Texas Employment Law Guide: Houston Workers’ Rights

Estimated reading time: 13 min read

Introduction: Why Houston Employees Need to Understand Texas Employment Law

Houston is the economic heart of Texas, home to more than 3 million workers across energy, health care, aerospace, and a growing tech sector. With so many industries competing for talent, knowing your workplace rights is essential. Unfortunately, violations are common—from unpaid overtime in the oilfield to discriminatory firing in corporate boardrooms. This comprehensive guide explains how Texas employment law protects Houston employees, the steps you can take when those rights are violated, and when to call in an experienced attorney. We cover wrongful termination, retaliation, wage and hour violations, discrimination, harassment, and more—so you can move forward with confidence.

Disclaimer: This guide provides general information, not legal advice. Employment disputes are fact-specific. Consult qualified counsel for advice on your situation.

Understanding Your Employment Rights in Texas

Texas Is an At-Will State—But Not a Free-for-All

Texas follows the at-will employment doctrine, meaning employers can terminate employees for any reason or no reason, except for reasons that violate law or contract. Many Houstonians mistakenly believe at-will status leaves them powerless. In reality, multiple federal and state statutes create significant exceptions.

Key Federal Protections

• Title VII of the Civil Rights Act—prohibits discrimination based on race, color, religion, sex (including pregnancy, sexual orientation, and gender identity), or national origin.

• Fair Labor Standards Act (FLSA)—sets the federal minimum wage ($7.25/hour) and requires overtime (time-and-a-half) for hours worked over 40 in a workweek.

• Family and Medical Leave Act (FMLA)—provides up to 12 weeks of unpaid, job-protected leave for specific family or medical reasons.

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

• Americans with Disabilities Act (ADA)—requires reasonable accommodations for qualified employees with disabilities.

Texas-Specific Statutes and Regulations

Texas Labor Code Chapter 21 mirrors Title VII, extends protection to employees in companies with 15+ workers, and creates the Texas Workforce Commission (TWC) Civil Rights Division to investigate complaints.

• Texas Payday Law (Labor Code §61.014) requires timely payment of wages—no later than the next scheduled payday for hourly workers and within six days for discharged employees.

• Texas Whistleblower Act protects public-sector employees who report legal violations by their employer.

• Houston city ordinances further prohibit discrimination in hiring, firing, or compensation for protected classes.

Knowing these interlocking protections lets you quickly identify when an employer’s action crosses the legal line.

Common Employment Disputes in Houston, Texas

1. Wrongful Termination

Because Texas is at-will, “wrongful termination” means firing that violates a statute, contract, or public policy. Examples:

• Termination for complaining about unpaid overtime (FLSA retaliation).

• Firing an employee after she discloses pregnancy (Title VII, PDA).

• Letting an older worker go in a “reduction in force” while retaining younger, less-qualified employees (ADEA).

2. Wage and Hour Violations

Houston’s booming service sector sees frequent minimum-wage and overtime abuses. Construction and oil-and-gas employers may misclassify field workers as independent contractors to avoid overtime obligations. The FLSA allows recovery of unpaid wages plus an equal amount in liquidated damages, doubling what you’re owed.

3. Discrimination

Despite progress, discrimination persists. EEOC data show Texas received over 9,000 discrimination charges in 2022. The largest categories involve retaliation, race, and sex discrimination, including sexual orientation.

4. Harassment

Harassment is actionable when it’s severe or pervasive enough to create a hostile work environment. Houston’s diverse workforce should not endure racial slurs, unwanted sexual advances, or disability-related mockery. Employers must act once they know or should have known about the harassment.

5. Retaliation

Retaliation claims now outnumber discrimination claims nationally. Texas Labor Code §21.055 prohibits punishing employees for opposing unlawful practices or participating in an investigation. Retaliatory acts can include demotion, schedule changes, or constructive discharge.

Recognizing these dispute types is the first step to protecting yourself.

