Houston Guide to Texas Employment Law & Your Rights

Estimated read time: 14 min read

Introduction: Why Houston Employees Need to Understand Texas Employment Law

Houston is the economic engine of Texas, home to more than 3.1 million residents and the headquarters of global energy, healthcare, and aerospace companies. With such a dynamic labor market, workplace conflicts are inevitable. Whether you are a refinery technician in Pasadena, a nurse in the Texas Medical Center, or a software engineer in the Energy Corridor, knowing your Houston employee rights under state and federal law is critical. Common disputes include:

• Wrongful termination, including layoffs that violate anti-discrimination statutes or public-policy exceptions.

• Unpaid wages or overtime violations under the Fair Labor Standards Act (FLSA) or the Texas Payday Law.

• Workplace discrimination based on protected characteristics such as race, sex (including pregnancy and LGBTQ+ status), age, disability, or national origin.

• Retaliation for whistleblowing or filing a safety or wage complaint.

• Sexual harassment or hostile work environment claims.

This comprehensive guide—written from an employee-oriented perspective—explains how Texas laws intersect with federal protections, outlines strict filing deadlines, and provides step-by-step actions you can take today. If you believe your rights have been violated, call Louis Law Group at 833-657-4812 for a free, confidential case evaluation.

1. Understanding Your Employment Rights in Texas

Texas At-Will Employment and Its Limits

Texas follows the doctrine of at-will employment, meaning an employer can terminate an employee for any reason—or no reason—unless the termination:

• Violates a specific statute (e.g., Title VII, ADA, ADEA, FMLA, TCHRA).

• Contravenes an employment contract or collective bargaining agreement.

• Infringes on public policy, such as firing a worker for refusing to perform an illegal act (Sabine Pilot Service v. Hauck, 687 S.W.2d 733 (Tex. 1985)).

• Amounts to unlawful retaliation for protected activity (e.g., filing a discrimination complaint or reporting OSHA violations).

Protected Classes Under State and Federal Law

Both federal and Texas statutes safeguard employees from discrimination:

• Title VII of the Civil Rights Act (1964)—race, color, religion, sex (including sexual orientation and gender identity), national origin.

• Age Discrimination in Employment Act (ADEA)—protects workers 40 and older.

• Americans with Disabilities Act (ADA)—disability status and reasonable accommodation.

• Texas Commission on Human Rights Act (TCHRA), Texas Labor Code §§21.001–21.556—mirrors Title VII and extends to employers with at least 15 employees.

• Pregnancy Discrimination Act & PUMP Act—protect pregnant and nursing employees.

Wage and Hour Basics

Texas adheres to the federal minimum wage ($7.25/hour). Key wage protections include:

• FLSA Overtime Rule: Hourly, non-exempt employees must receive 1.5× pay for hours over 40 in a workweek.

• Texas Payday Law (Texas Labor Code ch. 61): Requires timely payment—twice per month for non-exempt workers—and allows wage claims through the Texas Workforce Commission (TWC).

• Tip pooling, deductions, and independent-contractor misclassification are heavily litigated issues in Houston’s hospitality and oilfield sectors.

Federal Protections That Also Apply in Texas

• Family and Medical Leave Act (FMLA): Up to 12 weeks of job-protected leave for qualifying conditions.

• Fair Credit Reporting Act (FCRA): Requires notice and consent before background checks.

• OSHA whistleblower rules: Shield workers who report safety hazards.

2. Common Employment Disputes in Texas

Wrongful Termination

A dismissal is considered “wrongful” when it stems from discrimination, retaliation, breach of contract, or public-policy violations. For example, firing a Houston refinery worker after reporting environmental violations may violate federal environmental whistleblower statutes and Texas common law.

Retaliation for Whistleblowing

Retaliation claims are among the fastest-growing EEOC charges. An employer cannot punish you for complaining about discrimination, filing a wage claim, or participating in an EEOC investigation. Under 42 U.S.C. §2000e-3(a), retaliation is itself a standalone cause of action.

Denial of Overtime Pay

Misclassifying employees as independent contractors—common in Houston’s gig-economy delivery services—or as exempt “administrative” staff when their duties are non-exempt is a violation. FLSA allows recovery of double damages for willful violations.

Workplace Discrimination & Harassment

Unlawful discrimination can manifest in hiring, assignments, promotions, or hostile work environments. Texas law now requires employers to provide sexual-harassment training and establishes liability for individual supervisors (Texas Senate Bill 45, effective Sept. 1, 2021).

