Pay for Equal Work Act, and the Federal Equal Pay Act. This ruling directly focused on the claims made under the Maryland Fair Employment Practices Act.

Catholic Relief Services contended that it qualifies for a Religious Entity Exemption under state law, which would protect it from allegations of sexual orientation discrimination. In her decision, U.S. District Judge Julie Rubin highlighted that religious organizations are often exempt from certain discrimination claims under Maryland law, particularly for employees engaged in tasks that are integral to the organization’s core religious mission.

Ruling in Favor of the Employee

The court ruling emphasized that Doe held five different positions throughout his time at Catholic Relief Services, none of which could be described as explicitly religious in nature. Judge Rubin concluded that Doe’s roles did not contribute directly to advancing the organization’s core mission. Consequently, the court found that Catholic Relief Services indeed violated the Maryland Fair Employment Practices Act and subsequently ordered the payout.

This ruling marks an important milestone as it is one of the first instances in Maryland where a judge applied the state Supreme Court’s criteria surrounding the Religious Exemption in a discrimination case.

A Precedent-Setting Victory

Doe expressed satisfaction with the outcome, acknowledging the ruling as pivotal for understanding the legal protections available to LGBTQ+ employees under Maryland law. He stated, “I am very happy with Judge Rubin’s ruling and am honored to be part of such a precedent-setting case that has helped clarify, for employers and employees alike, the legal protections Maryland law provides, especially for LGBTQ+ workers.”

Furthermore, Doe voiced a hope that Catholic Relief Services might see this ruling as an opportunity to enhance the dignity of all employees, particularly those in same-sex marriages, by offering equal benefits to all employees without bias.

Previous Legal Actions

This isn’t the first legal victory for Doe against Catholic Relief Services. In 2022, he won another case where U.S. District Judge Catherine C. Blake ruled favorably for him regarding accusations made under Title VII of the Civil Rights Act and the Equal Pay Act. Reports indicate that this decision further solidifies his rights and protections in the workplace.

The Response from Catholic Relief Services

Despite the legal proceedings, Catholic Relief Services has yet to respond to media inquiries regarding this ruling. The lack of commentary from the organization continues to raise questions about its stance on LGBTQ+ rights and employee benefits.

Challenges Facing Catholic Relief Services

Founded as the official international humanitarian agency for the Catholic Church in the United States, Catholic Relief Services serves impoverished communities around the globe. However, recent political changes have greatly affected its operations. A report from the National Catholic Reporter noted that the organization has faced the need to scale back programs and reduce its workforce, largely due to funding cuts tied to recent policies enacted by the Trump administration.

The agency had relied heavily on support from the U.S. Agency for International Development, which has been significantly reduced, leaving many of its initiatives in jeopardy. In fact, reports suggest that in 2023, USAID contributed nearly half of CRS’s $1.2 billion budget.

Implications for Future Employment Practices

As the legal landscape evolves, this ruling serves as a crucial reminder regarding the protections afforded to all employees, particularly marginalized groups. As LGBTQ+ advocacy continues to gain traction, organizations must be vigilant in adhering to anti-discrimination laws, ensuring that all employees can work in environments free from bias and discrimination.

With U.S. laws surrounding discrimination constantly in flux, this case paves the way for clearer standards in the interpretation and application of employment rights for LGBTQ+ individuals. Undoubtedly, Doe’s legal battles will continue to inspire discussions around workplace equality, inclusivity, and the rights of all employees in Maryland and beyond.