BOP Newsletter Summer 2022 – What’s New

BOP NEWSLETTER • Summer 2022

Salary Pay to Avoid Overtime: Does it Work?
by Rebecca Boartfield
BEA Illustrations-What's New

Washington

Beginning January 1, 2023, Washington will Require Employers to Disclose Salary Range and Wage Scale in Job Postings

Earlier this year, Washington Governor Jay Inslee signed into law Senate Bill (SB) 5761, which revises a 2019 amendment to Washington’s 2018 Equal Pay and Opportunities Act.

SB 5761 applies to employers with 15+ employees, and does not specify that all of those employees must be in Washington State. Once in effect, SB 5761 requires employers to affirmatively disclose in each job posting open to applicants the salary range or wage scale to be offered, as well as a general description of all benefits and other compensation for the position.

A job “posting” is defined as “any solicitation intended to recruit job applicants for a specific available position, including recruitment done directly by an employer or indirectly through a third party, and includes any postings done electronically, or with a printed hard copy, that includes qualifications for desired applicants.”

The law does not appear to require job postings, but if a company chooses to post a job, the law would apply.

New Jersey

New Jersey Employers are Required to Make a Retirement Savings Vehicle Available to Employees

According to the official website, “Governor Phil Murphy signed the New Jersey Secure Choice Act (P.L. 2019 c. 56) in March of 2019, authorizing the creation of the Secure Choice Savings Program – a state-sponsored retirement plan designed to help more private sector employees save for the future. The program is independently administered by the Secure Choice Savings Board, which held its first organizational meeting on December 15, 2021.”

In short, the Act requires certain employers in the state to establish a payroll deposit retirement savings arrangement that will permit eligible employees to participate in the Secure Choice Savings Program. Currently, the program is not yet operational. 

To learn more or to join the mailing list for updates on the Program, click here.

Maryland & Delaware

Maryland and Delaware to Provide Paid Family Leave in 2025 and 2026, respectively

Maryland: Under the new law, eligible employees will receive up to a weekly maximum of $1,000 for up to 12 weeks of leave on an annual basis. Additionally, employees taking leave will receive job protection for taking advantage of the paid leave benefits. The payroll tax to fund the program will take effect on October 1, 2023, and paid leave will be available on January 1, 2025.

Delaware: Under the new law, eligible employees will receive up to 12 weeks of leave and benefits for certain parental, family caregiving, and medical reasons. The benefits will replace up to 80% of an eligible employee’s average weekly wage. Employer and employee contributions will begin on January 1, 2025. Employees will be able to utilize the job-protected paid leave beginning on January 1, 2026.

Maine

Maine Employers Must Payout Accrued and Unused Vacation Upon Termination

On April 7, 2022, Governor Janet Mills signed into law Legislative Document (L.D.) 225, “An Act Regarding the Treatment of Vacation Time upon the Cessation of Employment.” The law amends 26 M.R.S.A. § 626 to require each employer with more than ten employees to pay its employees, on the cessation of employment, “[a]ll unused paid vacation accrued pursuant to the employer’s vacation policy on and after January 1, 2023.”

Under L.D. 225, employers with “vacation policies” would appear to be required to pay unused, accrued vacation pay to employees regardless of the reason for their separation from employment.