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Workplace laws are constantly evolving, and staying informed is essential for compliance and protecting your team. From California’s upcoming minimum wage increase to new paid sick leave rules in Pittsburgh, AI regulations in Colorado, and employee protections in Rhode Island and Washington, employers face important changes that require attention.

This legal update highlights the latest state and federal updates, offering practical insights to help you adjust policies, meet deadlines, and keep your workplace compliant.

Staying ahead of these updates isn’t just about compliance—it’s about creating a workplace that adapts, supports, and thrives. Let’s dive in.

State and Local Updates

CALIFORNIA

California Minimum Wage Will Increase to $16.90 For All Businesses on January 1, 2026: What Employers Should Do Now

California officials just announced that the statewide minimum wage will increase for all employers to $16.90 on January 1, 2026, as required by the state’s annual inflation-based adjustment process. The Department of Finance certified the applicable Consumer Price Index (CPI) increase with Friday’s announcement, triggering an impending rise in the statewide minimum wage for all businesses, regardless of size. What are the five things you need to know and what should you do in response to this announcement? READ MORE HERE.

Employee’s Arrest or Pending Charges in California Can Challenge HR
In California, employers face challenges when an employee is arrested. While an arrest may raise concerns about workplace safety and job suitability, state law limits what employers can do.

Key Points for Employers:

• Under Labor Code Section 432.7, employers cannot discipline or terminate an employee solely based on an arrest or pending charges that have not resulted in a conviction. Violations can lead to lawsuits, damages, and attorney’s fees.
• Employers may, however, enforce attendance policies if an employee is jailed and misses work.
• Restrictions set by the court (e.g., limits on computer use) do not obligate employers to accommodate.
• Employers may conduct their own investigation into the conduct behind the arrest and take action based on verified facts.

Because the law is complex and case-specific, employers should consult legal counsel before taking action. Ultimately, while employers can protect their business, staff, and reputation, they must do so within the legal boundaries of California labor law.

California CRD Publishes Notice on Rights for Violence Survivor

Effective July 1, 2025, the California Civil Rights Department (CRD) published its required notice, “Survivors of Violence and Family Members of Victims Right to Leave and Accommodations.” Employers must now provide this notice to employees at hire, annually, and upon request. An accompanying FAQ is also available on the CRD website.

Key Points for Employers:

• Employee Leave: Workers may take protected time off for court or administrative proceedings, or to care for family members impacted by qualifying acts of violence.
• Accommodations: Employers must engage in an interactive process for requests, similar to disability accommodations. Examples include adjusting schedules, changing phone numbers, or allowing a personal phone at work.
• Safety & Confidentiality: Requests and related documentation must remain confidential, except when required by law or for workplace safety. Employees must be notified before disclosures.
• Compliance Reminder: Employers should integrate these requirements into workplace violence and accommodation policies, and train managers and HR staff accordingly.

This update stems from Assembly Bill 2499, signed in September 2024, mandating the CRD to issue this guidance by July 2025.

California Reminds Employers of State Immigration Law Nuances

The California Department of Industrial Relations (DIR) has updated guidance on state requirements for handling federal immigration enforcement actions, including I-9 audits and worksite visits. This reminder underscores employer obligations under the Immigrant Worker Protection Act (AB 450), in effect since 2018.

Key Employer Duties:

• I-9 Audits: Employers must notify all current employees (and unions, if applicable) within 72 hours of receiving a Notice of Inspection. Notices must include agency details, audit date, and a copy of the inspection notice.
• Audit Results: Employers must provide affected employees with audit findings, deadlines to fix deficiencies, meeting details, and the right to representation. Delivery must be in person if possible, or by mail and email.
• Worksite Access: Employers cannot allow immigration agents into nonpublic areas without a judicial warrant, nor may they provide access to employee records without a subpoena or warrant.
• Penalties: Noncompliance may result in fines of $2,000–$5,000 for a first violation and $5,000–$10,000 for subsequent violations.

Next Steps: Employers should ensure HR teams are trained on California’s notice rules, access restrictions, and timelines to avoid costly penalties amid heightened federal enforcement activity.

COLORADO

Colorado Governor Calls Special Session to Revisit Groundbreaking AI Law: 3 Possible Paths We Foresee

Colorado Governor Jared Polis just called for a special legislative session starting August 21 to revisit the state’s landmark artificial intelligence law, signaling that employers and businesses may gain a reprieve from what is slated to be the nation’s most restrictive AI law. The law, set to take effect February 1, 2026, would impose first-in-the-nation restrictions on high-risk AI systems used in employment and other consequential decisions. But growing concerns from industry, regulators, and lawmakers triggered yesterday’s push by the Governor to pause, revise, or fine-tune the legislation before the clock runs out. Here’s what’s happening, the three possible paths we foresee during this session, and what your organization should be watching for. READ MORE HERE.

