Title VII prohibits employment discrimination based on race, color, religion, sex and national origin. The federal statute applies to private sector employers with 15 or more employees and public sector employers at the federal, state, and local level.Numbering of Title VII Instructions. 2. 5.0 Title VII Introductory Instruction. 3. Title VII generally applies to employers in the private and public sectors that have 15 or more employees; unions; and employment agencies. The joint employer rule has been a hot topic in the last several years, mostly in the context of the Fair Labor Standards Act. This law makes it illegal to pay different wages to men and women if they perform equal work in the same workplace. In fact, as a general rule, it typically only covers private and public sector employers with 15 or more employees. These employees may include:. Title VII covers employers who have 15 or more employees for more than 20 days out of a calendar year.