Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.
Traditionally, January 1 has been the key date for which employers must prepare to implement new labor and employment compliance obligations for new laws passed within the previous year. For the past several years, we have reported on employment and labor laws taking effect mid-year. Increasingly, new compliance challenges are not taking a summer vacation.
This year, preventing employment discrimination remains a significant employment law and regulatory concern, with legislatures continuing to expand the protected classifications beyond those protected under federal law, and creating new limitations on what demographic and pay-related information an employer may seek from job applicants. Leave protections and entitlements, always a major player in the legislative landscape, are again significant this year, with some states enacting new paid family and medical leave benefits programs, and others expanding their existing paid sick and safe leave laws so that employees may use accrued leave for bereavement and other reasons beyond the traditional sick and safe leave purposes. Other popular topics for regulation this year include the contingent workforce and freelance/gig economy, child labor, and reproductive health.
Washington State again leads the pack as the most active jurisdiction in enacting eight new state-wide and local laws and regulations that take effect in early summer. Colorado takes second place, enacting at least seven new laws that take effect during summer 2023. Minnesota gets an honorable mention, as although it has enacted only a handful of bills that will become effective this summer, those include heavy-hitter topics like marijuana legalization and paid family and medical leave (effective July 1, 2023, but employees cannot begin using leave until 2026). The state also enacted an omnibus jobs bill that includes a host of new employment laws, including a few that take effect in July and August.
Our annual “July is the New January” update, which tracks many labor and employment laws and ordinances across the country that take effect mid-year, is not all-inclusive. Although this Insight touches on some industry-specific laws, the focus is on generally applicable labor and employment laws enacted in states and larger municipalities. In addition, this report does not discuss changes to the minimum wage and related wage and hour legislation. See As Temperatures Rise, So Do Minimum Wage, Tipped, and Exempt Employee Pay Rates Across the United States for information on new wage rates taking effect across the country.
Finally, note that many state legislatures are still in session, so additional laws that will take effect this summer are bound to be enacted after publication. And new laws—particularly at the local level—are often subject to amendment. This article is intended to provide insight on the types of laws state and local legislatures are enacting, some of which have effective dates right around the corner.
|
Law |
Main Topic |
Summary |
Effective Date |
|
Child Labor |
Repeals the requirement that an employer must have an employment certificate to employ a child under the age of 16. |
6/13/2023 |
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|
Discrimination |
Creates the CROWN Act to prohibit employment discrimination based upon an individual's natural, protective, or cultural hairstyle. |
7/31/2023 |
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Discrimination |
Creates a definition for antisemitism to be used in determining whether a discriminatory act has occurred. |
7/31/2023 |
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|
Child Labor |
Increases the civil and criminal penalties for violations of the state child labor laws. |
7/31/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Independent Contractors |
Creates the Freelance Worker Protection Ordinance to require a written agreement between an employer and a freelance worker and sets forth the minimum requirements for agreements; requires timely payment of the worker's fee. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Employment Taxation |
Requires employers to notify employees of the availability of the state and federal earned income and child tax credits. |
8/7/2023 |
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|
Leaves of Absence |
Permits an employee to use paid sick leave for bereavement purposes and to care for a family member whose school or place of care has been closed for specified reasons. |
8/7/2023 |
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|
Discrimination |
Prohibits employers from inquiring on an employment application about a prospective employee's age, date of birth, and dates of attendance at or date of graduation from an educational institution. |
8/7/2023 |
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Discrimination |
Clarifies the standard for harassment claims; prohibits discrimination on the basis of marital status; clarifies nondiscriminatory conduct related to disability; sets forth the requirements for an enforceable nondisclosure agreement. |
8/7/2023 |
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Garnishment |
Increases the penalties for an employer that wrongfully fails to withhold wages pursuant to a child support income assignment order. |
6/2/2023 |
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Data Privacy |
Creates the Colorado Privacy Act, which grants individuals more control over the personal data they provide to businesses. Note that the Act does not apply to HR data. |
7/1/2023 |
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|
Employee Benefits |
Requires health benefit plans to provide coverage for 12 months' worth of prescription contraception as well as over-the-counter contraception without a prescription and without prior authorization. |
8/7/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Data Privacy |
Creates the Personal Data Privacy and Online Monitoring Act (CPDPA), which grants individuals more control over the personal data they provide to businesses. Note that the Act does not apply to HR data. |
7/1/2023 |
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|
Unemployment |
Eliminates the requirement for an employer to submit specified demographic data along with the employer's quarterly filings. |
6/7/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Workplace Safety |
