State & Local Employment Law Developments: Q4 2024

This quarter, we continue to highlight the ever-changing state and local employment law landscape. New state laws that took effect during the fourth quarter of 2024 or as of January 1, 2025, continue to focus on increasing employee protections in Alabama, California, Colorado, Connecticut, Delaware, District of Columbia, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Minnesota, New Hampshire, New York, Oregon, Pennsylvania and Rhode Island.

To view the full alert, visit the Faegre Drinker website.

The New Year Brings a Legal Challenge to Minnesota’s Earned Sick and Safe Time Law

Airlines for America filed a complaint seeking a declaratory judgment and injunctive relief against the Minnesota Commissioner of the Department of Labor and Industry, holding that Minnesota’s earned sick and safe time (ESST) law is preempted by federal laws applicable to the airline industry. The asserted negative impacts of the recent change in Minnesota’s ESST law are not limited to airline industry employers, as all Minnesota employers covered by the ESST law must comply with its requirements.

To view the full alert, visit the Faegre Drinker website.

New and Updated State Sick Leave Laws in 2025

Employers with employees in Alaska, California, Connecticut, Massachusetts, Michigan, Minnesota, Missouri, Nebraska, New York or Washington — and in particular, employers with employees in multiple states with sick leave laws — should review their sick leave or paid time off policies to ensure compliance. We summarize the key provisions of these new and updated laws.

To view the full alert, visit the Faegre Drinker website.

The Post-Chevron World: 2024 Overtime EAP Exemption Rule Vacated

The Eastern District of Texas recently vacated the 2024 EAP Exemption to the Overtime Rule. That means that the 2019 salary threshold of $684/week for EAP employees and annual salary threshold of $107,432 for highly compensated employees are now in effect again. Employers no longer need to plan for the additional automatic salary threshold increase that was scheduled to be effective on January 1, 2025, and are no longer required to adhere to the previous increase that went into effect on July 1, 2024.

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Responding to the Vacated FLSA Salary Threshold Rule

Employers should consider the employee relations impact of making any changes, even if permissible, to previously implemented or announced salary increases to maintain the exemption from federal overtime and minimum wage law. Employers may also be required to provide advance notice of any wage change under applicable state law. In this second alert, we answer some FAQs.

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