Labor & Employment Law Daily Wrap Up, DOJ NEWS—Agency updates religious-liberty guidance to reflect Supreme Court precedent, (Jul 24, 2026)

By Patricia K. Ruiz, J.D.

The revised memorandum expands on 2017 guidelines, sets out 21 principles for agencies, and outlines religious-liberty requirements in employment, enforcement, rulemaking and federal funding programs.

The Department of Justice has released updated guidance on federal protections for religious liberty, revising and expanding its 2017 Religious Liberty Guidelines to reflect significant U.S. Supreme Court decisions issued over the past nine years. The memorandum, issued by Acting Attorney General Todd Blanche, directs executive departments and agencies to ensure compliance with the Constitution, the Religious Freedom Restoration Act of 1993, Title VII, and other applicable federal laws.

In addition to highlighting new developments in Supreme Court precedent, the guidance establishes 21 principles governing religious-liberty protections and provides detailed instructions for agencies engaged in employment, rulemaking, enforcement, contracting and grant administration.

Updated guidance and purpose. According to the memorandum, religious liberty encompasses not only belief and worship but also religious observance and practice in daily life. It further states that, except in the narrowest circumstances, individuals should not be forced to choose between following their faith and complying with the law and that religious observance and practice should be reasonably accommodated in government activity whenever practicable and permitted by law.

Twenty-one principles for agencies. The revised guidance organizes federal religious-liberty protections into 21 principles. Among them, the memorandum states that religious freedom is a fundamental right, that the Establishment Clause should be interpreted in light of historical practices and understandings, and that the Free Exercise Clause protects the right to act or refrain from acting in accordance with religious beliefs. The guidance further states that religious-liberty protections extend to organizations, that participation in the marketplace or interaction with government does not diminish those protections, and that government may not target religious conduct, speech, organizations or individuals for adverse treatment.

The memorandum states that government may not interfere with the autonomy of religious organizations or with parental rights to direct the religious upbringing of children. The Justice Department identified protection of parental rights and reaffirmation of church autonomy among the key updates in the revised guidance.

RFRA protections. The guidance states that RFRA prohibits the federal government from substantially burdening religious observance, practice, or speech unless the government can satisfy strict scrutiny by demonstrating a compelling governmental interest pursued through the least restrictive means. According to the memorandum, RFRA applies to all federal agency actions, including rulemaking, adjudications, enforcement actions, and grant or contract administration. The guidance further states that RFRA protects organizations and certain for-profit corporations, protects sincerely held religious beliefs regardless of whether they are central to a faith tradition, and may require accommodations even when third parties are affected by an exemption. The memorandum describes RFRA's strict-scrutiny standard as "exceptionally demanding."

Employment protections and accommodations. The memorandum states that Title VII prohibits covered employers from discriminating based on religion and requires accommodation of religious observance and practice unless doing so would impose an undue hardship. It states that employers must establish any claimed hardship with specificity and may not rely on assumptions.

The guidance highlights accommodations involving scheduling, Sabbath observance, religious holidays and workplace expression. It points to the Clinton-era Guidelines on Religious Exercise and Religious Expression in the Federal Workplace as examples of accommodations that permit employees to discuss religious views, display religious messages or symbols, and engage in religious expression subject to the same workplace rules applicable to other forms of expression.

The Justice Department's press release separately notes that agencies must follow recent Office of Legal Counsel opinions concerning workplace accommodation of religious expression and practice.

Religious employers and church autonomy. The memorandum states that religious employers are entitled to employ individuals whose beliefs and conduct are consistent with the employers' religious precepts. It explains that religious corporations, associations, educational institutions, and societies are protected by statutory exemptions in Title VII and by constitutional principles of church autonomy. The guidance further states that, even apart from Title VII exemptions, RFRA and constitutional protections may support religious employers' authority to make employment decisions consistent with their religious missions.

Directions for rulemaking and enforcement. The guidance instructs agencies to proactively consider religious-liberty impacts when developing regulations, policies, and other agency actions. Agencies are encouraged to establish review processes for proposed rules and to evaluate potential accommodations for burdens on religious exercise before finalizing regulations. The memorandum also directs agencies to consider public comments raising religious-liberty concerns during notice-and-comment proceedings.

With respect to enforcement actions, the memorandum emphasizes that RFRA applies to agency enforcement decisions. Agencies are instructed to consider religious-liberty protections when setting enforcement priorities, pursuing individual actions, and developing rules through adjudication. The guidance also reminds officials that RFRA permits lawsuits against federal officials in their individual capacities in certain circumstances.

Federal grants and contracts. The memorandum states that religious organizations should be allowed to compete for federal grants and contracts and participate in federal programs on an equal basis with nonreligious organizations. It further states that religious entities generally should not be required to alter their religious character, curtail religious activities funded with private resources, or relinquish religious hiring protections as a condition of receiving federal funding.

Responses. Reponses to the revised memo have started to trickle in. The Freedom From Religion Foundation (FFRF), for example, strongly objects to the guidance. It argues that the memo expands what it calls "religious privilege" throughout the federal government; places too much emphasis on accommodating religious believers and organizations while giving insufficient weight to the rights of people who do not share those beliefs; could allow religious exemptions to override neutral laws, civil-rights protections, and government accountability measures; and encourages broader protections for religious organizations in hiring, contracting, grants, and regulatory matters, potentially increasing conflicts with anti-discrimination policies.

On the other hand, the First Liberty Institute, a conservative religious-liberty legal organization, has praised the guidance, saying it would help ensure federal agencies respect religious-freedom rights when implementing federal policies.

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