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HR Newsletter

Winter 2025 Edition

Posted on: January 29, 2025                                                                                                  

Minimum Wages & Compliance Changes 

Calendar and snacks

Below is a summary of wage increases and compliance requirements that took effect recently or will take effect soon.

Minimum hourly wage increases

The minimum wages and effective dates below are not exhaustive. There may be additional state and local jurisdictions that have scheduled increases or additional employees (EEs) that are impacted. 
 
Check the government sites that apply to your jurisdiction over the upcoming months to help ensure compliance with changing minimum wage rates and their effective dates. 

State

January 1, 2025

Alaska

$11.91

Arizona

$14.70

California

$16.50

Colorado

$14.81

Connecticut

$16.35

Delaware

$15.00

Illinois

$15.00

Maine

$14.65

Michigan

$10.56

Minnesota

$11.13

Missouri

$13.75

Montana

$10.55

Nebraska

$13.50

New Jersey

$15.49 (Six or more employees)

$14.53 (Five or fewer employees and seasonal employers)

New York City, New York

$16.50 

Long Island and Westchester Counties, New York

$16.50

New York

$15.50 (Areas other than New York City, Long Island and Westchester Counties)

Ohio

$10.70 (Employers with annual gross receipts of more than $394,000 per year)

Rhode Island

$15.00

South Dakota

$11.50

Vermont

$14.01

 Virginia

$12.41

Washington

$16.66

February  21, 2025

Michigan

$12.48

 

 

Local 

January 1, 2025

Flagstaff, Arizona

$17.85

Tucson, Arizona

$15.00

Belmont, California

$18.30

Burlingame, California

$17.48

Cupertino, California

$18.20

Daly City, California

$17.07

East Palo Alto, California

$17.45

El Cerrito, California

$18.34

Foster City, California

$17.40

Half Moon Bay, California

$17.47

Hayward, California

$17.36 (26 or more employees)
$16.50 (25 or less employees)

Los Altos, California 

$18.20

Menlo Park, California 

$17.10

Mountain View , California     

$19.20

Novato , California 

$17.27 (100 or more employees)
$17.00 (26 to 99 employees)
$16.50 (25 or fewer employees)

Oakland, California

$16.89
$18.36 (Hotel workers with health benefits)
$24.48 (Hotel workers without health benefits)

Palo Alto, California

$18.20

Petaluma, California

$17.97

Redwood City, California

$18.20

Richmond, California

$17.77 (Employer pays less than $1.50 per hour toward medical benefits) 

$16.50 (Employer pays at least $1.50 per hour toward medical benefits)

San Carlos, California

$17.32

San Diego, California

$17.25

San Jose, California

$17.95

San Mateo, California

$17.95

San Mateo County, California (unincorporated areas only)

$17.46 

Santa Clara, California

$18.20

Santa Rosa, California

$17.87

Sonoma, California

$18.02 (26 or more employees) 
$16.96 (25 or fewer employees)

South San Francisco, California

$17.70

Sunnyvale, California

$19.00

West Hollywood, California

$19.65

Boulder County, Colorado  (unincorporated areas only)

$16.57

Boulder, Colorado

$15.57

Denver, Colorado

$18.81

Edgewater, Colorado

$16.52

Portland, Maine

$15.50

Rockland, Maine

$15.38

Howard County, Maryland

$16.00 (15 or more employees)

St. Paul Minnesota

$15.97 (101 or more employees)

Albuquerque, New Mexico

$12.00 (state minimum wage)

Las Cruces, New Mexico

$12.65

Bellingham, Washington

$17.66

King County, Washington (unincorporated areas only)

$18.29 (16-499 employees)

$18.29 (15 or fewer employees and annual gross revenue of $2 million or greater)

$17.29 (15 or fewer employees and an annual gross revenue of less than $2 million)

Renton, Washington

$18.90 (15 to 500 employees worldwide)
$18.90 (1-14 employees with over $2 million in annual gross revenue in Renton)

Seattle, Washington

$20.76

SeaTac, Washington

$20.17 (Hospitality and transportation employees)

Tukwila, Washington

$20.10 (15 to 500 employees)

$20.10 (fewer than 15 employees and over $2 million in annual gross revenue in Tukwila)

$16.66 (fewer than 15 employees and earn $2 million or less in annual gross revenue in Tukwila)

March 1, 2025

 

Santa Fe County, New Mexico

$15.00

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Compliance updates

Federal updates

November 13, 2024

Labor board rules mandatory employer meetings about unionization are unlawful. Employers are prohibited from requiring employees to attend meetings in which the employer expresses their views on unionization. 