Prohibits an employer from conditioning employment on the fact that an employee or prospective employee is authorized to carry a concealed weapon or concealed firearm. |
7/1/2023 |
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|
COVID-19 |
Prohibits an employer from requiring proof of vaccination or COVID-19 testing as a condition of contracting, hiring, promotion, or continued employment; prohibits discrimination against an individual for refusing vaccination, testing, or face coverings. |
6/1/2023 |
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|
Immigration |
Requires employers to use the E-Verify system to verify employment eligibility of each new employee; authorizes the Department of Economic Opportunity to enforce the E-Verify requirement and to conduct random audits of employers. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Workplace Safety |
Amends the Georgia Smokefree Air Act to prohibit vaping and the use of other electronic smoking devices in enclosed areas in places of employment. |
7/1/2023 |
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|
Leaves of Absence |
Entitles an employee to take time off to vote either on the day of the election or on one of the advance in-person voting days. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Workplace Safety |
Prohibits carrying or possessing firearms in private businesses without authorization; prohibits leaving an unsecured firearm in a vehicle unattended |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Unemployment |
Modifies eligibility for unemployment benefits for military spouses and victims of domestic violence. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Disability Access |
Clarifies the types of service animals that are permitted in places of public accommodation and the protocol for engaging with patrons accompanied by a service animal. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Child Labor |
Amends the hours a minor may work and the types of work activities a minor may perform; prohibits employment of minors under age 14. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Disability Access |
Creates a rebuttable presumption in a website-accessibility case that the plaintiff is engaging in abusive litigation for pursuing a claim in which the defendant has made a good-faith attempt to cure the violation. |
7/1/2023 |
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Discrimination |
Provides that for purposes of any state law or rules and regulations, "sex" means a person’s biological sex, either male or female, at birth. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Unemployment |
Provides that an employer is subject to the maximum rate of contribution until the employer has had employees in Kentucky for at least 12 calendar quarters. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Leaves of Absence |
Prohibits an employer from discriminating or retaliating against an employee for being absent from work due to genetic testing or necessary cancer screenings. |
8/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Discrimination |
Amends the definition of "sexual orientation" in the Maine Human Rights Act. |
6/28/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Drugs and Alcohol |
Creates a constitutional amendment that legalizes the recreational use of cannabis. |
7/1/2023 |
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|
Leaves of Absence |
Clarifies that an employee may use paid family and medical leave to care for a domestic partner and to bond with a new child; amends the employer and employee premium contribution provisions. |
6/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Discrimination |
Adds sexual orientation, gender identity, and gender expression as protected classifications. |
6/14/2023 |
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|
Discrimination |
Prohibits employment discrimination on the basis of traits historically associated with race, including but not limited to hair texture and protective hairstyles. |
6/15/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Leaves of Absence |
Creates a paid family and medical leave insurance program funded by employer and employee payroll contributions. Employees may begin to use paid leave benefits beginning January 1, 2026. |
7/1/2023 |
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Discrimination |
Creates the state CROWN Act to prohibit discrimination on the basis of traits associated with race, including hair texture and hair styles such as braids, locs, and twists. |
8/1/2023 |
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Drugs and Alcohol |
Permits the recreational use of cannabis; prohibits an employer from discriminating against an employee for using cannabis during non-working hours; provides for the expungement of criminal records related to cannabis use. |
8/1/2023 |
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Leaves of Absence; Pregnancy and Lactation Accommodation; Wage Transparency; Captive Audience Meetings; Noncompetition Agreements; Workplace Safety; Notices & Posters |
Omnibus jobs and labor bill. Prohibits covenants not to compete; prohibits an employer from requiring employees to attend a meeting to communicate the employer’s religious and political stances; prohibits warehouse employers from enforcing quotas that prevent compliance with meal and rest breaks; amends the state’s lactation and pregnancy accommodation requirements; provides for the accrual of paid sick time and its use including for domestic violence issues; and prohibits an employer from discriminating or taking adverse action against an employee for disclosing wages. |
Varies by provision - some become effective 7/1/2023 and 8/1/2023; others on 1/1/2024 |
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|
Leaves of Absence |
Entitles an employee to earn one hour of paid sick and safe time for every 30 hours worked, up to a maximum of 48 hours per calendar year. |
7/1/2023 |
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|
Leaves of Absence |
Requires an employer to include information on an employee's accrued and used paid sick and safe leave hours on each wage statement. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Hospitality |
Prohibits a business that sells or serves alcohol from employing an individual convicted of a sex crime to directly participate in selling, delivering, or dispensing alcoholic beverages. |
6/17/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Leaves of Absence |
Amends domestic violence leave provisions to require employers to also provide leave for victims of sexual assault. |
6/5/2023 |
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|
Independent Contractors |
Amends the penalty provisions for employee misclassification. |
7/1/2023 |
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|
Wage & Hour |
Requires employers to pay any unpaid wages or compensation to employees when an employee is placed on nonworking status. |
7/1/2023 |
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|
Reproductive Health |
Requires a health insurance plan to include coverage for contraceptive products and services. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Unemployment |
Provides that employers will be required to give certain information to the Division of Employment immediately upon an individual’s separation, temporarily or permanently. Employers that fail to make a disclosure to the Division will be liable for penalties. |
7/31/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Reproductive Health |
Creates protections for individuals and entities regarding interstate civil or criminal liability for protected health care activity, including reproductive health care and gender-affirming care. |
6/16/2023 |
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|
Contingent Workforce |
Requires employers that lease contractors to provide the same group health insurance benefits, to be treated as a multiple employer welfare arrangement, to leased workers as the benefits that are required for employees of leasing contractors. |
6/16/2023 |
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|
Discrimination |
Amends the New Mexico Human Rights Act to prohibit employment discrimination on the basis of gender and gender identity. |
6/16/2023 |
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|
Reproductive Health |
Prohibits a public body from imposing, or maintaining any law or ordinance that restricts, interferes, denies, discriminates against, or deprives an individual’s right to use or refuse reproductive health care or gender-affirming care. |
6/16/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Hospitality |
Requires lodging facilities to provide human trafficking training to employees that are likely to be in contact with guests. The training must occur within 60 days of employment. |
7/20/2023 |
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|
Lactation Accommodation |
Amends the Nursing Mothers in the Workplace Act to include additional requirements for compliant lactation spaces. In addition, employers must adopt a lactation accommodation policy to be distributed at hire, to employees returning to work after childbirth, and on an annual basis. |
6/7/2023 |
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|
Discrimination |
Amends the definition of “victim of domestic violence” to include a victim subject to acts or threats of economic abuse for purposes of New York City’s Human Rights Law. |
7/4/2023 |
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|
New York: NYC Final Rules re Automated Employment Decision Tools (6 NYCRR 5-300 et seq.) |
Artificial Intelligence |
Provides that employers have until July 5, 2023 to determine whether they use an automated employment decision tool in hiring, undertake an independent bias audit of the tool, publish a summary of the audit results, and provide notice to applicants and employees regarding the function and use of the tool. |
7/5/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Independent Contractors |
Provides that a transportation network company driver is an independent contractor, and not an employee of the transportation network company. |
8/1/2023 |
|
|
Discrimination |
Clarifies that the term “pregnant,” for purposes of North Dakota’s antidiscrimination law, includes pregnancy, childbirth, and related medical conditions. Note that the term “related medical conditions” is not defined by the new law. |
8/1/2023 |
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|
Privacy |
Prohibits private businesses from discriminating against a patron, client, or customer based on vaccination status for a vaccine that is under emergency use authorization by the federal Food and Drug Administration. |
8/1/2023 |
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Independent Contractors |
Provides that a delivery network driver is classified as an independent contractor if the delivery network company enters an agreement classifying the driver as an independent contractor, does not assign the driver specific hours, and does not prohibit a driver from engaging in outside employment. |
8/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Independent Contractors |
Requires a written agreement between a hiring entity and a freelance worker when the contract is valued at $250 or more, by itself or in the aggregate, of all contracts within the preceding 120 days. |
6/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Employment Taxation |
Provides that employers may be subject to a penalty of up to $1,000 for failing to file an annual reconciliation with the Oklahoma Tax Commission within 30 days of the filing deadline. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Employee Benefits |
Permits an employer to consent to deliver group health plan documents and notices through electronic means on behalf of individuals participating in the group health plan, unless otherwise required by federal law. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Arbitration |
Adopts the Revised Uniform Arbitration Act, applicable to all arbitration agreements made on or after July 1, 2023, with certain exceptions. Further provides that a party subject to arbitration may not waive the right to be represented by a lawyer in an arbitration proceeding or hearing, but an employer or labor organization may waive this right. |
7/1/2023 |
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|
Disability Access |
Prohibits places of public accommodation from refusing a patron with a disability access due to the need for a dog guide, as long as the dog guide meets specified requirements. Further, places of public accommodation must not require documentation from the patron regarding the dog guide’s certification or license. |