FLORIDA

Effective September 30, 2025, the state-wide minimum wage will increase to $14.00 per hour.

IOWA

Iowa Amends Drug Testing Statute, Relieves Some Employer Burdens

Iowa Drug Testing Law Eases Burdens for Employers

Effective July 1, 2025, amendments to Iowa’s drug testing statute shift the burden of proof to employees alleging violations, allow electronic or in-person notice of positive test results (instead of only certified mail), and give employers discretion to designate safety-sensitive positions. Employers should review and update policies to align with the changes.

MAINE

Effective September 24, 2025:

• Coverage under Orders of Protection will expand to include protections against discrimination.
• Clarification has been issued regarding permissible increments of intermittent leave under the state’s Paid Family and Medical Leave Law.
• Employers will now be required to provide show-up time/reporting time pay to employees.

MARYLAND

Maryland Again Delays Paid Family and Medical Leave Program

For the third year in a row, Maryland has pushed back the start of its Family and Medical Leave Insurance (FAMLI) program.

• Contributions delayed: Now set to begin Jan. 1, 2027 (originally July 2025).
• Benefits delayed: Will start between Jan. 1, 2027, and Jan. 3, 2028.
• Applies to all MD employers with at least one employee; funded by employer + employee contributions.
• Small employers (≤14 workers): No employer contributions required, but employees must contribute.
• Provides up to 12 weeks paid leave for childbirth, adoption, caregiving, personal serious health conditions, and certain military family needs.

Other Key Changes

• Defines an “anchor date” to determine eligibility and benefit calculations.
• Establishes minimum weekly benefit of $50 and maximum of $1,000 (increases with inflation starting 2029).
• Employers may still apply for exemption if they offer equal or better private plans.

Employer Takeaway:

The repeated delays mean final rules are still uncertain. Employers in Maryland should track upcoming guidance and prepare policies now to stay compliant once the program is finalized.

MISSOURI

Effective September 1, 2025, employers with 50 or more employees may participate in a state-run retirement savings plan.

Missouri Launches Voluntary Multiple-Employer Retirement Savings Plan

Effective September 1, 2025, covered Missouri employers with up to 50 employees may participate in the Show-Me MyRetirement Plan, a voluntary multiple-employer retirement savings plan run by the state. 

The Show-Me MyRetirement Plan Board is charged with establishing the plan and adopting implementing rules. The Board has the discretion to implement the plan in phases for different classes of individuals (such as employees of employers of different sizes). If the Board chooses to implement the plan in phases, the implementation schedule must be substantially completed by September 1, 2025.

+2023 Bill Text MO S.B. 75, enacting +§ 285.1000 R.S.Mo., et seq.

NEBRASKA

Effective September 15, 2025, employers must provide employees with written notice of their rights under the Nebraska Paid Sick Leave Law.

OHIO

Ohio Enacts Mini-WARN Act Requiring Notice Components

Effective Sept. 29, 2025, Ohio will require employers to provide 60 days’ advance notice of a “mass layoff” or “plant closing,” mirroring the federal WARN Act.

Key Points:

• Applies to employers with 100+ employees and layoffs of 50+ at a single site.
• Notice must go to employees, unions, the Ohio Department of Job and Family Services (ODJFS), and local municipal + county officials (more than Fed WARN requires).
• Notices must include detailed info: reason for layoff, dates, positions affected, bumping rights, unemployment benefits, employer contact, and available services.
• Employers must also share copies (or sample notices) with state and local officials.
• Penalties mirror Fed WARN, but no state-imposed fines.

Next Steps for Employers:

• Plan RIFs early to meet Ohio’s stricter notice requirements.
• Update policies and train HR/management on compliance.
• Consult counsel on exceptions (e.g., unforeseeable business circumstances).

OREGON

Effective September 28, 2025, employers are prohibited from asking age-related questions of applicants prior to completing an initial interview.

PENNSYLVANIA

Pittsburgh Expands Paid Sick Leave Requirements

On June 12, Pittsburgh Mayor Ed Gainey signed an amendment to the Paid Sick Days Act that increases both the accrual rate and annual leave amounts.

