HB 5400

relating to unlawful employment practices based on sexual
harassment, including complaints and civil actions arising from
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Section 21.055, Labor Code, is amended to read as
Sec. 21.055.  RETALIATION.  (a)  An employer, labor union, or
employment agency commits an unlawful employment practice if the
employer, labor union, or employment agency retaliates or
discriminates against an individual [a person] who, under this
(1)  opposes a discriminatory practice;
(4)  testifies, assists, or participates in any manner
in an investigation, proceeding, or hearing.
(b)  The protections against retaliation and discrimination
provided by this section apply to an individual who engages in an
act listed under Subsection (a) in relation to a discriminatory
practice based on sexual harassment under Subchapter C-1.
SECTION 2.  Section 21.141(2), Labor Code, is amended to
(2)  "Sexual harassment" means an unwelcome sexual
advance, a request for a sexual favor, or any other verbal or
physical conduct of a sexual nature if:
(A)  submission to the advance, request, or
conduct is made a term or condition of an individual's employment,
either explicitly or implicitly;
(B)  submission to or rejection of the advance,
request, or conduct by an individual is used as the basis for a
decision affecting the individual's employment;
(C)  the advance, request, or conduct has the
purpose or effect of unreasonably interfering with an individual's
(D)  the advance, request, or conduct has the
purpose or effect of creating an intimidating, hostile, abusive, or
SECTION 3.  Section 21.254, Labor Code, is amended to read as
Sec. 21.254.  CIVIL ACTION BY COMPLAINANT.  Except as
provided by Section 21.2545, within [Within] 60 days after the date
a notice of the right to file a civil action is received, the
complainant may bring a civil action against the respondent.
SECTION 4.  Subchapter F, Chapter 21, Labor Code, is amended
by adding Section 21.2545 to read as follows:
Sec. 21.2545.  CIVIL ACTION BY COMPLAINANT BASED ON SEXUAL
HARASSMENT.  Notwithstanding Sections 21.201, 21.211, and 21.254,
an individual may bring a civil action for damages or other relief
arising from an unlawful employment practice based on sexual
harassment under Subchapter C-1 regardless of whether:
(1)  the individual has filed a complaint with the
commission based on the grievance; or
(2)  if the individual has filed a complaint with the
commission based on the grievance, the complaint is still pending
or the individual has not received a notice of the right to file a
SECTION 5.  Section 21.256, Labor Code, is amended to read as
Sec. 21.256.  STATUTE OF LIMITATIONS.  A civil action may not
be brought under this subchapter later than the second anniversary
of the date the complaint relating to the action is filed, except
that for a civil action arising from an unlawful employment
practice based on sexual harassment under Subchapter C-1 filed
without filing a complaint as described by Section 21.2545(1), the
civil action may not be brought later than the second anniversary of
the date the conduct constituting an unlawful employment practice
SECTION 6.  Section 21.2585, Labor Code, is amended by
amending Subsection (d) and adding Subsection (f) to read as
(d)  Except as provided by Subsection (f), the [The] sum of
the amount of compensatory damages awarded under this section for
future pecuniary losses, emotional pain, suffering, inconvenience,
mental anguish, loss of enjoyment of life, and other nonpecuniary
losses and the amount of punitive damages awarded under this
section may not exceed, for each complainant:
(1)  $50,000 in the case of a respondent that has fewer
(2)  $100,000 in the case of a respondent that has more
than 100 and fewer than 201 employees;
(3)  $200,000 in the case of a respondent that has more
than 200 and fewer than 501 employees; and
(4)  $300,000 in the case of a respondent that has more
(f)  Subsection (d) does not apply to a civil action for
damages arising from an unlawful employment practice based on
sexual harassment under Subchapter C-1.  A civil action described
by this subsection is subject to Section 41.008, Civil Practice and
SECTION 7.  The changes in law made by this Act apply only to
a claim or action based on conduct occurring on or after the
effective date of this Act.  A claim or action based on conduct
occurring before that date is governed by the law in effect on the
date the conduct occurred, and the former law is continued in effect
SECTION 8.  This Act takes effect September 1, 2025.