Florida

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Discussion

Florida: State Supreme Court Raises the Bar for Whistleblower Claims

On May 28, 2026, the Florida Supreme Court ruled in Gessner v. Gulf Power Company, that employees bringing retaliation claims under the Florida Private Whistleblower Act (FPWA) must establish that the employer’s activity, policy, or practice constituted an actual violation of a law, rule, or regulation, not merely that the employee had a good-faith, objectively reasonable belief that a violation occurred. The decision resolves a longstanding conflict among Florida’s appellate courts and disapproves the more employee-favorable “reasonable belief” standard previously applied by the state’s Fourth District Court of Appeal. The court clarified that the standard does not require proof that the employer completed an unlawful act or was found by an agency or court to have violated the law, noting that an employee who objects to or refuses to participate in a future act that would be unlawful if carried out may still be protected. Florida employers should be aware that while this decision strengthens a key defense against FPWA claims, it does not diminish the importance of maintaining consistent disciplinary practices, clear complaint reporting procedures, and thorough documentation of employee concerns and any resulting investigations.

 

Florida: Local Governments Blocked from DEI Initiatives

Effective January 1, 2027, SB 1134 prohibits counties and municipalities in Florida from funding or promoting or taking official action as it relates to diversity, equity, and inclusion. Any such existing

ordinances, resolutions, rules, regulations, programs, or policies are void. A recipient of a county or municipal contract must also certify that they do not and will not use county or municipal funds in requiring its employees, contractors, volunteers, vendors, or agents to ascribe to, study, or be instructed using materials relating to diversity, equity, and inclusion.

 

Florida: Streamlined Process for Disputes Under State Civil Rights Act

Effective July 1, 2026, HB 1407 amends the Florida Civil rights Act (FCRA) regarding the commencement of civil rights claims and the effect of administrative notices from federal and state agencies. The FCRA applies to employers with at least 15 employees and prohibits discrimination in employment based on an individual’s race, color, religion, sex, pregnancy, national origin, age, handicap, or marital status. The amendment eliminates the registered-mail requirement for communications from the Florida Commission on Human Relations (FCHR) in order to reduce technical issues for service and notice. Now, a civil action can commence no later than 1-year after the date of determination of reasonable cause by the FCHR or after the issuance of a Notice of Right to Sue by the EEOC. If a determination of reasonable cause is not made by the FCHR or a Notice of Right to Sue is not issued by the EEOC within 180 days after the filing of the complaint, a civil action can commence no later than 18 months after the filing of the complaint.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Georgia

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Discussion

Georgia: Tips and Overtime Income Tax Exclusion

Effective January 1, 2026, HB 463 creates a temporary state income tax exclusion for overtime compensation and cash tips. The exclusion runs through December 31, 2028, after which it automatically repeals. Full-time, hourly employees may exclude up to $1,750 in overtime compensation from Georgia state income tax for the exclusion period. Employees in occupations that customarily and regularly receive tips may also exclude up to $1,750 in cash tips for the same period. During the exclusion period, employers must report the total qualified overtime compensation paid, total cash tips paid, and the total number of employees who received either, filed monthly or quarterly alongside their withholding tax returns. For tax year 2026 only, these reports may be filed at year-end. The Georgia Department of Revenue may issue additional regulations governing these requirements.

 

Georgia: Portable Benefits Accounts for Gig Workers

Effective May 11, 2026, HB 987 allows for the creation of a portable benefit account for independent contractors without resulting in a change of independent contractor status for classification purposes. A portable benefit account is an account that allows for the allocation of funds for portable benefit plans like health insurance, unemployment insurance, disability insurance, life insurance, or retirement benefits. Any party, including app-based entities, can voluntarily contribute funds to a portable benefit account of an independent contractor pursuant to a voluntary written agreement between the parties.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Hawaii

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Discussion

Hawaii: Military Exigency Leave Now Protected

Effective July 1, 2026, Act 013 amends the Hawaii Family Leave Law (HFLL) to add military exigencies as a qualifying reason for mandated leave. “Qualifying military exigency” means a qualifying exigency that is related to active-duty service by an employee’s child, spouse, reciprocal beneficiary, sibling, grandchild, or parent in the United States armed forces. Specific military exigencies mirror that allowed under the federal Family and Medical Leave Act (FMLA). When leave is for a qualifying military exigency, appropriate documentation shall include a copy of official military orders.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Iowa

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Discussion

Iowa: Human Trafficking Prevention Training for CDLs

Effective March 1, 2027, individuals applying for an initial Class A, B, or C commercial driver’s license in Iowa must certify to the Iowa Department of Transportation that they have completed a course of instruction on human trafficking prevention. Employers that hire commercial drivers should build this certification step into their recruiting and onboarding workflows and monitor the Iowa Department of Transportation for approved training materials. The underlying law (HF 2598) took effect July 1, 2026, although compliance obligations do not begin until March 1, 2027.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Illinois

