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Employment Law Guide for Austin, Texas Workers

9/3/2025 | 4 min read

Employment Law Guide for Austin, Texas Workers

Introduction: Why Austin Workers Need to Know Texas Employment Law

As the capital of Texas and home to a booming technology scene, state offices, major universities, and a vibrant service industry, Austin employs more than one million workers across Travis, Williamson, and Hays Counties. Whether you clock in at a downtown software firm, serve customers on South Congress, or work construction on I-35, understanding austin workplace rights can protect your paycheck, your health, and your career. This guide breaks down the basics of texas employment law with a slight—but evidence-based—bias toward employees, highlighting the laws that affect you most and explaining where to turn if your employer crosses the line.

All facts below come from authoritative sources such as the Texas Labor Code, the Fair Labor Standards Act (FLSA), Title VII of the Civil Rights Act, the Texas Commission on Human Rights Act (TCHRA), U.S. and Texas court opinions, and official guidance from the Equal Employment Opportunity Commission (EEOC) and Texas Workforce Commission (TWC). No speculation—only what the law and courts actually say.

Understanding Your Employment Rights in Texas

Understanding Your SSDI Rights

1. At-Will Employment and Its Important Exceptions

Texas follows the doctrine of at-will employment, meaning an employer may terminate an employee for any reason or no reason at all—except an illegal one. Illegal reasons include discrimination based on race, color, religion, sex (including pregnancy, sexual orientation, and gender identity), national origin, age (40+), disability, or genetic information under Title VII (42 U.S.C. §2000e-2) and the TCHRA (Tex. Lab. Code §§21.051–21.055). Retaliation for protected activity—such as filing an EEOC charge or reporting wage theft—is also unlawful.

2. Minimum Wage and Overtime

In most cases, Texas adopts the federal minimum wage under the FLSA: $7.25 per hour since 2009 (Tex. Lab. Code §62.051). Tipped employees must receive at least $2.13 an hour in direct wages, but tips plus direct wages must equal $7.25. Non-exempt employees are entitled to overtime of 1.5 times the regular rate for hours worked over 40 in a workweek (29 U.S.C. §207).

3. Equal Pay Rights

The Equal Pay Act of 1963 (29 U.S.C. §206(d)) and TCHRA prohibit wage discrimination based on sex. Austin’s tech sector salary transparency debates have amplified the importance of equal pay claims—especially for software engineers and data analysts where pay gaps persist.

4. Workplace Safety

Under the Occupational Safety and Health Act (29 U.S.C. §651) and Tex. Lab. Code ch. 411, employers must furnish a workplace “free from recognized hazards.” In Austin’s construction boom, OSHA violations for inadequate fall protection on high-rise projects remain common.

5. Leave and Accommodation Laws

  • Family and Medical Leave Act (FMLA): 12 weeks unpaid, job-protected leave for eligible workers (29 U.S.C. §2612).

  • Americans with Disabilities Act (ADA): Reasonable accommodations for qualified employees with disabilities (42 U.S.C. §12112).

  • Pregnancy Discrimination Act: Requires accommodations similar to ADA for pregnant workers.

Common Employment Law Violations in Texas

The Texas Workforce Commission reported more than 14,000 wage claims statewide in the last fiscal year, with Travis County among the top five counties for complaints. Below are the violations Austin workers report most often.

1. Unpaid Overtime and Off-the-Clock Work

Employers in hospitality, ride-sharing, and start-ups may misclassify employees as independent contractors or salaried “exempt” to dodge overtime pay. Courts apply the ‘economic realities’ test to determine whether a worker is truly an independent contractor (see Acosta v. Paragon Contractors Corp., 884 F.3d 1225 (10th Cir. 2018)).

2. Discrimination and Harassment

Despite Austin’s progressive reputation, EEOC data show hundreds of discrimination charges filed in the Austin District each year. Retaliation has been the most frequent basis, followed by disability and sex discrimination. Workplace harassment based on protected characteristics is unlawful when it creates a hostile work environment (see Burlington Indus. v. Ellerth, 524 U.S. 742 (1998)).

3. Wrongful Termination in Violation of Public Policy

Because Texas is at-will, wrongful termination claims succeed only if an exception applies—usually statutory. Examples include firing an employee:

  • For refusing to engage in illegal activity (Sabine Pilot Service, Inc. v. Hauck, 687 S.W.2d 733 (Tex. 1985)).

  • For filing a workers’ compensation claim (Tex. Lab. Code §451.001).

  • For reporting workplace safety concerns to OSHA.

4. Wage Theft in the Gig Economy

Delivery drivers and app-based workers often face tip skimming and under-reimbursement for expenses. While not yet covered by a statewide “gig worker bill of rights,” FLSA protections can still apply if misclassification is proven.

