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.
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 Covid-19 Notification Requirements – Effective 1/1/2021
Effective in January 2021, the state of California is requiring employers to notify 1) all affected employees in writing who may have been exposed to Covid-19 in the workplace within one business day and provide relevant benefit information and disinfection/cleaning plans and 2) local health officials of an outbreak (3 or more cases) within 48 hours
CO COMPS order effects exempt salary threshold on January 1, 2021
The new minimum salary threshold requirement for exempt employees is approaching for employers complying with the new CO OT & Minimum Pay Standards order (COMPS), which became effective in March of 2020.
This new exempt salary threshold will take effect on January 1, 2021 – to $40,500 – and will continue to increase through to January 1, 2024, up to $55,000. Thereafter, the threshold will adjust annually for inflation.
There are only two exceptions for the 2020 salary threshold: (1) non-profit employers with annual total gross revenue of under $50 million; and (2) for-profit employers with annual total gross revenue of under $1 million.
To avoid the need to pay overtime and maintain employees’ exempt classification under the new Colorado law, it is important to note the new thresholds will exceed the current federal threshold and employers must post the related poster.
Colorado employers must pay the higher of the state or federal thresholds in order to retain their employees’ overtime exemptions (i.e., you may need to pay the Colorado minimum after January 1, 2021, because it will exceed the federal threshold after January 1, 2021).
Connecticut Paid Family and Medical Leave Act – Effective January 1, 2021
Connecticut’s Paid Family and Medical Leave Act (CTPFMLA) allows employees access to paid leave for qualifying events covered under the federal Family and Medical Leave Act of 1993 (FMLA), the Connecticut Family and Medical Leave Act (CTFMLA) and the Connecticut Family Violence Leave Act.
Eligible employees may take up to 12 weeks of paid leave in a 12-month period.
Employee eligibility requirements are as follows:
- Employee must have earned at least $2,325 in wages in the first four (4) of the past five (5) quarters; and
- Employee is currently working for a covered employer or has worked for a covered employer in the past 12 weeks.
Eligible employees may take Paid Family and Medical Leave for the following reasons:
- The birth of a child of the employee (up to 14 weeks*);
- The placement of a child with the employee for adoption or foster care;
- To care for the employee’s family member who has a serious health condition or injury;
- The employee’s own serious health condition or injury;
- In order to serve as an organ or bone marrow donor;
- For any qualifying exigency, arising out of the fact that the spouse, son, daughter or parent of the employee is on active duty, or has been notified of an impending call or order to active duty, in the armed forces; or
- To care for a military family member who is injured during active duty.
- If an employee is experiencing family violence, they can apply to take up to 12 days of paid leave**. Reasons for family violence include:
- to seek medical or psychological care;
- to seek care from a victim services organization;
- to relocate; or
- to participate in any civil or criminal proceeding relating to family violence.
* In the event an employee experiences a serious health condition resulting in incapacitation that occurs during a pregnancy, the employee may qualify for an additional two (2) weeks of paid leave benefits for a total of 14 weeks.
**Employees are only eligible for up to 12 days of paid leave for family violence events.
Pennsylvania Minimum Salary Threshold for Executive, Administrative and Professional Occupations Effective October 2, 2020.
The Department of Labor and Industry (DLI) amended the PA Minimum Wage Act’s requirements and minimum salary for PA exempt employees in executive, administrative and professional occupations.
The PA Minimum Wage Act provides an exemption from both minimum wage and overtime pay requirements for employees in executive, administrative, or professional roles. To qualify for the exemption, employees must meet certain tests regarding their salary and their duties. The duties test has been updated, making it easier for employers to comply with law. It is important to understand that being paid a salary does not automatically qualify an employee for one of these exemptions. Furthermore, job titles do not determine exempt status.
The PA Minimum Wage Act also amended the minimum exempt salary threshold, which will increase as follows:
- $684 per week, $35,568 annually (per current federal rule), became effective January 1, 2020;
- $780 per week, $40,560 annually on October 3, 2021; and
- $875 per week, $45,500 annually on October 3, 2022.
Starting in 2023, the minimum salary threshold will adjust automatically every three years.
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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.