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Discussion

Illinois: Proposed Rules on AI Use in Employment Decisions are Postponed

On June 2, 2026, the Illinois Department of Human Rights (IDHR) announced it is withdrawing and postponing its proposed rules implementing the notice and recordkeeping requirements for employer use of artificial intelligence in employment decisions under the Illinois Human Rights Act (IHRA). The proposed rules would have clarified when and how employers must notify employees and applicants that AI is being used to influence covered employment decisions, including hiring, promotion, discipline, and termination. The IDHR cited the need for continued collaboration with other state agencies as the reason for the postponement, and a public hearing scheduled for June 10, 2026, has been temporarily postponed. The underlying law, which has been in effect since January 1, 2026, remains in force in the absence of clarifying rules. Employers using AI to assist or facilitate employment-related decisions in Illinois should continue to monitor IDHR’s Legislative Updates webpage for further developments and remain mindful of their existing obligations under the law.

 

Chicago, IL: Updated Fair Workweek Rules

As of June 1, 2026, the Chicago Office of Labor Standards (OLS) updated the city’s Fair Workweek Rules. There were a number of changes to the requirements, such as: definitions, calculation of employees, notice requirements for schedule posting, records for tipped employees, notice timelines for new employees or employees returning from leave or those with job changes, predictability pay, right to rest consent, and other record requirements. Covered employers should review the changes for necessary implementation.

 

Chicago, IL: Tip Credit Timeline is Revised

Chicago has delayed its previously scheduled tip credit phase-out and restructured the timeline by employer size. Under a recently passed ordinance, the phase-out schedule is as follows:

 

  • Employers with 21 or more employees:A tip credit of 16% of the minimum wage applies beginning July 2028, reduced to 8% in July 2029, with full phase-out in 2030.
  • Employers with 4 to 20 employees:A tip credit of 24% of the minimum wage applies through July 2030, after which it decreases incrementally, with full phase-out in 2033.

 

As a result, the tip credit will remain available beyond July 1, 2026, and the minimum wage increase for tipped workers previously scheduled for that date will not take effect as planned. Employers should verify that payroll systems reflect the correct tipped employee rates ahead of July 1, 2026.

 

Chicago, IL: Paid Sick Leave Rules Revised

As of June 1, 2026, the Chicago Paid Leave and Paid Sick and Safe Leave Rules were revised to clarify interpretation of the Ordinance. For example, the rules clarify how to interpret use of paid sick leave for childcare unavailability and discipline for misuse of paid sick leave. It also introduces guidance on joint employer liability, such as when an Employer uses a temporary staffing agency, Lead Agency, professional employer organization, or other entity serving similar functions. It also confirms that when paid leave and/or paid sick leave are combined with PTO or set out in separate leave banks, the policies meant to encompass paid leave and/or paid sick leave must still meet the minimum requirements of the Ordinance. Employers should have appropriate personnel trained on the updates to ensure proper administration of employee leave.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Louisiana

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Discussion

Louisiana: Workplace Violence Protections for Customer-Facing Employees

Effective August 1, 2026, the new Louisiana Behind the Counter Protection Act (HB 1238) expands workplace violence protections for employees who interact with customers at points of transaction, such as checkout counters, service desks, and drive-through windows. The law defines workplace violence broadly to include assault, battery, robbery, intimidation, verbal abuse, threats with a weapon, and any conduct that places an employee in reasonable fear of physical harm while performing their duties. The law increases criminal penalties for simple battery and simple assault committed against covered employees, with convictions now carrying potential fines of up to $2,000 and imprisonment of up to two years for battery, and fines of up to $1,000 and imprisonment of up to six months for assault. Businesses may also display signage, available through Louisiana Works, cautioning customers that workplace violence is a crime under state law. Covered employers should review workplace violence prevention policies and employee training materials for consistency with the new law’s definitions and consider whether to post the available signage.

 

Louisiana: Noncompete Agreements for Interns and Apprentices

Effective August 1, 2026, HB 315 prohibits Louisiana employers from entering into noncompete agreements with interns or apprentices, whether paid or unpaid. The prohibition covers agreements that would restrict an intern or apprentice from engaging in a business or employment similar to that of the employer, or from pursuing employment, educational, or professional opportunities after completing the internship or apprenticeship. Confidentiality, intellectual property, and data protection agreements remain permissible.

