Mid-Year HR Check-In

What’s Changing in the Second Half of 2025

Summer is here! While most of us are thinking about long weekends, vacations, and trying to beat the heat, July 1 is bringing a wave of new employment law changes that business owners and HR teams need to know about.

 

Whether you're operating in multiple states or hiring remote team members across the country, now is the time to double-check that your policies and practices align with new state laws taking effect.

 

Here’s a brief summary of what’s changing and where, and how we can help you stay ahead of it all.

Topics Covered:

  1. Minimum Wage Increases
  2. Paid Sick Leave Requirements
  3. Non-Compete Changes
  4. Pay Transparency Requirements

Minimum Wage Increases

Several cities and states are raising their minimum wage. If you have employees in these areas, you may need to update their pay rates:

  • Los Angeles County, CA: $17.81/hour
  • Montgomery County, MD: $15.50 to $17.65/hour based on company size
  • District of Columbia: $17.95/hour
  • St. Paul, MN: Up to $15.97/hour
  • Burien, Everett, and Renton, WA: Up to $21.16/hour depending on business size

New Paid Sick Leave Requirements

  • Alaska has enacted a statewide paid sick leave law, requiring accrual starting July 1. Usage thresholds vary based on company size.
  • Washington now allows employees to use paid sick leave for immigration-related proceedings.

Non-Compete and Restrictive Covenant Changes

If your business uses non-compete or non-solicitation agreements, take note of these updates:

  • Maryland and Illinois will prohibit physician non-competes, unless narrow exceptions are met.
  • Wyoming will prohibit new non-competes for employees who are not in executive or management roles.
  • Virginia has revised the definition of "low-wage employee," which affects who can be subject to a non-compete.
  • Kansas now considers non-solicitation agreements generally enforceable but requires clarity and specificity in the language.

Ready to Meet Your Fractional HR Team?

Pay Transparency Requirements

  • Vermont now requires pay ranges in all job postings for roles based in Vermont or performed remotely for a Vermont location.
  • Washington is enforcing job posting transparency, allowing a five-day grace period to correct missing pay range information until July 2027.

Additional Compliance Reminders

  • New Hampshire requires lactation accommodation policies for employers with six or more employees.
  • Indiana now requires unpaid school leave for truancy-related conferences.
  • Oregon has released updated required workplace posters for all employers.
  • Washington has introduced new WARN Act requirements, including 60 days' advance notice before mass layoffs for employers with 50 or more full-time employees.

How we can help:

If you're unsure how these updates may impact your business, or you need help making changes, we can support you with:

Employee Handbook Reviews & Updates

Compensation Audits & Pay Rate Verification

Compliance-ready Job Descriptions & Postings

Employment Agreement & Offer Letter Updates

We’re here to make compliance simpler and more manageable so you can stay focused on running your business.


If you’d like to talk through any of the above or get a second set of eyes on your current practices, feel free to reach out. We’re always happy to help.

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Abigail Church

Abigail Church, HR Business Partner at GrowthLab, brings a wealth of experience from her 12 years working for global corporations before transitioning her focus to small businesses. She has over eight years of experience in payroll and payroll tax registration and compliance, and leverages her cumulative knowledge and skills to collaborate with leadership, ensuring a dynamic and inclusive workplace. She adeptly aligns HR strategies with the company's overall objectives while also addressing critical aspects of payroll management and regulatory compliance.

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