January 1, 2025

IRS releases 2025 HSA and HDHP limits. The Internal Revenue Service via Revenue Procedure 2024-25 released the inflation-adjusted contribution limitations for calendar year 2025 in relation to health savings accounts and high-deductible health plans.

January 13, 2025

Automatic extension of employment authorization  is permanently expanded. The U.S. Department of Homeland Security has published a final rule that permanently increases the automatic extension period of employment authorization and/or Employment Authorization Document (Form I-766 or EAD) validity from up to 180 days to up to 540 days. 

State and local updates

Alaska

ak 4.5

January 1, 2025

Alaska minimum salary for overtime exemption to increase twice in 2025. The minimum salary required to qualify for exemption from overtime under Alaska state law increased from $938.40 per week to $952.80 per week as a result of an annual adjustment to the state’s minimum wage for inflation. The minimum salary for overtime exemption will also increase to $1,040 per week beginning July 1, 2025.

California

CA outline

January 1, 2025

California bars mandatory meetings on political or religious matters. California prohibits employers from taking adverse action against employees because they refuse to attend an employer-sponsored mandatory meeting that communicates the employer’s opinion about political or religious matters.

California phases out subminimum wage for workers with disabilities.  A multiyear phaseout plan for the subminimum wage program now entitles an employee with a disability to receive the full minimum wage by January 1, 2025.

California amends rules on required whistleblower notice. California clarifies requirements and compliance for the whistleblower protections notice.

California raises minimum pay for overtime exemptions for 2025. The pay rates that computer software employees and physicians must receive in order to be exempt from overtime has increased. Additionally, the minimum salary required for the administrative, professional, and executive overtime exemptions also increased. 

California amends rules for paid family leave. California prohibits employers from requiring an employee to use two weeks of accrued vacation time before they can access paid family leave benefits. 

California expands protections for crime victims. California has expanded the list of crimes for which employees are entitled to take time off and allows employees to take time off to help family members who are the victims of such crimes.

California limits when employers can require driver’s licenses. California restricts employers from including in a job posting or advertisement that a candidate must have a driver’s license

California clarifies law prohibiting hairstyle discrimination. California removed the word "historically" from its  law that prohibits hairstyle discrimination. As such,  discrimination based on traits associated with race, including, but not limited to, hair texture and protective hairstyles is prohibited under state law. 

California clarifies nondiscrimination law. The California Fair Employment and Housing Act prohibits discrimination on the basis not just of individual protected traits, but also on the basis of the combination of two or more protected traits. 

 

Connecticut

Connecticut icon

January 1, 2025

Connecticut expands paid sick leave law. The expansion of the paid sick leave requirement will be phased in. Effective January 1, 2025, employers with 25 or more employees in the state must provide paid sick leave to employees.

Delaware

DE outline

January 1, 2025

Contributions for Delaware Paid Leave begin. Covered employers must begin contributing to Delaware Paid Leave. Employers may deduct up to 50% of the required contributions (0.4% Medical Leave, 0.08% Family Caregiver Leave, and 0.32% Parental Leave) from each covered employee’s wages. The state has issued guidance and regulations on Delaware Paid Leave.

 Illinois

IL outline-2

January 1, 2025

Illinois enacts new pay statement requirements. Illinois has  implemented new employer pay statement requirements in relation to recordkeeping and employee requests for copies of pay statements. 

Illinois amends law on employee access to personnel records. Illinois  has amended and clarified the state’s Personnel Record Review Act. 

Illinois adds new work protections for minors under age 16. Illinois set new standards for working conditions for employees under 16 years of age, including limiting hours of work and updating the list of jobs minors are prohibited from holding.  

Illinois adds employment verifications protections. Illinois  prohibits employers from imposing work authorization or re-verification requirements that are greater than those required by federal law.  The state has also provided clarifications on these requirements.

Illinois bars mandatory employer-sponsored meetings on religious or political matters. Illinois prohibits employers from taking adverse action against employees because they refuse to attend an employer-sponsored mandatory meeting that communicates the opinion of the employer about religious or political matters.

Illinois prohibits discrimination because of family responsibilities. Illinois prohibits employers from discriminating against employees on the basis of their family responsibilities.