 

Louisiana: Child Labor Employment Certificates

As of May 11, 2026, HB 232 amends Louisiana’s child labor employment certificate process by transferring issuance authority from school officials to Louisiana Works, the state workforce development agency. The updated certificate form, available on the Louisiana Works website or at local field offices, requires the minor’s signature and consent date, parental or guardian consent and signature, the prospective employer’s name, and selection of applicable proof-of-age documentation. A certificate becomes valid and binding once the employer has approved the minor’s personal application, a signed employer statement outlining the intended work, hours, and wages, and one of several acceptable proof-of-age documents. Employers must retain employment certificates on file for each minor employee, keep them accessible at the worksite at all times, and maintain them for at least 14 days following termination of the minor’s employment.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Maryland

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Discussion

Maryland: Confidentiality of Unemployment Insurance

Effective October 1, 2026, SB 216/HB 242 amends Maryland’s unemployment insurance confidentiality provisions to align with federal requirements. The amendment clarifies that employer wage records, unemployment claims data, and related identifying information are confidential and subject to only limited disclosure.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Maine

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Virginia: Legislative Updates

APPLIES TO

All Employers with Employees in ME

EFFECTIVE

JUL 29, 2026

QUESTIONS?

Contact HR On-Call

(888) 378-2456

 

Quick Look

  • Maine’s drug testing law is amended to allow employers to conduct pre-employment, criteria-based, and reasonable suspicion testing, and an unannounced test after returning to work.

Discussion

HB 1425 amends Maine’s drug testing law to allow employers to conduct pre-employment, criteria-based, and reasonable suspicion testing, and an unannounced test after returning to work. The most significant changes are summarized below.

 

Criteria-Based Testing. The frequency of the substance use testing and the selection of persons being tested are based on a set event like the employment anniversary or promotion. It can also be client-required or site-specific.

 

Reasonable Suspicion Testing. Formerly known as probable cause testing, and requires specific and articulable facts that, taken together with rational inferences from those facts, reasonably support the belief that an employee may be under the influence of a substance. It requires observable physical, behavioral or psychological signs that can be seen, heard, smelled or otherwise observed that provide a reasonable suspicion that an employee is impaired by substance use, including signs regarding appearance, behavior, speech or odor that are usually associated with substance use.

 

Random Testing. Random testing requires a neutral selection method by which all employees have an equal chance of being selected for substance use testing.

 

Testing Upon Return to Work. After an employee returns to work following a confirmed positive result, the employer may require, request or suggest that the employee submit to one unannounced subsequent substance use test anytime between 90 days and one year after the date of the employee’s prior test.

 

Medical Use of Cannabis. The legal use of cannabis under the Maine Medical Use of Cannabis Act qualifies as a legitimate medical explanation for a confirmed positive result.

 

Rights Regarding a Non-Negative Test. An applicant or employee must be given the opportunity to contest a non-negative test result by discussing with the medical review officer or confirmation testing laboratory representative any legitimate medical explanation for the non-negative test result. The medical review officer determines if the reason is a legitimate medical explanation.

 

Action Items

  1. Review and update policies and procedures for drug testing.
  2. Have appropriate personnel trained on drug testing requirements.

 

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

Minnesota

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Discussion

Bloomington, MN: Paid Sick Leave Law Repealed

As of April 27, 2026, Bloomington has repealed its local paid sick leave law. This means that employers must follow state paid sick leave requirements. Employers should review paid sick leave policies to determine whether any policy changes would be appropriate for them and remove workplace postings and notices that are no longer applicable.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase

New Jersey

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Discussion

New Jersey: Individuals May Directly Sue Employers for CREAMMA Violations

On May 26, 2026, in Sanders v. The Levari Group, LLC, the New Jersey Superior Court, Appellate Division, said that individuals may sue employers under the Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act (CREAMMA) for being denied employment based on lawful use of cannabis. In this case, after receiving an offer of employment, an individual tested positive for cannabinoid metabolites due to recreational marijuana use a few days prior, but was not under the influence at the time of the test. She was ultimately denied employment as a result, contrary to CREAMMA’s provisions. Although CREAMMA is technically silent on whether a private right of action exists, the court interpreted the silence in favor of individuals seeking to enforce their rights.

 

New Jersey: Federal Court Addresses Differences Between FLSA and New Jersey ABC Test

On May 29, 2026, a federal district court in New Jersey ruled in Tomasello v. ICF Technology, Inc., that a class of workers classified as independent contractors under the federal FLSA nonetheless qualified as employees under New Jersey’s stricter ABC test. The court found that the workers failed the ABC test’s second prong, which requires that the worker’s services be performed outside the usual course of the employer’s business and outside all of the employer’s places of business. The court found that the workers, who provided adult content through the company’s online streaming platform, performed services within the company’s usual course of business and not outside its places of business, as the platform itself was the company’s primary commercial venue regardless of its lack of a physical location. The decision underscores a key consideration for employers in states that impose their own worker classification test: a worker classification that satisfies federal law may still result in employee status under state law. Employers with workers in New Jersey classified as independent contractors should review those classifications with legal counsel for compliance with the state’s ABC test.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase