Labor Law Updates for July – 2021

INFINITI HR is happy to provide Monthly State Law Updates as a service to our subscribers. These briefs provide a general description and are not meant to be all inclusive of compliance requirements. This list is not inclusive of all legislative changes for employers across the U.S. Changes may have been addressed in previous updates, which can be accessed from our blog.

This list is not inclusive of all legislative changes for employers across the U.S. Other changes may have been addressed in previous updates, which can be accessed online on our partner website inspiringhr.com.

Employers are encouraged to work with their Inspiring HR Consultant before making policy changes to capture the full requirements of these laws.

Some of the notable upcoming State Changes in this issue are as follows:

CALIFORNIA

CA – OSHA updates – Effective 6/17/2021

The California Department of Occupational Safety and Health (DOSH) has issued updated rules for employers regarding employee vaccination status, record-keeping, facial coverings and physical distancing that closely align with CDC recommendations.  https://www.dir.ca.gov/dosh/coronavirus/Revisions-FAQ.html

DELAWARE

DE – CROWN Act – Effective 4/13/21

The state of Delaware joins other states in adding a prohibition of discrimination based on “protective hairstyle” – primarily those associated with race, such as texture, braids, locs and twists.  The new legislation includes a synopsis of a 2019 study showing disparate treatment of Black women in the workplace based on hairstyle.

NEVADA

NV Paid Leave & Covid Leave Changes – Effective Immediately

Affects private employers with 50 or more employees in NV and who have been in operation for at least 2 years.

Amends Paid Leave and adds Paid COVID 19 Vaccination Leave. Leave laws already prohibit retaliation or adverse action against employees using covered leave. The purpose of these changes is to ensure that specific circumstances receive protection under existing Paid Leave laws.

Paid Leave, amended – Requires covered employers to allow employees to use paid leave for any use, and now specifically including:

• Treatment of a medical or physical illness, injury or health condition;
• Receiving a medical diagnosis or medical care;
• Participating in caregiving; or
• Addressing other personal needs related to the health of the employee.
• Receiving or participating in preventative care;

Paid COVID-19 Vaccination Leave, new – Requires covered employers to provide:

• For a one-dose vaccine, 2 consecutive hours of leave.
• For a two-dose vaccine, 2 consecutive hours of leave per injection.

Expiration: Paid COVID-19 Vaccination Leave expires December 31, 2023.

NV Race Non-Discrimination – Effective Immediately

Affects all private employers.  Existing law already prohibits employers from discriminating on the basis of race.

New law clearly defines “race” to mean “traits associated with race, including, without limitation, hair texture and protective hairstyles.” “Protective hairstyles” includes, “without limitation, hairstyles such as natural hairstyles, afros, bantu knots, curls, braids, locks and twists.”

NV Compensation Disclosures – Effective October 1, 2021

Affects all private employers.

What’s included in the law:

New restrictions on when employers and employment agencies may request and use an applicant or employee’s wage or salary history, and requirements for disclosure of the wage range or rate for a position. Under the law, employers may not:

• Seek applicants’ “wage or salary history”;
• Use applicants’ wage or salary history to determine whether to hire them or determine their rate of pay; or
• Discriminate or retaliate (e.g., refuse to interview, hire, promote, or employ) against applicants for refusing to provide their wage or salary history.

The law also requires that employers disclose the wage or salary range or rate for a position to applicants for employment who have interviewed for the position. Further, employers must disclose the wage or salary range or rate for a position to existing employees seeking promotion or transfer to that position if the employee has:

• Applied for promotion or transfer to the position;
• Completed an interview for or been offered the promotion or transfer; and
• Requested the wage or salary range or rate for the position.

NV Required Posting – Effective October 1, 2021.

Affects all employers regardless of size. The required workplace poster is in development.  Details on the upcoming requirement can be found here.

What’s required:

1. An official notice must be posted in the workplace concerning the Department of Employment, Training and Rehabilitation’s Career Enhancement Program (CEP) and Nevada JobConnect programs.
2. The posting describes the functions and services provided by CEP and provides web addresses for CEP and the JobConnect program.

Non-Competition Restrictions – Effective October 1, 2021.

Affects all employers regardless of size. Under existing law, a non-competition covenant must meet certain requirements to be enforceable, and is prohibited from restricting a former employee from providing service to a former customer or client under certain circumstances.

What’s new:

The amendment stipulates that employers are explicitly prohibited from bringing an action to restrict a former employee from providing service to a former customer or client if:

• The former employee did not solicit the former customer or client;
• The customer or client voluntarily chose to leave and seek services from the former employee; and
• The former employee is otherwise complying with the limitations in the covenant as to time, geographical area and scope of activity to be restrained, other than any limitation on providing services to a former customer or client who seeks the services of the former employee without any contact instigated by the former employee.

The amended law now prohibits non-competes for any “employee who is paid solely on an hourly wage basis, exclusive of any tips or gratuities.”  If a court finds that a non-compete applies to an employee “paid solely on an hourly wage basis,” the court will award the employee reasonable attorney’s fees and costs, regardless of whether it was the employer or the employee who brought forward the challenge to the covenant.

NORTH CAROLINA

NC – Payroll Practice Changes – Effective Immediately

Recent legislative changes to the North Carolina Wage and Hour Act (NCWHA) affect how employers address certain payroll practices. Employers must provide to a newly hired employee written notification of promised wages, payday, and place of payment. Thus, an employer no longer has the option of orally notifying employees of promised wages. Employers must provide a written notice at least an entire pay period before making any changes in promised wages. Separated employees must submit a request in writing if they want their final paycheck mailed to them, and the paycheck must be sent using trackable mail.

NEW JERSEY

NJ WARN Act Amendment – Effective July 19, 2020

The New Jersey WARN Act has new employer eligibility and requirements.  The following changes will apply to NJ employers:

• A Covered Employer – NJ WARN will apply to all employers with 100 employees or more regardless of their length of services or hours work and has been in operation for a minimum of three years.
• Layoff Triggers – NJ WARN is triggered by the termination or layoff of a minimum of 50 employees, regardless of the length of service or hours worked by the employee. The layoff amount is the total number of employees across the state, not just in one location.  Layoffs are only counted if they are all within a single 30-day period, or within a 90-day period if it cannot be proved the terminates are for separate and distinct reasons.  The layoff of seasonal employees is not considered termination of employment under the law.  Also, transferring employees to another state or transferring employees more than 50 miles from the original location of employment is considered termination of employment if the employee does not accept the transfer.
• Notification Requirement – Employers are now required to provide 90 days advance notice to all affected employees. If 90 days advance notice is provided, the total severance amount increases by four weeks.
• Severance Pay – Employers are now required to provide severance pay to all terminated employees.  Severance pay is equal to one week of pay for every year of service.  If proper notification is not provided, the employee will receive an additional four weeks of severance pay.

Interested in other current employment trends? Click the link to view the recent blog: Will Your New Employee “Ghost” You? or check back for more on human resources, payroll, insurance, and benefits.

This article does not constitute legal advice and there are subtle variations in employment law as it pertains to this topic, depending on where your business operates. It is strongly suggested that you seek consultation or legal counsel before making decisions about policies.