Federal authorities told North Carolina's governor on Wednesday that a new state law limiting restroom access for transgender people violates the U.S. Civil Rights Act.
In a letter to Republican Governor Pat McCrory the Justice Department said North Carolina was "engaging in a pattern or practice of discrimination against transgender state employees." The letter, seen by Reuters, said the state had until Monday to say whether it would remedy the violations.
McCrory said in a statement that his office will review the letter "to determine the next steps."
"The right and expectation of privacy in one of the most private areas of our personal lives is now in jeopardy," McCrory said.
Republican state legislative leaders said they still supported the law despite the federal warning.
In March, North Carolina became the first U.S. state to require transgender people to use restrooms in public buildings and schools that match the sex on their birth certificate, not their gender identity.