Final answer:
Federal laws, particularly under Title VII of the Civil Rights Act of 1964, protect against discrimination based on sexual orientation and gender identity in employment relationships. This protection was reinforced by the 2020 Supreme Court decision in Bostock v. Clayton County, Georgia.
Step-by-step explanation:
Laws that protect against discrimination based on sexual orientation in an employment relationship are made primarily at the federal level. The landmark 2020 Supreme Court ruling in Bostock v. Clayton County, Georgia affirmed that Title VII of the Civil Rights Act of 1964, which prohibits discrimination in employment on the basis of race, gender, national origin, religion, or sexual orientation, includes protections against discrimination based on sexual orientation and gender identity. This means that it is now illegal at the federal level to fire someone based on their sexual orientation or gender identity.
While this is a federal mandate, individual states and local governments may also enact their own protections. Prior to the federal ruling, several states and local jurisdictions had their own laws offering such protections, and the extent and nature of these laws can vary from state to state and city to city. The situation is dynamic and continues to evolve with ongoing legislative action and court rulings.