7/1/2023 |
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|
Drugs and Alcohol |
Permits the use, sale, and distribution of hemp-derived cannabinoids by individuals 21 years and older, beginning January 1, 2024. Of interest to employers, employers are not required to accommodate the use of hemp-derived cannabinoids and are not prohibited from establishing a drug-free workplace policy. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Workplace Safety and Health |
Authorizes an employer to obtain a workplace violence protective order against an individual who has caused, or has threatened, workplace violence against the employer or an employee. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Employee Benefits |
Establishes the VT Saves program to provide retirement savings for employees who do not have access through an employer; provides that employers must offer covered employees the choice to contribute to a payroll deduction IRA or automatic enrollment. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Leaves of Absence |
Requires employers of 50 or more employees to provide up to 60 business days of unpaid leave to an employee serving as an organ donor, and up to 30 business days of unpaid leave to an employee serving as a bone marrow donor. |
7/1/2023 |
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Wage & Hour |
Amends the Virginia Minimum Wage Act to remove the subminimum wage rate for employees with disabilities beginning July 1, 2030. Employers may continue to pay the subminimum wage if an employer holds a certificate issued by the U.S. Secretary of Labor if the certificate was obtained before July 1, 2023. |
7/1/2023 |
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Government Contractors |
Amends the debarment procedure for government contractors that may be barred from public contracts if the government contractor misclassifies their workers. |
7/1/2023 |
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Nondisclosure Agreements |
Prohibits employers from requiring, as a condition of employment, employees or prospective employees to execute non-disparagement agreements that would conceal details related to claims of sexual assault or sexual harassment. |
7/1/2023 |
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Whistleblower and Corporate Ethics |
Provides tort liability immunity to employees for any tort claim based only on the employee’s legally protected statements against an employer, with certain exceptions. |
7/1/2023 |
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Data Privacy |
Prohibits employers from using the social security number of an employee, or any derivative form, as an identification number for an employee. Further, an employee’s social security number may not be included on any type of badge or access card issued to an employee. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Privacy |
Prohibits employers from performing unjustified searches of an employee’s vehicle under certain conditions, and prohibits requiring an employee or prospective employee from waiving such protections as a condition of employment. |
7/23/2023 |
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Wage & Hour |
Amends procedures related to the garnishment of certain lump sum payments pursuant to child support withholding orders. |
7/23/2023 |
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Wage & Hour |
Provides that the settlement of wage complaints filed on or after January 1, 2024 with the Department of Labor must include interest on the amount owed at one percent per month. |
7/23/2023 |
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Unemployment |
Expands eligibility for unemployment benefits due to a separation of employment because of the death, illness, or disability of a family member, or related to the care of a child or vulnerable adult. |
7/23/2023 |
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Home Care |
Provides that background checks are required for home health aides that work with vulnerable persons, as defined by Washington law. |
7/23/2023 |
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Military/Veteran Status |
Allows an employee, who is a service member’s spouse, to terminate an employment contract when the service member receives a permanent change of station. The service member’s spouse must provide written notice and written proof of the permanent change of station to the employer. |
7/23/2023 |
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Hospitality |
Permits individuals 18 years and older to work in establishments that bar patrons under 21 years old, as long as the individuals are performing services unrelated to the sale or service of alcohol. |
7/23/2023 |
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Whistleblower |
Prohibits employers from terminating, threatening, harassing, or otherwise retaliating against employees that report an employer’s violations of state or federal securities laws. |
7/23/2023 |
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|
Washington: City of Tukwila Initiative Measure No. 1 (Ballot Measure) |
Wage & Hour |
Requires certain employers to offer additional work hours to existing employees before hiring additional employees, subcontractors, or temporary services. However, an employer does not need to offer additional hours if the employer would then have to pay overtime or another premium rate. |
7/1/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Workers’ Compensation |
Clarifies the maximum amount that is recoverable in a workers’ compensation action as compensatory damages for noneconomic losses and provides that there will be an annual increase in the amount to account for inflation. |
7/1/2023 |
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Workers’ Compensation |
Amends workers’ compensation provisions to clarify the recall rights for employees with compensable injuries. Under the amended law, a demand for reinstatement must be made in writing and an employee's preferential recall rights must not be greater than 120 days from the date the employee is released to return to employment. |
6/9/2023 |
|
Law |
Main Topic |
Summary |
Effective Date |
|
Leaves of Absence |
Amends the definitions of “armed forces” and “uniformed services” to align with federal law in relation to military leave and veteran hiring preferences. |
7/1/2023 |