5. Medical and Religious Accommodation Failures

Refusing an employee’s reasonable COVID-19-related accommodation or religious exemption request may violate the ADA or Title VII, as recognized in EEOC guidance issued May 2023.

Texas Legal Protections & Employment Laws

1. Texas Labor Code and TCHRA

The Texas Commission on Human Rights Act mirrors Title VII but extends protections to employers with 15 or more employees (Tex. Lab. Code §21.051). It provides compensatory and punitive damages capped by employer size (§21.2585) and requires initial complaints with the TWC Civil Rights Division.

2. Federal Statutes Employees Should Know

  • Fair Labor Standards Act (FLSA) – Minimum wage, overtime, and child labor rules.

  • Title VII of the Civil Rights Act – Discrimination and retaliation prohibitions.

  • Age Discrimination in Employment Act (ADEA) – Protects workers 40 and older.

  • Americans with Disabilities Act (ADA) – Disability discrimination and accommodations.

  • Family and Medical Leave Act (FMLA) – Unpaid leave and job protection.

3. Statute of Limitations

  • EEOC/TWC discrimination charge: 300 days from the unlawful act (Title VII & TCHRA).

  • FLSA wage claims: 2 years standard, 3 years for willful violations (29 U.S.C. §255).

  • Sabine Pilot wrongful termination: 2 years (Tex. Civ. Prac. & Rem. Code §16.003).

  • Workers’ compensation retaliation: 2 years (Tex. Lab. Code §451.003).

4. Filing a Charge in Austin

Workers may file jointly with the EEOC and TWC Civil Rights Division at:

  • EEOC Austin Local Office: 300 E. 8th St., Suite 300, Austin, TX 78701. Phone: (512) 482-5015.

  • TWC Civil Rights Division: 101 E. 15th St., Room 144-T, Austin, TX 78778.

Steps to Take After Workplace Violations

Steps to Take After an SSDI Denial

1. Document Everything

Preserve pay stubs, time sheets, e-mails, text messages, personnel files, and witness names. Under Federal Rule of Evidence 803(6), business records created contemporaneously carry evidentiary weight.

2. Follow Internal Complaint Procedures

Many employers maintain anti-harassment or wage complaint policies. Use them first if feasible; courts often consider whether an employee took advantage of preventive or corrective opportunities (Faragher v. City of Boca Raton, 524 U.S. 775 (1998)).

3. File with EEOC or TWC

Discrimination, harassment, or retaliation claims must be submitted to the TWC/EEOC before filing suit. You can submit online or in person. Once the charge is dual-filed, you may request a Notice of Right to Sue after 180 days.

4. File a Wage Claim or Suit

For unpaid wages totaling under $20,000, you may file a wage claim with the TWC within 180 days (Tex. Lab. Code §61.051). For larger amounts or overtime, employees often file directly in federal court under the FLSA.

5. Consider Mediation or Settlement

The EEOC offers free mediation, which resolves roughly 30% of charges nationally. Settlements often include back pay, reinstatement, and policy changes.

Discover more about our services on the Louis Law Group website.

When to Seek Legal Help in Texas

How Louis Law Group Can Help You with Injury Law Firms Near You in El Portal

1. Complex Claims or Large Damages

If your damages exceed small-claim thresholds, involve multiple statutes, or require class actions, consult an employment lawyer austin texas. Attorneys evaluate merit, calculate damages (back pay, front pay, emotional distress), and navigate federal court procedures.

2. Retaliation Concerns

Retaliation claims often hinge on proving causal connection. A lawyer can secure temporary injunctive relief or negotiate exit packages with severance and neutral references.

3. Attorney Licensing Rules

Texas attorneys must be licensed by the State Bar of Texas. Verify standing via the Bar’s attorney lookup. Out-of-state lawyers practicing here must seek pro hac vice admission under Texas Rule of Civil Procedure 19a.

Local Resources & Next Steps

Texas Workforce Commission (TWC) – File wage claims, obtain labor law posters.

EEOC Austin Local Office – Submit discrimination charges.

Texas Attorney General Workers’ Rights – Consumer protection and child labor resources.

State Bar of Texas Lawyer Referral Service – Find licensed employment attorneys.

Workers Defense Project (Austin) – Community organization assisting low-wage and immigrant workers.

Legal Disclaimer: This guide provides general information for workers in Austin, Texas. It is not legal advice. For advice on your specific situation, consult a licensed Texas employment attorney.

If you experienced workplace discrimination, wrongful termination, or wage violations, call Louis Law Group at 833-657-4812 for a free case evaluation and employment consultation.

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