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What Is ADEA (ADEA)?

The Age Discrimination in Employment Act (ADEA) is a US federal law that prohibits employment discrimination against workers aged 40 and older. It covers hiring, firing, pay, promotions, and all other terms of employment. In recruitment, ADEA violations commonly arise from job postings that use age-coded language (e.g., 'recent graduate', 'digital native', 'young and dynamic') or screening criteria that disproportionately exclude older candidates.

Compliance & Dataemployment-lawADEAage-discriminationUS-lawUpdated March 2026

TL;DR

The Age Discrimination in Employment Act (ADEA) prohibits employment discrimination against people aged 40 and older in the United States. It covers hiring, firing, pay, promotions, and any other terms of employment. Violations carry real financial penalties, and age discrimination claims consistently rank among the most-filed charges with the EEOC.

What the ADEA Covers

The ADEA applies to employers with 20 or more employees, including staffing agencies and placement firms. It was signed into law in 1967 and has been amended several times. The core prohibition is straightforward: employers cannot use age as a factor in employment decisions for workers 40 and older. There is no upper age limit. A 70-year-old candidate has the same ADEA protections as a 42-year-old.

The law covers every stage of the employment relationship. On the front end, that means job postings cannot specify preferred age ranges, use coded language like "recent graduate" or "digital native" when those terms screen out older applicants, or set graduation year requirements that function as age proxies. On the back end, layoffs and reductions in force that disproportionately eliminate older workers face ADEA scrutiny, even when individual decisions appear neutral.

The Older Workers Benefit Protection Act (OWBPA), passed in 1990, added specific requirements for severance agreements. Any agreement waiving ADEA claims must give workers 21 days to consider (45 days in a group layoff), and 7 days to revoke after signing. Employers who shortcut these windows cannot enforce the waiver.

Why It Matters for Recruitment

Staffing agencies are directly covered by the ADEA, not just the end-client employers. When an agency screens candidates and decides who to present to clients, those screening decisions fall under ADEA jurisdiction. If a client asks for "candidates under 50" or "someone with less than 15 years of experience," the agency cannot comply with that request without violating federal law. The request itself is illegal, and fulfilling it makes the agency a co-discriminator.

The EEOC filed 16,911 age discrimination charges in fiscal year 2023, representing 13.6% of all charges received. Age discrimination charges have a higher rate of reasonable cause findings than many other charge types, in part because the patterns are often visible in data: layoff lists, promotion rates, and hiring cohorts. Agencies that track and retain this data are better positioned to defend decisions; agencies that do not track it cannot reconstruct what happened.

Practical compliance requires auditing job descriptions for age-proxy language on a regular cycle. Terms like "energetic," "fast-paced environment requiring quick learners," and "new to career" all carry risk when they are used to screen candidates. Training recruiters to recognize client requests that function as age filters is equally important.

In Practice

A regional [staffing agency](/glossary/staffing-agency) receives a brief from a technology company client: "We need someone junior, ideally 2-3 years of experience, who will grow with us." The recruiter presents five candidates. Three are under 35; two are over 45 with 2-3 years of relevant experience in the specific technology stack required. The client passes on the two older candidates and asks, "Can you find someone a bit more junior?"

The recruiter flags the situation to the agency's compliance lead. The compliance lead contacts the client and explains that experience level is a valid filter, but age is not, and that the agency cannot apply age-based filters in its screening. The client is asked to restate the requirement in terms of specific skills and experience range rather than implied age. The client agrees, reframes the brief, and the agency continues the search.

This conversation protects both parties. The client avoids a discriminatory hiring pattern; the agency avoids being named in an EEOC charge as a co-respondent. Agencies that have these conversations proactively keep clients and stay compliant; agencies that quietly comply with age-filtered briefs eventually face charges.

Key Facts

ConceptDefinitionPractical Implication
[Protected Class](/glossary/protected-class)Workers aged 40 and olderNo upper age limit; a 72-year-old has full ADEA protection
Employer Coverage Threshold20+ employeesMost staffing agencies and their clients fall within scope
Age Proxy LanguageJob posting terms that indirectly screen for age"Recent graduate," "digital native," graduation year requirements all create risk
OWBPA Waiver RequirementsRules governing ADEA waivers in severance agreements21-day consideration period; 7-day revocation window; group layoffs get 45 days
Disparate ImpactWhen a neutral policy disproportionately harms workers 40+RIFs that skew toward older workers face ADEA scrutiny even without discriminatory intent
Co-Respondent LiabilityStaffing agency liability when complying with a client's discriminatory requestFulfilling an age-filtered client brief makes the agency legally responsible alongside the client

Key Statistics

  • In fiscal year 2024, the EEOC received 16,223 age discrimination charges, a significant increase from prior years.

    EEOC, 2024

Frequently Asked Questions

Does the ADEA apply to small staffing agencies?
Yes. The ADEA's employment agency provisions cover any organization that regularly procures employees for an employer, with no employee threshold. This means even a small boutique staffing firm must comply — unlike the ADA and Title VII, which apply only to employers with 15 or more employees. A staffing agency cannot refuse to refer a qualified 40+ candidate, publish age-preference job ads, or accept age-discriminatory search requirements from client companies.
What counts as age discrimination in job postings and candidate screening?
Under EEOC guidance, language that functions as an age proxy is treated the same as an explicit age restriction. Phrases like 'recent graduate,' 'grew up digital,' or graduation year filters on ATS or job boards are age-proxy language. A recruiter who receives a client brief asking for someone who 'grew up digital' must recognize that phrase as a potential age proxy and decline to act on it, just as they would decline an explicit age restriction.
What are the ADEA requirements for severance agreements for workers over 40?
Any severance agreement asking a worker over 40 to waive ADEA rights must comply with the Older Workers Benefit Protection Act (OWBPA). The agreement must clearly identify the rights being waived, reference the ADEA by name, advise the employee to consult an attorney, provide a 21-day period to consider the agreement, and include a 7-day revocation period after signing. Omitting any of these elements renders the ADEA waiver unenforceable, even if the rest of the agreement is valid.