Illinois prohibits discrimination because of reproductive health decisions. Illinois prohibits employers from discriminating against employees on the basis of their reproductive health decisions.

Kentucky

 KY outline

January 1, 2025

Kentucky allows medicinal use of cannabis. Kentucky allows adults to use medicinal cannabis for certain medical conditions and provides employers’ rights regarding an employee's use of medicinal cannabis.

Maine

ME outline

January 1, 2025

Maine contributions and reporting start. Contributions and quarterly reporting for Maine’s paid family and medical leave program began on January 1, 2025. 

Michigan

mioutline

February 21, 2025

Michigan minimum wage and paid leave laws change. Just as a ruling by the Michigan Supreme Court was set to take effect, the state enacted two pieces of legislation that amend the state’s minimum wage and paid sick leave requirements further. 


Minnesota

MN Outline 

January 1, 2025

Minnesota enacts law impacting pay transparency. Minnesota employers with 30 or more employees, including nonprofits and state and local governments, must provide a minimum and maximum annual salary range or hourly range of compensation, or a fixed pay rate, on job postings.  

St. Paul, Minnesota enacts wage theft ordinance. St. Paul, Minnesota has enacted a wage theft ordinance designed to strengthen worker protections.  

Nevada

NV outline

February 13, 2025

Nevada adds heat illness prevention requirements. The Nevada Division of Industrial Relations approved a heat illness prevention regulation that adds worker protections from indoor and outdoor heat hazards. 

New Hampshire

NH Outline

January 1, 2025

New Hampshire regulates firearms in employer parking lots. New Hampshire limits certain employers from banning an employee from possessing lawfully owned firearms in a personal vehicle parked on company property. 

New York

New York icon

November 16, 2024

New York seals certain criminal records. New York will automatically seal certain criminal records and require employers to review hiring processes related to an applicant's criminal history. 

January 1, 2025

New York requires paid prenatal leave. New York employers must provide 20 hours of paid prenatal personal leave to eligible employees. The state has released guidance to clarify its paid prenatal personal leave law.

New York adds mental health protections to state workers' compensation law. The New York State Workers' Compensation Law allows all workers to file for workers' compensation for mental injury due to extraordinary work-related stress incurred at work.  

March 4, 2025

New York takes action to prevent violence in retail. The Retail Worker Safety Act requires employers with 10 or more retail employees to implement a workplace violence prevention policy and provide training and notice on workplace violence prevention to employees.

Oregon

OR Outline

January 1, 2025

Oregon releases 2025 paid leave premium rates.  For 2025, the following rates remain unchanged from 2024: the Paid Leave Oregon contribution rate (1% of employee wages up to the social security wage base of $176,100), the employee contribution rate (.60%), and the employer contribution rate (.40%). 

Rhode Island

image-png-Sep-23-2024-09-45-23-7809-PM

January 1, 2025

Rhode Island requires veterans benefits and services poster. Rhode Island will require employers with more than 50 employees to post a veterans’ benefits and services poster.

Rhode Island expands family leave. The length of leave available to employees under the Temporary Caregiver Insurance law will increase to 7 weeks. 

Rhode Island increases unemployment benefits. The minimum dependent allowance (benefits to be paid to an employee during a period of unemployment due to an employee illness that is based on factors such as the number of eligible dependents) is scheduled to increase from $10.00 per week to $20.00 per week. 

Tennessee

TN outline

November 6, 2024

Tennessee expands voting leave. Tennessee extends the amount of time an employee can use for voting leave.

Washington

image-png-Sep-23-2024-09-45-39-3476-PM

 

January 1, 2025

Washington announces overtime salary thresholds. The Washington white collar overtime exemption salary thresholds will increase to $1,332.80 per week ($69,305.60 per year) for small employers (50 or fewer employees) and $1,499.40 per week ($77,968.80 per year) for large employers (51 or more employees). If paid by the hour, computer professionals must be paid at least $58.31 per hour in 2025 to qualify for the exemption.

Washington State announces 2025 paid family & medical leave (PFML) premiums. The total PFML premium (combined employer and employee share) will be 0.92 percent. This is an increase of 0.18 percent from the 2024 rate of 0.74 percent. 

Washington expands paid sick leave protections. Washington expands the circumstances under which an employee may take paid sick leave and the defintion of a covered family member for purposes of paid sick leave, under the law. 

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