Religious schools and bodies could soon find it harder to discriminate against employees because of their sexuality or faith.

The Andrews government's revamp of Victorian equal opportunity laws has been condemned as "anti-religious" by faith-based groups, who say it threatens their right to freedom of religion.

Religious schools and groups would still be able to discriminate if they could prove that religious beliefs were linked to a job. Credit:Fairfax Media

Proposed legislation introduced into State Parliament this week reinstates an "inherent requirement" test that would weaken the powers of Victorian religious bodies and schools to turn away employees because of their sexuality, sex, gender identity, religious beliefs or marital status.

These groups would still be able to discriminate against employees based on these attributes if they could prove that religious beliefs were linked to a job.