An informational overview of new regulations reshaping the workplace.
The year 2025 has arrived with new employment laws. Some are already in full effect, others are entering a transition phase or pending further review. Whether focused on non-compete reforms, paid family leave expansions, or more specialized mandates, these changes underscore how quickly the workplace landscape can evolve.
FTC Proposal And Ongoing Legal Disputes
A Federal Trade Commission (FTC) proposal to ban non-compete agreements (except for senior executives making over $151,164) is still pending in the courts. Meanwhile, multiple states, such as Colorado, already restrict non-competes. Pennsylvania’s House Bill 1633 has specifically limited them for certain health care practitioners. Employers may want to note that several court rulings are expected in the months ahead.
Paid Leave Laws
Several states ramped up or introduced paid family and medical leave on January 1, 2025. Examples include:
- Delaware: Employers must begin payroll contributions to fund the statewide Paid Family and Medical Leave program; the first payment deadline is April 30.
- Connecticut: Under House Bill 5005, more employers must now offer paid sick leave, with further expansions slated for 2026 and beyond.
- Maine: Its Paid Family and Medical Leave program kicked off payroll deductions on January 1, though full benefits phase in later.
These state-level laws often interact with (or go beyond) the federal Family and Medical Leave Act (FMLA), creating different entitlements depending on location.
Mandatory Salary Range Disclosures
More jurisdictions require or encourage employers to list pay scales and benefits in job postings. For instance, Illinois (House Bill 3129) and Minnesota (Senate File 3852) specify that advertised roles must include a wage or salary range and general benefits details. Cities like St. Paul have also tightened wage theft ordinances, requiring more detailed wage statements at hire and each pay period. Employers that post nationally may need consistent practices to avoid compliance pitfalls.
AI In Hiring And HR Tasks
New or proposed laws require employers to evaluate AI-driven tools for potential bias. The Equal Employment Opportunity Commission (EEOC) has issued technical guidance urging oversight on algorithms that might disproportionately screen out protected groups. Some states are drafting or enacting laws targeting AI oversight in human resources (HR), suggesting that AI usage in job applications or performance reviews will remain an active area of regulation in 2025.
Select State-Specific Changes Worth Noting
- New Hampshire (HB 1336): Restricts employers from barring lawful firearm storage in an employee’s locked vehicle if the employer receives public funds.
- Rhode Island (HB 7171): Increases available temporary caregiver paid leave from six to seven weeks in 2025, and to eight weeks in 2026.
- Washington (SB 5793): Allows employees to use paid sick leave when their child’s school is closed due to a public health emergency; also expands the definition of family member for sick leave.
How GMS Can Help
Group Management Services (GMS) specializes in supporting small to midsize businesses as they face complex changes in HR, payroll, and compliance. From addressing new paid leave mandates to aligning job postings with pay transparency rules, GMS can simplify your administrative workload. If you’re looking for a partner who stays on top of shifting regulations so you can focus on running your business, contact GMS today to learn how we can help.