TIP SHEET
Midyear legislative updates can have a significant impact on businesses, making it essential to prepare for potential changes in employment laws and compliance requirements. Here are some tips on how to prepare for midyear legislative updates and stay on top of your compliance obligations.
This may seem like an obvious first step, but it still bears mentioning. Having an exact handle on your locations will prepare you for potential legislative changes. Some jurisdictions are more active than others (hello, California). And don’t simply rely on ZIP codes to determine the applicable jurisdiction, either. You may end up preparing for or applying a new law that doesn’t relate to your location.
Several state legislatures adjourn in May or June each year, which means there can be a flurry of activity as the sessions wind down. Others are essentially in session year-round (as is the case with county and city government). Still, employers should monitor potential deadlines for legislation that may impact their locations moving forward. At the same time, it’s also a good idea to know when legislatures reconvene.
Large employers know to ensure they’re on top of all the July 1 minimum wage updates each year. But as legislatures adjourn, it’s also prudent to check on the effective dates of any new laws. Some, of course, go into effect immediately. Others — especially paid family and medical leave laws — may have multiple deadlines, i.e., dates for payroll taxes to start being collected or when employees may begin using benefits.
As spring turns to summer and some lawmakers are off, it could be a slow time (fingers crossed) for your organization. If so, it makes sense to use this time to audit your compliance programs. Do all your locations have the correct labor law posters displayed? Are you set for odd minimum wage updates like June (Connecticut) or September (Florida)? What about sexual harassment training deadlines? Data reporting? Take advantage if you can.
If you have a solid grasp on the items above, there may still be research to do when it comes to employment law compliance. Once a law is passed, government officials provide final rules or additional guidance after the effective date to help employers adhere to the smaller details. If you’re struggling with a particular facet of a law, check to see if additional resources are available.
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