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New Year, New Employment Laws – What Takes Effect January 1, 2027?

By Hannah Stilley, Joe St. James, and Bruce Sarchet

  • 10 minute read

Looking ahead to 2027, employers nationwide should be attuned to a variety of labor and employment law updates that will affect their operations. From prohibitions on workplace surveillance to restrictions on certain employment agreements and broadened definitions related to discrimination, these new laws reflect national focuses on equity and transparency in the workplace.

This article provides a snapshot of generally applicable as well as select industry-specific labor and employment laws taking effect on or around January 1. It is not meant to be all-inclusive, and does not include industry-specific laws affecting every type of workplace. Additionally, the following roundup does not include new minimum wage-related laws taking effect in the new year, which is covered in a separate article. Employers with questions about which laws are taking effect in the jurisdictions in which they operate should consult with employment counsel.

Alabama

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Alabama HB 307 (SB55)Military/Veteran StatusAuthorizes private employers to grant veterans, their spouses, and spouses of active-duty service members preference in hiring and promotion.01/01/2027
California

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

California AB 1331Employee Monitoring and SurveillanceProhibits employers from using or requiring employees to carry workplace surveillance tools in restrooms without meeting certain requirements.01/01/2027
California AB 1697Repayment Agreements (TRAPs)Provides that certain restrictions on TRAP agreements apply to those entered into on or after January 1, 2027; creates additional exceptions to the restrictions. *Renders as moot claims pending between Jan. 1, 2026, and Sept. 30, 2026.09/30/2026*
California AB 1883Employee Monitoring and SurveillanceProhibits employers from using a workplace surveillance tool that uses artificial intelligence to collect neural data or recognize an individual’s emotional state.01/01/2027
California AB 1583Wage and Hour Enforcement Expands the jurisdiction for criminal prosecution of wage theft and labor trafficking.01/01/2027
California AB 1609AI and TechnologyRequires large private businesses to provide notification to consumers if they are interacting with a customer service chatbot; requires online service platforms to provide options for human assistance.01/01/2027
California AB 1683 Workers’ CompensationRemoves the sunset date on workers’ compensation provisions allowing employers to deposit disability indemnity payments on a prepaid card account.01/01/2027
California AB 1803Workplace Training Revises sexual harassment training requirements to include an anti-hate speech training component beginning January 1, 2028.01/01/2027
California AB 1961Workplace ViolencePermits an employer to seek a workplace restraining order on behalf of all employees at a worksite under certain circumstances.  (See also AB 2179)01/01/2027
California AB 1979AI and Technology; HealthcareProhibits healthcare facilities from using an AI tool to supervise or independently perform a clinical function.01/01/2027
California AB 2054Military LeaveUpdates the definition for "covered active duty" and "disability benefit period" for the purposes of the family temporary disability insurance program.01/01/2027
California AB 2155ArbitrationIncorporates employment-related coverage exclusions from the Federal Arbitration Act into the California Arbitration Act.01/01/2027
California AB 2179Civil ProcedureAllows filings and witness appearances related to workplace violence restraining orders to be conducted electronically beginning January 1, 2028.  (See also AB 1961)01/01/2027
California AB 2321Workplace Safety and HealthRequires Cal/OSHA to immediately notify prosecuting authorities upon learning of an incident in which there is a serious injury to five or more employees, death, or request for prosecution.01/01/2027
California AB 2414Home Health and Home CareRenames direct service professionals as direct support professionals; clarifies the definition of "direct support professionals" for the purposes of rate models and increases.01/01/2027
California AB 2495Discrimination and HarassmentExpands prohibited immigration-related practices to include any conduct related to a person’s perceived immigration status that would dissuade an employee from exercising their legal rights.01/01/2027
California AB 2563DiscriminationAmends 31 codes to create a uniform, statewide interpretation of “sex discrimination.”   Clarifies that “sex discrimination” includes any actual or perceived characteristics or actions under state civil rights laws; includes perimenopause, menopause, post-menopause, and related conditions in the definition of “sex.”01/01/2027
California AB 2682Rideshare OperatorsAuthorizes a party involved in a rideshare operator’s unfair labor practices case heard by the Public Employment Relations Board to petition for relief from the Board’s decisions or orders.01/01/2027
California SB 623Rideshare OperatorsAmends criminal background check requirements for rideshare company drivers by including additional disqualifying offenses and requiring background checks before activation and annually thereafter.01/01/2027
California SB 923Privacy and Data SecurityExpands a consumer's right to request that a business delete personal information it has collected regarding the consumer.01/01/2027
California SB 947AI and TechnologyProhibits an employer from using automated decision systems (ADS) or relying solely on ADS in making employment decisions; requires an employer to provide post-use notice of ADS to employees.01/01/2027
California SB 951Reductions in Force (RIFs/WARN)Requires employers to provide 60 days’ notice before any technological displacement affecting 50 or more workers in a 30-day period.01/01/2027
California SB 1148Workplace TrainingRequires an employer that employs a proprietary private security officer to verify that each officer has completed the state-required training.01/01/2027
California SB 1149Bereavement LeaveAmends the definition of "family member" to include a designated person for purposes of bereavement leave; authorizes an employer to limit an employee to one designated person per 12-month period.01/01/2027
California SB 1237Demographic Reporting/EEO-1Increases penalties for failure to submit required pay and demographic data to the state.01/01/2027
California SB 1316Civil ProcedurePrecludes employers that may be liable for labor violations from providing certain evidence in an administrative hearing.01/01/2027
California SB 1323HealthcareRequires healthcare providers to prohibit access to non-public areas to immigration enforcement personnel and to train staff on assisting patients who are in immigration enforcement custody.01/01/2027
California SB 1342Background ChecksProvides that with limited exceptions, a person granted arrest relief is released from any penalties resulting from the arrest, and may answer any question relating to that arrest accordingly.01/01/2027
California SB 1444Civil ProcedureRevises notice requirements related to labor complaint investigations.01/01/2027
Colorado

