New Employment Laws For The New Year, 2024
In 2023, federal, state, and local governments passed legislation for the workplace which take effect In early 2024. Most were intended to protect employees, meaning that many employers need to make policy and procedure revisions to ensure compliance.
At the federal level, these changes call for review by your company:
OSHA Final Rule on Workplace Injury and Illness Reporting Requirements, effective 1/1/2024
As the name suggests, this law amends the recordkeeping and reporting requirements for occupational injury and illness. Certain employers are now required to submit illness and injury information electronically to OSHA. Since companies already are required keep records of this information, the sole additional mandate is annual electronic reporting, using forms specified by OSHA according to the number of employees.
NLRB Final Joint Employer Rule, effective 2/26/2024
This rule replaces a rule published on February 26,2022, and in effect returns the National Labor Relations Act standard for joint-employer status to the more pro-employee standard of 2018. Now an indirect or reserved right of control over another company’s employee, in and of itself, establishes joint-employer status. The current (2020) rule, in contrast, required “direct and immediate control” for designation as a joint employer. The shift can have serious consequences for employers, both practically and legally, since a joint employer may be required to bargain with a union representing joint employees, subject to liability for unfair labor practices committed by the other employer.
NLRB Rule for Employee Handbooks
A rule adopted on August 2, 2023, by the National Labor Relations Board sets a strict standard for workplace rules. The decision applies to all companies covered by the NLRB — a majority of employers in the United States. The board found that some categories of company policies and procedures, such as those outlining confidentiality rules, non-disparagement rules, and prohibition of outside employment, are not always lawful to maintain. The broad standard of this rule is that if an employee could reasonably interpret a policy to be coercive, enforcement is illegal. Enforcement is on a case-by-case basis, so reviewing the employee handbook with a labor and employment attorney is crucial.
Changes in state employment law
At the state level, a variety of new laws and regulations take effect in the first quarter of 2024. Littler Mendelson has compiled a summary of new employment laws by state. Note that the many minimum wage laws are not included in this list, so consult your employment law attorney to ensure compliance in your state.
We also expect to see a resolution of the Federal Trade Commission’s proposed ban on non-compete agreements with workers. The vote on a final version of the bill is planned for April 2024; the public comment period ends April 19. Additionally, a United States Supreme Court decision in a whistleblower retaliation case heard in October could require a complete revamp of your company’s whistleblower policies and procedures.
As employment law continues the trend of broadening employee rights, most employers will find keeping up difficult and time-consuming. Bring in your labor and employment attorney to review the changes with you and make sure your company is revising workplace rules as needed. We, as always, are happy to help.