89R15475 DNC-D
 
  By: Reynolds H.B. No. 4245
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to compensatory and punitive damage limits in employment
  discrimination claims.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 21.2585, Labor Code, is amended by
  amending Subsection (d) and adding Subsection (d-1) to read as
  follows:
         (d)  Subject to Subsection (d-1), 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
  than 101 employees;
               (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
  than 500 employees.
         (d-1)  When the consumer price index increases with respect
  to the amount of that index on September 1, 2025, the limits on
  damages prescribed by Subsection (d) shall be increased by a sum
  equal to the amount of such limit multiplied by the percentage
  increase in the consumer price index, as published by the Bureau of
  Labor Statistics of the United States Department of Labor, that
  measures the average changes in prices of goods and services
  purchased by urban wage earners and clerical workers' families
  (CPI-W:  Seasonally Adjusted U.S. City Average--All Items),
  between September 1, 2025, and the time at which damages subject to
  such limits are awarded by final judgment or settlement.
         SECTION 2.  Section 21.2585(d-1), Labor Code, as added by
  this Act, applies only to a complaint in relation to an unlawful
  employment practice that occurs on or after the effective date of
  this Act.  A complaint in relation to an unlawful employment
  practice that occurs before the effective date of this Act is
  governed by the law in effect on the date the unlawful employment
  practice occurred, and the former law is continued in effect for
  that purpose.
         SECTION 3.  This Act takes effect September 1, 2025.