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Colorado HB 1043Rideshare OperatorsRequires rideshare companies to provide education to drivers concerning the transportation of riders with service animals; repeals the provision affording rideshare companies immunity from liability for discriminatory conduct by a driver.01/01/2027
Colorado HB 1424Rideshare OperatorsRequires certain rideshare companies to pay for drivers' criminal background checks every six months and provide regular safety training to drivers; prohibits rideshare companies from collecting biometric data on drivers or riders without consent.01/01/2027
Colorado SB 175Workers’ CompensationCreates a process for employers to update their experience modification factor for workers' compensation benefits.01/01/2027

 

Delaware

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Delaware HB 380Privacy and Data SecurityAmends the Delaware Personal Data Privacy Act to cover additional categories of protected data; provides new obligations for controllers, processors, and third parties with respect to profiling for employment purposes.01/01/2027
Delaware HB 381Data Security Breach NotificationClarifies when businesses are required to provide notice of a data security breach to the state attorney general.01/01/2027
Delaware SB 168App-Based Workers; HospitalityPermits the delivery of alcohol from package stores, restaurants, and clubs; provides that acts of a third-party alcohol delivery worker are not attributable to the retailer.01/23/2027
Florida

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Florida SB 1134 (HB1001)Inclusion, Equity and DiversityProhibits counties and municipalities from funding, promoting, or taking official action as it relates to diversity, equity, and inclusion; requires government contractors to certify that they are not using diversity, equity, and inclusion initiatives to be awarded a government contract.01/01/2027
Georgia

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Georgia HB 1138Health and Welfare PlansRequires health benefit policies that provide coverage for prescription drugs to cover contraceptives approved by the Federal Drug Administration.01/01/2027
Illinois

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Illinois HB 1353Emergency Responder LeaveExtends employment protections for volunteer emergency work to include required emergency volunteer trainings.01/01/2027
Illinois HB 4379Public Access IssuesRequires owners or operators of public buildings built on or after January 1, 2029, to ensure that one or more public restrooms is designated as an adult changing station.01/01/2027
Illinois HB 4584Home Health and Home CareRequires direct service workers employed by an agency contracted with the state Department of Human Services to complete at least two hours of dementia training upon hire and annually thereafter.01/01/2027
Illinois HB 4725Civil ProcedureClarifies that the state attorney general has the power to enforce all labor and employment laws in the state; requires employers to cooperate with state attorney general investigations.01/01/2027
Illinois HB 4758Hiring ⁄ OnboardingProhibits employers from requiring an applicant to have a driver’s license unless driving is an essential function of the position.01/01/2027
Illinois HB 4844Jury Duty LeaveRequires employers with more than 25 employees to compensate employees at their regular rate of pay for time served on jury duty.01/01/2027
Illinois HB 5284Protected ClassificationAmends the Illinois Human Rights Act to prohibit discrimination on the basis of menopause-related conditions and to require related accommodations; requires health and welfare plans to provide coverage for treatment of perimenopause and menopause.01/01/2027
Illinois SB 807Reductions in Force (RIFs ⁄ WARN)Requires employers with 75 or more employees to submit specified information to the state when laying off or separating 50 or more full-time employees at a single site of employment.01/01/2027
Illinois SB 2713Healthcare (Workplace Violence)Establishes additional requirements for healthcare workplace violence prevention programs, including investigation, recordkeeping, and reporting provisions.01/01/2027
Illinois SB 2886Medical PrivacyExpands existing restrictions on genetic testing by employers to include biomarker testing information.01/01/2027
Illinois SB 3777Discrimination and HarassmentCodifies the disparate impact theory of liability under the Illinois Human Rights Act.01/01/2027
Louisiana

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Louisiana SB 386Data Security Breach NotificationCreates the Louisiana Data Privacy Act; provides for limitations and restrictions on the collection and use of consumer data.01/01/2027
Maryland

