Virginia Labor Law Updates – July 2025

At INFINITI HR, we help small businesses stay compliant with evolving state labor laws. This July 2025 employment law changes post outlines new regulations impacting Virginia employers. Stay informed and protect your business from legal risk.

Please note: This blog is for informational purposes only. Employers should consult with their dedicated HR consultant or legal counsel to address specific requirements for their organization. Find past compliance updates and HR insights on our website.

VIRGINIA

New Non-Compete Law for Low-Wage and Non-Exempt Employees

SSince 2020, Virginia non-compete law has banned such clauses for “low-wage workers”. Effective 7/1/2025, “low-wage” has been increased to $76,081 annually. In addition, non-competes will not be allowed for all non-exempt employees. Agreements entered into prior to 7/1/2025 will remain valid.

“Covenant not to compete” means a “covenant or agreement between an employer and employee that restrains, prohibits, or otherwise restricts an individual’s ability, following the termination of the individual’s employment, to compete with their former employer.”

Employers must ensure their onboarding practices exclude non-agreements for low-wage workers and/or non-exempt employees. In addition, employers are required to display a copy of the law where they have other state and federal labor law postings.

Workplace Violence Reporting Requirements for Healthcare Employers – Effective July 1, 2025

Effective 7/1/2025, healthcare employers in Virginia must implement a new reporting system that tracks incidents of workplace violence, notify all employees of the system, and provide guidelines on when and how to report incidents of workplace violence. Employers must also implement a policy prohibiting discrimination or retaliation against employees for reporting workplace violence incidents, per Virginia workplace violence reporting requirements.

Interested in other current employment trends? Click the link to view the recent blog: State Labor Law Updates: What Employers Need to Know June 2025 or check back for more on HR compliance, 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 these topics, depending on where your business operates. It is strongly suggested that you seek consultation or legal counsel before making decisions about policies.