HR Newsletter: State Legislative Updates

HR Newsletter: State Legislative Updates

California Bans AI Tools That Recognize Employee Emotions – On Sept. 30, 2026, California passed a law prohibiting employers from using workplace surveillance tools that use artificial intelligence (AI) to collect neural data or recognize a person’s emotional state. The law takes effect Jan. 1, 2027.

Read more: California Legal Update

California Delays Stay-or-Pay Ban – On Oct. 13, 2025, California passed a bill to ban certain training and retention repayment provisions (TRAPs) and other stay-or-pay provisions in employment contracts. The law was scheduled to take effect on Jan. 1, 2026. On Sept. 30, 2026, California amended the law to delay its effective date until Jan. 1, 2027, and establish additional exceptions to the ban.

Read more: California Legal Update

California Enacts Anti-Hate Speech Training Requirement – On Sept. 27, 2026, California amended its sexual harassment prevention training requirement to include anti-hate speech training. The amendment takes effect Jan. 1, 2028.

Read more: California Legal Update

California Increases Pay Data Reporting Penalties – On Sept. 30, 2026, California amended its pay data reporting law to significantly increase the penalties for repeated failures to comply with the law’s pay data reporting requirements. The law takes effect Jan. 1, 2027.

Read more: California Legal Update

California to Expand Bereavement Leave and Paid Family Leave – California has enacted bills expanding employee bereavement leave to cover the death of an employee’s “designated person” and broadening the types of military service that constitute a qualified exigency for paid family leave (PFL). The change to bereavement leave takes effect Jan. 1, 2027, while the change to PFL becomes effective when PFL is included in the Employment Development Department’s (EDD) claims management system, or July 1, 2028—whichever comes first.

Read more: California Legal Update

District of Columbia Reduces Paid Leave, Effective Oct. 1 – The District of Columbia (D.C.) has amended its Universal Paid Leave Act to reduce both the length of leave for which benefits apply and the maximum cash benefit, effective Oct. 1, 2026.

Read more: District of Columbia Legal Update

New Jersey’s Minimum Wage Rate to Increase on Jan. 1, 2027 – On Sept. 29, 2026, the New Jersey Department of Labor and Workforce Development (DLWD) announced that the state’s minimum wage rate will increase to $16.48 per hour for most employers on Jan. 1, 2027. The minimum wage rate for small employers with fewer than six employees will also increase to $16.25 per hour.

Read more: New Jersey Legal Update

New York Enacts Construction Reporting Pay Act – On Sept. 9, 2026, New York enacted the Construction Reporting Pay Act (Act), which requires construction employers to provide reporting pay when a worker reports to a shift and scheduling pay when a scheduled shift is canceled on short notice. The Act takes effect on Dec. 8, 2026.

Read more: New York Legal Update

New York Enacts Personnel Records Access Law – On Sept. 9, 2026, New York enacted a law to grant employees access to their personnel records and impose related notice, correction, retention and anti-retaliation obligations on employers. The new law takes effect Nov. 8, 2026.

Read more: New York Legal Update

New York Employee Leave Requirements for Pregnancy, Childbirth and New Child Bonding – In New York state, in addition to the federal Family and Medical Leave Act (FMLA), employers must comply with state laws mandating prenatal leave, paid sick leave and bonding leave. Some requirements apply only to pregnant employees, and others apply to parents generally. Leave compensation, duration and job protection requirements also vary by law.

Read more: New York Compliance Overview

Washington’s Minimum Wage Rate to Increase on Jan. 1, 2027 – On Sept. 30, 2026, the Washington Department of Labor and Industries (L&I) announced that the state’s minimum wage will increase to $17.73 per hour on Jan. 1, 2027. The new rate will apply to all employers, regardless of how many individuals they employ.

Read more: Washington Legal Update