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Maryland HB 480 (SB740)/ Maryland SB 740 (HB480)Rideshare OperatorsRequires a rideshare company to maintain a deactivation policy for operators; prohibits a rideshare company from deactivating an operator for certain violations; requires a rideshare company to allow a deactivated operator to withdraw earnings under certain circumstances.01/01/2027
Maryland Final Rule re Establishment of FAMLI Division (COMAR 09.42.01)Paid Family ⁄ Medical Leave and InsuranceDefines terms relevant to coverage, eligibility, and use of paid family and medical leave.01/01/2027
Maryland Final Rule re Family and Medical Leave Insurance Program Requirements and Procedures (COMAR 09.42.04)Paid Family ⁄ Medical Leave and InsuranceSpecifies procedures for submission and review of claims under the state Family and Medical Leave Insurance (FAMLI) program.01/01/2027
Maryland Final Rule re FAMLI Contributions (COMAR 09.42.02)Paid Family ⁄ Medical Leave and InsuranceClarifies FAMLI program contribution requirements and related registration requirements and filings for employers.01/01/2027
Maryland Final Rule re FAMLI Dispute Resolution (COMAR 09.42.05)Paid Family ⁄ Medical Leave and InsuranceEstablishes dispute resolution procedures under the state FAMLI program.01/01/2027
Maryland Final Rule re FAMLI Equivalent Private Insurance Plans (COMAR 09.42.03)Paid Family ⁄ Medical Leave and InsuranceProvides requirements and procedures for private commercial or self-insured insurance plans that offer equivalent or greater benefits than the state FAMLI program.01/01/2027
New York

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

New York AB 10007 (SB9007)HealthcareProvides that a temporary healthcare worker agency or platform cannot require fees or other compensation from a worker for job placement.01/01/2027
New York AB 9452Employment Contracts and AgreementsDelays the effective date of the Trapped at Work Act; modifies definitions and specifies the types of agreements not subject to the Act.12/19/2026
New York Final Rule re Temporary Payments of Compensation and Medical Treatment and Care (12 NYCRR 300.22)Workers' CompensationClarifies that a workers’ compensation notice of controversy must be filed within one year of the date an injury was reported to avoid acceptance of liability.01/01/2027
New York: NYC Int. No. 1332-2025App-Based WorkersProhibits app-based delivery services from deactivating delivery workers except for just cause or bona fide economic reasons.01/17/2027
North Carolina

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

North Carolina SB 445Independent ContractorsAuthorizes companies to voluntarily contribute funds to a portable benefit plan as a form of compensation to an independent contractor.01/01/2027
Oklahoma

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Oklahoma SB 546Privacy and Data SecurityEstablishes consumer rights relating to personal data; provides that covered entities must provide notice and obtain consent from consumers.01/01/2027
Oregon

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Oregon HB 4013Child LaborRequires the state to use federal standards as in effect on January 1, 2026, when issuing rules regarding working hours for minors.01/01/2027
Oregon HB 4089Wage and Hour PenaltiesSpecifies that the crime of theft of services includes partial payments of compensation to employees and independent contractors; clarifies that a criminal prosecution for theft of services does not preclude a separate civil action for owed wages.01/01/2027
Oregon SB 1518Home Health and Home CareClarifies the meaning of "companionship services" for purposes of minimum wage and overtime requirements for certain individuals performing such services.01/01/2027
Oregon Final Rule re Workplace Violence Prevention for Healthcare Employees (OAR Chapter 437)Healthcare (Workplace Violence)Aligns state healthcare workplace violence prevention rules with statutory requirements, including the prohibition of discrimination against workers who report workplace violence and recordkeeping requirements.01/01/2027
Pennsylvania

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Pennsylvania: Philadelphia Ordinance No. 250849Protected ClassificationsAmends the city’s Fair Practices Ordinance to prohibit discrimination on the basis of menstruation, perimenopause, and menopause.01/01/2027
Rhode Island

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Rhode Island HB 7290/  Rhode Island SB 2342RetailRequires grocery stores to have one manual checkout station for every three self-checkout stations in operation; requires employees monitoring self-checkout stations to be relieved of all other duties.01/01/2027
Rhode Island HB 7364/ Rhode Island SB 2504Wholesale and Warehouse OperationsRequires warehouse distribution center employers to provide written notifications of any quota to new hires and throughout employment when quotas are changed; prohibits quotas that prevent compliance with meal and rest breaks or other occupational health and safety laws.01/01/2027
Tennessee

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Tennessee HB 1194 (SB990)ImmigrationRequires employers with one or more employees to verify immigration status for employment.01/01/2027
Virginia

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Virginia HB 1270/ Virginia SB 550Rideshare OperatorsRequires a rideshare company to disclose details about the driver deactivation process to its drivers.01/01/2027
Washington

Bill/Ordinance/Regulation

Main Topic

Summary

Effective Date

Washington SB 5217Pregnancy and Lactation AccommodationExpands pregnancy-related accommodation requirements to any employer with one or more employees; requires lactation breaks to be paid at the employee’s regular rate of compensation; includes scheduling flexibility for postpartum visits within the definition of “reasonable accommodation.”01/01/2027
Washington SB 6014Pregnancy AccommodationClarifies requirements for written certification for certain pregnancy-related accommodations.01/01/2027
Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.

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