Gov. Pat McCrory on Tuesday issued an executive order expanding equal employment and nondiscrimination rights of state employees to include sexual orientation and gender identification in an attempt to alleviate some of the fallout related to House Bill 2.

“Simply put, I have listened to the people of North Carolina,” McCrory said in a video announcing his executive order. “The people of North Carolina are entitled to both privacy and equality.”

The order affirms the restroom accommodation requirements found in H.B. 2: Multiple-occupancy restrooms, locker rooms, and shower facilities in Cabinet agencies must be designated for use based on the person’s biological sex. However, private businesses can set their own rules for those facilities. It also calls on Council of State agencies, the University of North Carolina and community college systems, and local governments to make reasonable attempts to provide single-occupancy restroom and changing facilities to respond to special circumstances.

For state employees, the order prohibits unlawful discrimination, harassment, or retaliation based on “race, religion, color, national origin, sex, sexual orientation, gender identity, age, political affiliation, genetic information, or disability.” It notes that private businesses, nonprofits, and local governments may establish their own nondiscrimination employment policies.

The executive order interprets House Bill 2 to allow private entities leasing state real property to control their own signage and use of such facilities. It calls on the General Assembly to restore the ability for people who believe they were fired illegally to sue for discrimination in state courts.

Reaction to the order was mixed.

“While Gov. McCrory’s executive order creates vital protections in public employment on the basis of sexual orientation and gender identity, it does not address the deep concerns we share with members of the business community and citizens across the state about the damaging impact of H.B. 2,” said Chris Sgro, executive director of Equality NC, a gay-rights advocacy group. “In fact, the order doubles down on the governor’s support for some of the most problematic provisions of H.B. 2.”

The ACLU of North Carolina, which has challenged the new law in court, also criticized McCrory.

“Gov. McCrory’s actions [Tuesday] are a poor effort to save face after his sweeping attacks on the LGBT community, and they fall far short of correcting the damage done when he signed into law the harmful House Bill 2, which stigmatizes and mandates discrimination against gay and transgender people,” said Sarah Preston, acting executive director. “With this executive order, LGBT individuals still lack legal protections from discrimination, and transgender people are still explicitly targeted by being forced to use the wrong restroom.”

Senate leader Phil Berger, R-Rockingham, praised McCrory’s action.

“Gov. McCrory just put to rest the left’s lies about H.B. 2 and proved it allows private and public employers, nonprofits, and churches the ability to adopt nondiscrimination policies that are stronger than state and federal law,” Berger said. “But that fact is irrelevant to Roy Cooper and his left-wing political correctness mob with their agenda-driven allies in the liberal media, who will never stop trashing North Carolina until they achieve their goal of allowing any man into any women’s bathroom or locker room at any time simply by claiming to feel like a woman.”

Cooper, the state’s attorney general, is the Democratic Party’s nominee for governor. Cooper has come out against the new law and has refused to defend the law in court.

Dallas Woodhouse, state GOP executive director, criticized Cooper for failing to intervene on behalf of the state.

“Now that Gov. McCrory has signed an executive order expanding and affirming nondiscrimination policies for North Carolina state employees, the attorney general now has two choices: Come up with another excuse to not do his job, or stand up for North Carolina families and defend a common-sense law,” Woodhouse said.

House Speaker Tim Moore, R-Cleveland, also issued a statement praising the governor for issuing the order. “Private businesses are free to decide for themselves restroom, dressing room and nondiscrimination employment policies that best suit their business and employee needs without inconsistent mandates by cities and counties,” Moore said.

“[I]t is very unfortunate that the bathroom bill and the General Assembly’s actions have been unfairly reported and maligned by political activists. We remain confident that a factual analysis of what the bathroom bill does and does not do will reinforce that North Carolina is a great state in which to live and do business,” Moore added.

Tuesday’s executive order comes after a backlash from some businesses and organizations over the new law, which was passed on March 23 during a special one-day session of the General Assembly. McCrory signed the bill into law later that day.

Some businesses have canceled location or expansion plans, and said they based their decisions on the new law, which they considered discriminatory.

Lawmakers passed H.B. 2 after the Charlotte City Council adopted a nondiscrimination ordinance which, among other things, allowed transgendered people to use the bathroom of their choice at any business or public facility in the city.

McCrory said the Charlotte City Council went too far.

“This government overreach was a solution in search of a problem,” McCrory said. He said much of the outrage from the new state law was based on “misinformation,” “misinterpretation,” and “confusion.” He said that has brought “selective outrage” to the state.