Texas Legal Protections & Regulations

Statutes of Limitation: Deadlines Matter

• EEOC: File a charge within 300 days of the discriminatory act because Texas has a state agency (TWC) that enforces similar laws.

• TWC Civil Rights Division: 180 days for state claims.

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

• FLSA civil action: 2 years (3 years if the violation is “willful”).

• Whistleblower Act (public employees): 90 days from employer’s adverse action to file suit.

Administrative Exhaustion Requirements

Most discrimination claims require “exhaustion of administrative remedies” before you can sue. In practice, that means:

Submit an intake questionnaire or charge affidavit with either EEOC Houston District Office or TWC CRD.

• Wait for a Right-to-Sue letter (or request one after 180 days).

• File suit within 90 days of receiving the letter in federal court, or within 60 days in state court if you pursue only state claims.

Agency Enforcement Powers

The EEOC can mediate, investigate, and litigate discrimination claims. The TWC can order reinstatement and back pay under Chapter 21 and assess civil penalties in wage cases. However, agency staff loads are high, so proactive employee documentation is critical.

Steps to Take After an Employment Dispute

Document Everything

  Keep emails, text messages, performance reviews, pay stubs, and timesheets. Texas courts admit digital evidence, but you must preserve it diligently. Take date-stamped screenshots where possible.

Review Employer Policies

  Handbooks often outline complaint procedures. Following them can strengthen your case and show good faith.

Report Internally

  Texas law doesn’t always require internal reporting, but it can prevent the employer from claiming they lacked notice. Submit written complaints to HR or a supervisor, copying yourself on all emails.

File an Administrative Complaint

  For discrimination or retaliation, file with the EEOC or TWC within 300 or 180 days. For unpaid wages under $20,000, the TWC Wage Claim process can be faster and less costly than court.

Preserve Statute of Limitations

  Mark filing deadlines on a calendar. If you get a Right-to-Sue letter, consult an attorney immediately. Missing the 90-day federal or 60-day state window can bar your claim permanently.

Consider Alternative Dispute Resolution

  Many Houston employers require arbitration. Arbitration can limit discovery and damages, but recent U.S. Supreme Court cases (e.g., *Epic Systems v. Lewis*) enforce arbitration agreements. Skilled counsel can still negotiate favorable settlements.

Consult an Employment Attorney

  A lawyer evaluates legal claims, calculates damages, and approaches the employer or agency strategically.

When to Seek Legal Help in Texas

While you can file agency complaints without counsel, several scenarios suggest you should call an attorney:

• Complex cases involving multiple statutes (e.g., FMLA + ADA + Title VII).

• High wage losses, emotional distress, or career damage.

• Arbitration clauses or class-action waivers in your employment contract.

• Retaliation escalating after your internal complaint.

• Approaching critical filing deadlines.

Louis Law Group’s employment team leverages decades of combined experience litigating in the Southern District of Texas and Harris County courts. We routinely negotiate six-figure settlements for unpaid overtime, discrimination, and retaliation claims, and we never charge a fee unless we recover for you.

Local Resources & Next Steps

Houston-Area Oversight Agencies

EEOC Houston District Office 1919 Smith St., 7th Floor, Houston, TX 77002 | Phone: 1-800-669-4000 Texas Workforce Commission 101 E. 15th St., Austin, TX 78778 (Austin HQ; Houston intake accepted online) State Bar of Texas Lawyer Referral & Information Service—find pro bono or reduced-fee counsel. Houston Volunteer Lawyers—free legal aid for qualifying low-income workers.

Next Steps Checklist

• Gather evidence and employment documents.

• Write a timeline of events while details are fresh.

• Review employer policies and send an internal complaint.

• File with TWC or EEOC within statutory deadlines.

• Contact an experienced attorney to maximize recovery.

Ready to protect your Houston employee rights? If you believe your workplace rights have been violated, call Louis Law Group today at 833-657-4812 for a free case evaluation and policy review. Remember: Time limits are strict, and acting quickly can preserve evidence and improve outcomes.