Failure to Accommodate Disability

The ADA and TCHRA require reasonable accommodation unless it imposes undue hardship. Houston’s booming healthcare sector sees frequent disputes over modified duty or remote-work requests.

3. Texas Legal Protections & Regulations

Key Statutes and Where to Find Them

Texas Labor Code Chapter 21 – State anti-discrimination law. Texas Workforce Commission (TWC) – Administers Payday Law and discrimination complaints. U.S. Department of Labor Wage & Hour Division – Enforces FLSA. EEOC Houston District Office – Federal discrimination enforcement.

Filing Deadlines (Statutes of Limitations)

• Discrimination/Harassment (TCHRA): 180 days from the adverse action to file with the TWC Civil Rights Division.

• Discrimination (EEOC): 300 days because Texas is a “deferral state.”

• FLSA Overtime/Wage Claims: 2 years (3 years for willful violations) to sue in federal court.

• Texas Payday Law: 180 days to submit a wage claim to TWC.

• OSHA Whistleblower: 30 to 180 days, depending on statute—act quickly.

The Texas Workforce Commission Process

• Intake Questionnaire: File online or at a local Workforce Solutions office.

• Mediation Offer: TWC may invite both parties to a voluntary mediation.

• Investigation: TWC gathers documents, interviews witnesses, and can subpoena records.

• Determination & Right-to-Sue Letter: If unresolved after 180 days, you may request a notice and proceed to court.

EEOC Dual-Filing

The EEOC and TWC have a work-sharing agreement, meaning one timely charge satisfies both agencies’ requirements. Filing in Houston automatically notifies Austin-based TWC.

4. Steps to Take After an Employment Dispute

Step 1: Preserve Evidence

• Save emails, performance reviews, and text messages.

• Document incidents in a contemporaneous journal, noting dates, times, and witnesses.

• Download pay stubs and time records from employee portals before access is revoked.

Step 2: Review Company Policies

Handbooks often impose internal deadlines for grievances. Failing to exhaust internal procedures may undermine your claim or limit damages.

Step 3: File an Internal Complaint (Optional but Strategic)

In harassment cases, the Ellerth/Faragher defense allows employers to avoid liability if the employee never reported the conduct. Make a good-faith complaint via HR or ethics hotlines, keeping proof of submission.

Step 4: Submit an Agency Charge

• Discrimination/Retaliation: File with TWC or EEOC within 180/300 days.

• Unpaid Wages: File a wage claim with TWC within 180 days, or send a written demand letter and prepare for federal court under FLSA.

• Safety Violations: File OSHA whistleblower complaint within 30 days (some statutes allow 180 days).

Step 5: Consult a Texas Employment Attorney

Agency findings are not the final word. An attorney can:

• Navigate procedural pitfalls and preserve claims.

• Negotiate severance or back-pay settlements.

• File civil lawsuits seeking compensatory and punitive damages.

5. When to Seek Legal Help in Texas

While some disputes resolve through HR or agency mediation, you should escalate when:

• You’re approaching the 180- or 300-day filing deadlines.

• The employer has retaliated after you complained.

• You suffered a significant wage loss or emotional distress.

• HR dismisses your concerns or conducts a biased investigation.

• You need to negotiate complex accommodations or severance terms.

Louis Law Group focuses on representing employees across Texas, including Harris, Fort Bend, and Montgomery Counties. Our licensed Texas attorneys investigate your claim, gather evidence, and litigate aggressively if negotiation fails.

What It Costs

Many cases are accepted on a contingency fee—no attorney’s fee unless we recover compensation. Statutes such as the FLSA and TCHRA also allow fee-shifting, which can force employers to pay your legal costs.

6. Local Resources & Next Steps

TWC Civil Rights Division – File discrimination or retaliation charges. EEOC Houston District Office: 1919 Smith St., 7th Floor, Houston, TX 77002.

• Houston Volunteer Lawyers – Free legal clinics for qualifying employees.

• Houston Bar Association Lawyer Referral Service – Pre-screened employment attorneys.

• U.S. Department of Labor WHD Houston District Office – Overtime and wage enforcement.

Next Steps:

• Gather documents and timeline of events.

• Mark your filing deadlines on a calendar.

• Call Louis Law Group at 833-657-4812 for your free case evaluation.

Disclaimer

This guide provides general information for Houston, Texas employees and is not legal advice. Reading or relying on this content does not create an attorney-client relationship. Laws change frequently; consult a qualified Texas employment attorney for advice regarding your specific situation.

If you believe your workplace rights have been violated, call 833-657-4812 for a free case evaluation.