State Laws Impacting Business in 2024

04 Jan 2024  /  Joshua Bam

State Laws Impacting Business in 2024

The year 2024 brings a wave of new state laws impacting various aspects of businesses, from labor practices and transparency requirements to privacy regulations. Let’s explore some of the key changes and their implications for companies across the United States.

Labor Laws and Minimum Wage Increases
The beginning of the year saw minimum wage hikes in over 20 states, setting the stage for further increases throughout the year. In California, fast-food chain workers are slated to receive a substantial raise to a minimum of \$20 per hour starting April 1. Meanwhile, New York has set minimum wages at \$16 per hour for workers in and around New York City and \$15 per hour for those in the rest of the state.

Leave Policies
Workers in several states now enjoy extended time-off benefits. California, for instance, implemented a law effective January 1, granting workers five days off each year for illness or caring for sick family members. Additionally, Californian workers can take up to five days of leave after pregnancy loss.

Minnesota also introduced a program requiring employers to provide six days of paid sick leave annually, starting January 1. Similarly, Illinois now mandates employers to offer five days of paid time off for any reason.

Pay Transparency
The trend toward pay transparency continues in Hawaii, where employers with over 50 workers must include salary ranges in job postings, reflecting expected compensation. Similar laws have been enacted in California, Colorado, New York, and Washington.

Drug Tests
Washington has restricted the use of drug tests in hiring decisions, specifically for cannabis metabolites. Employers can no longer refuse to hire based on the detection of these metabolites, aligning with California’s prohibition on inquiries about prior cannabis use.

Criminal Records
New York is set to automatically seal most criminal records for individuals who have served their sentences and remained trouble-free, with exceptions for certain industries. This law, effective November 16, aims to facilitate rehabilitation and reintegration into the workforce.

Right to Repair
California’s new electronics “right to repair” law, effective July 1, requires companies to facilitate easier device repairs, impacting major players like Apple and Google. Minnesota has also passed a similar law set to take effect on the same date.

Environmental, Social, and Governance (ESG)
California is at the forefront of ESG regulation, compelling companies using carbon offsets to disclose details of their use. Meanwhile, Illinois requires investment managers working with public pensions to disclose their integration of factors like greenhouse gas emissions and labor practices.

Privacy Laws
The Utah Consumer Privacy Act, effective December 31, 2023, aligns with other state privacy laws, setting thresholds for businesses. However, it stands out by not providing consumers with correction rights or mandating privacy assessments.

Looking ahead to 2024, several states, including Washington, Oregon, Texas, Florida, and Montana, will implement new privacy laws. These laws cover various aspects, such as health data in Washington, business operations in Oregon, and stringent thresholds for businesses in Florida.

In conclusion, businesses must stay vigilant and adapt to the evolving regulatory landscape, ensuring compliance with labor laws, privacy regulations, and emerging ESG requirements. Stay informed, review these changes carefully, and contact our Business Law attorneys to navigate the complexities of these new state laws effectively.

What Should You Do Next?

It's simple. If you're still unsure what any of this means, we highly encourage you to do some more research—and more importantly—talk to Josh to navigate these and other laws/policies.

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