Effective Jan. 1, 2026:

• Employees will accrue 1 hour of sick leave for every 30 hours worked (previously 1:35).
  Employers with 15 or more employees must provide up to 72 hours of paid sick leave annually (up from 40).
• Employers with fewer than 15 employees must provide up to 48 hours annually (up from 24). 

Previously, Pittsburgh and Allegheny County had aligned sick leave rules. Without changes at the county level, employers in Pennsylvania may soon need to follow three different sets of standards:

Employers with workers in Pittsburgh should update their policies to stay compliant. The city will also release an updated workplace poster that must be displayed by the effective date.

RHODE ISLAND

Rhode Island’s New Workplace Laws: Menopause Protections, “Captive Audience” Meeting Ban, Minimum Wage Hikes, and More

Rhode Island employers must keep up with new workplace laws enacted this year, including some that have already taken effect. The state not only joined a growing number of states that prohibit so-called “captive audience” meetings and became the first to provide explicit protections for employees managing the menopausal transition, it also added new onboarding notice requirements and hiked the minimum wage for 2026. Here’s a quick guide to help you keep track of it all and prepare for the changes. READ MORE HERE.

WASHINGTON

Washington State Joins the Mini-WARN Act Club

On July 27, Washington became the latest state to adopt its own version of the federal WARN Act, requiring advance notice of certain business closings and mass layoffs. The law directs the state’s Employment Security Department (ESD) to enforce the statute, though rules are still pending.

Key Points for Employers:

• Who’s Covered: Applies to employers with 50+ Washington employees (excluding part-time). Federal WARN applies at a higher threshold (100+ employees).
• Notice Requirement: At least 60 days’ written notice to affected employees (or unions) and the ESD before a business closing or mass layoff.
• Definitions Differ from Federal WARN:
– Business Closing: Shutdown impacting 50+ employees, even if gradual.
– Mass Layoff: 50+ employees affected in 30 days, not tied to a single site or                    workforce percentage.
– Employment Loss: Includes terminations, layoffs over six months, or 50% hour reductions.

• Exceptions: Similar to federal WARN (faltering company, unforeseeable business circumstances, natural disasters), but Washington also exempts certain construction layoffs.
• Notice Content: Washington requires more detail than federal WARN, including names, job titles, addresses of affected employees, and separation schedules.
• Additional Protections: Employees on paid family or medical leave cannot be counted in a mass layoff.

Enforcement:
Employees, unions, or the state may sue for violations. The ESD also has authority to assess penalties and enforce compliance.

Action Step: Employers operating in Washington should review both state and federal WARN requirements, as some workforce reductions may trigger one law but not the other — or both.

FEDERAL-LEVEL UPDATES

Trump’s AI Action Plan: The Impact on HR and Employers

On July 23, President Trump released a national AI workforce strategy alongside three executive orders (EOs) that reshape how employers engage with AI. The plan emphasizes reskilling, workforce readiness, deregulation, and political neutrality in AI systems.

Key Elements
• Workforce Strategy: Tax-advantaged AI training, apprenticeships, retraining hubs, and pilot programs to help workers adapt to AI-driven change.
• Neutral AI Models: Federal contractors must ensure politically neutral AI systems. Procurement rules and compliance standards will shift accordingly.
• Infrastructure Deregulation: Streamlined permits for data centers, semiconductor facilities, and AI-related energy projects, creating new hiring needs in construction and skilled trades.
• Export Promotion: Expanded efforts to export U.S.-made AI technology to allies while countering Chinese influence.

 Implications for HR
• Strategically integrate AI to enhance, not replace, human capability.
• Center worker well-being in AI adoption through impact assessments and employee involvement.
• Offer tax-free AI training to boost retention and readiness.
• Build pipelines via apprenticeships and partnerships with schools.
• Use labor market data to guide skills planning and retraining initiatives.

For employers, the plan signals a major federal push to accelerate AI adoption while holding organizations accountable for both compliance and workforce impact.

Workplace Law Update: 10 Essential Items on Your August 2025 To-Do List

Here are the top ten items you should tackle in August, based on the latest workplace law developments and upcoming critical compliance dates:
READ MORE HERE.

How Will Non-Profits Be Impacted by the Big Beautiful Bill? Your Guide to Key Changes Affecting Charitable Giving, Excise Taxes, and More

President Donald Trump signed a massive budget bill last month – the “One Big Beautiful Bill Act” (OBBBA) – and it significantly impacts non-profits and tax-exempt organizations. While some of the new changes may be beneficial, many others will increase financial and compliance burdens for your organization. Here’s an overview of the OBBBA’s impact on non-profits – including the good, the bad, and the ugly. READ MORE HERE.