Numerous states implemented heightened employee protections at the beginning of 2024. Here are the crucial considerations for founders and CEOs.
Employment laws undergo continuous modifications, and 2024 is no different. Both the federal government and numerous states, counties, and cities remained active in 2023, introducing workplace legislation primarily aimed at safeguarding employees. However, these changes have imposed fresh compliance responsibilities on employers.
In the early weeks of this month, a range of new laws addressing employee protections came into effect. These encompass guidelines related to cannabis use, paid leave, and pay transparency. Here are notable updates in employment regulations that business owners and their HR teams should take note of.
1. Off-Duty Cannabis Use
While recreational cannabis had already been legalized in California and Washington, these states have enhanced employment safeguards concerning its consumption.
Commencing this year, employers in these states are prohibited from discriminating in hiring based on an applicant’s off-duty cannabis usage—meaning the use of cannabis outside of the workplace. This applies regardless of whether the employee tests positive for cannabis in a drug test.
Furthermore, California-based employers are not allowed to inquire about an applicant’s past cannabis use or take into account information, including criminal history, related to an applicant’s or employee’s previous cannabis consumption. However, exceptions exist, particularly for positions that are safety-sensitive or government-related, where employers are legally required to conduct such tests.
Kara Govro, chief legal expert at Mineral, an HR compliance company, highlights that more states that have legalized recreational cannabis might adopt similar measures in the foreseeable future.
2. Additional Victim Protection
Oregon has introduced a groundbreaking victim protection law, distinguished by its incorporation of victims of bias. Under this comprehensive law, all employers in the state are barred from discriminating against an applicant or employee based on their status as a hate crime victim and are obligated to offer reasonable safety accommodations upon request.
The accommodations specified by the state encompass potential adjustments to an employee’s schedule, granting unpaid leave, or implementing additional security measures like new locks. Additionally, victims are entitled to protected leave to seek legal or law enforcement assistance or to access mental health support, and employers are prohibited from terminating or suspending them for exercising these rights.
Meanwhile, Nevada has bolstered protections for victims of sexual assault (individuals impacted by domestic violence were already covered by existing laws). The state now mandates employers to provide a maximum of 160 hours of leave for affected employees within 12 months following an assault.
3. Reproductive Loss and Bereavement Leave
A growing number of states are recognizing the importance of providing time off for individuals coping with traumatic or unforeseen losses within their families. In California, businesses with five or more paid employees are now mandated to offer up to five days of reproductive loss leave to their employees. This leave encompasses situations such as failed adoptions, unsuccessful surrogacies, miscarriages, stillbirths, or other related attempts and is required to be kept confidential.
Similarly, in Illinois, employees are now granted additional unpaid leave when they experience the loss of a child due to homicide or suicide. The duration of this extra leave varies based on the size of the employer. Additionally, Illinois has extended the period of unpaid leave available to employees whose family or household member falls victim to a violent crime.
4. More Paid Leave
Although the prospect of a federal paid leave law seems distant, state legislatures have been actively enacting their own policies.
In Illinois, employees are now entitled to a minimum of 40 hours of paid leave within a 12-month period, applicable for any reason. Meanwhile, in Minnesota, workers are guaranteed an additional hour of sick leave and paid time off for every 30 hours worked, up to a maximum of 48 hours per year. Additionally, California has raised the annual limit for sick leave that employees can utilize from 24 hours to 40 hours.
5. Pay Transparency and Pay Equity
Several states, including Washington, Rhode Island, Nevada, New York, Maryland, Connecticut, Colorado, and California, have already implemented pay transparency regulations that mandate employers to disclose salary information in job postings. In 2024, New Jersey, Massachusetts, and Illinois are considering similar pay legislation.
Some states are also revising or expanding their existing policies. For instance, Colorado’s Equal Pay for Equal Work Act, enacted in 2021, introduced additional requirements at the beginning of this year. Notably, employers in Colorado are now obligated to include application deadlines in their external job postings and internal promotional notices. Furthermore, employers must inform employees about the criteria for advancement and the corresponding pay upon advancement.
In Hawaii, employers must ensure equal pay across all protected categories in the state, extending beyond gender. Additionally, companies with 50 or more employees are now required to include the hourly rate or salary range in their job postings.
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