Sex Discrimination and Fair Work Amendment (Equality in Treatment in Religious Schools) Bill 2026

High-Level Summary
The Sex Discrimination and Fair Work Amendment (Equality in Treatment in Religious Schools) Bill 2026 seeks to remove the legal ability of religious schools to discriminate against students and staff on the basis of sex, sexual orientation, gender identity, marital status, or pregnancy. It narrows existing exemptions to ensure that religious preference in employment is only permitted for specific leadership and teaching roles at the point of hiring. The bill follows years of public debate and a 2023 Australian Law Reform Commission (ALRC) report which recommended that religious educational institutions should be brought into closer alignment with general anti-discrimination laws. It aims to provide a consistent federal standard, as several Australian states and territories have already moved to restrict or remove similar exemptions in their own jurisdictions.

Summary

The Bill amends the Sex Discrimination Act 1984 (SDA) and the Fair Work Act 2009 (FW Act) to significantly restrict the scope of religious exemptions. Currently, section 38 of the SDA allows religious schools to discriminate against students and staff in "good faith to avoid injury to the religious susceptibilities of adherents." This Bill repeals that broad exemption.

Key provisions include:

  • Student Protections: Removing the ability for schools to expel or refuse enrolment to students based on sexual orientation, gender identity, or pregnancy.
  • Staff Protections: Narrowing the employment exemption so schools can only prefer staff of their own religion during "initial engagement" or promotion to "positions involving substantial religious leadership" (e.g., principals, chaplains, or RE teachers). This preference must be in good faith and the role must genuinely involve religious teaching or practice.
  • Associate Protection: Inserting section 7AAA to protect individuals from discrimination based on their association with someone who has a protected attribute, such as a student with same-sex parents.
  • Fair Work Alignment: Ensuring that modern awards and enterprise agreements cannot include terms that would permit conduct prohibited by the amended SDA.

From the explanatory memo:

The Bill also extends the protections of the Sex Discrimination Act to a person's associates. A person will be protected from discrimination where it is based on their association with, or their relationship to, another person who has a protected attribute, such as a child of a same-sex couple.
[Explanatory Memo page 2]. The Bill also removes the general religious-body exception (s 37(1)(d)) for educational institutions to prevent it being used as an alternative legal loophole for discriminatory practices.


Argument For
Normative Bases
  1. Non-Discrimination
  2. Utilitarian Ground Truth
  3. Egalitarianism

The primary argument for this Bill is the protection of the fundamental right to equality. No student should face the threat of expulsion, and no teacher should face dismissal, based on innate characteristics such as sexual orientation or gender identity. The current exemptions create a "symbolic harm" that defines certain individuals as less worthy of protection within the educational system [Judgment].

From a utilitarian perspective, the removal of these exemptions is essential for the mental health and wellbeing of the LGBTQ+ community. The ALRC noted that even if these powers are rarely exercised, their existence creates a climate of fear and exclusion that leads to significant psychological distress and harm to students and staff alike.[1] By removing these legal barriers, the Bill fosters a more inclusive and supportive educational environment.

Furthermore, an egalitarian framework suggests that institutions receiving significant public funding should be held to the same anti-discrimination standards as the rest of society. It is inconsistent for the state to subsidize institutions that legally bypass the protections afforded to all other citizens. This Bill ensures that the rule of law applies uniformly, preventing religious institutions from operating as "jurisdictional islands" where basic human rights can be suspended.

  1. ^

    ALRC Report 142 (2023) highlights documented cases of teachers being dismissed and students being removed from leadership roles after their sexuality became known.


Argument Against
Normative Bases
  1. Communitarianism / Pro-Conformity
  2. Individual Autonomy
  3. Legal Principle

The argument against this Bill centers on the right of religious communities to maintain their distinct identity and ethos. Under a communitarian framework, the ability of a religious school to require its staff to model and adhere to its core tenets is essential to the survival of that community's way of life [Judgment]. By narrowing the employment exemption to only "initial engagement" and specific leadership roles, the Bill undermines the ability of a school to maintain a "religiously uniform" environment across its entire faculty.

This also impacts the individual autonomy of parents who choose religious education specifically because they want their children raised within a consistent moral and spiritual framework. If the state dictates that a religious school cannot enforce its own standards of conduct or belief among its staff, it effectively dilutes the parental right to choose a truly distinct religious education for their children.

From a legal principle standpoint, this Bill may conflict with international human rights obligations regarding religious freedom. Article 18 of the ICCPR protects the freedom to manifest religion or belief in community with others. Critics argue that the management of a religious institution—including the selection of staff who share the faith—is a core manifestation of that belief. By imposing secular standards on religious hiring and conduct, the Bill risks infringing upon the institutional autonomy that is a prerequisite for genuine religious pluralism in a liberal democracy [Judgment].


Date:

2026-10-12

Chamber:

House of Representatives

Status:

Before House of Representatives

Sponsor:

SPENDER, Allegra, MP

Portfolio:

Unspecified

Categories:

Discrimination / Human Rights, Education, Labour

Timeline:
12/10/2026

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