Big Changes for Maryland Workers: What You Need to Know Starting This October
Maryland workers, get ready—important updates to employment law are coming your way, and they could have a significant impact on your workplace rights. Starting October 1, 2024, a series of new laws will change the landscape for both employees and employers in Maryland. From restrictions on non-compete agreements to expanded anti-discrimination protections, these laws are designed to improve working conditions, ensure fair pay, and provide greater transparency.
In this blog, we’ll break down the most important changes so you can understand how they might affect you. Employment lawyer Tom Spiggle also provides an in-depth video explaining these updates, so be sure to check it out below!
1. Family Medical Leave Insurance (FAMLI) Program
Maryland’s Family Medical Leave Insurance program, known as “Family,” is expanding. Starting in 2025, both employers and employees will contribute to a fund administered by the state to provide paid leave for certain family and medical events. If you work remotely or have multiple jobs, pay attention: your eligibility for FAMLI will depend on whether you’ve worked at least 680 hours in Maryland during the previous 12 months.
Though contributions won’t start until July 2025, it’s critical to understand these changes now, especially for businesses with 15 or more employees that are required to contribute. Employers, keep your eyes peeled for the updated contribution rates coming next February!
2. Non-Compete Agreement Restrictions for Healthcare Workers
Non-compete agreements have long been a source of frustration for workers, limiting their ability to find new jobs in the same industry. Maryland is stepping in to protect healthcare and veterinary workers from these restrictions. If you work in healthcare, earn less than $350,000 a year, and hold a state license, new non-compete agreements cannot last more than a year or restrict you to a radius larger than 10 miles from your primary place of work. For veterinary workers, this protection is already in place, having started in June 2024.
This new law represents a big win for employees seeking more flexibility in their careers and could set the stage for broader changes across industries in the future.
3. Salary Transparency in Job Postings
Tired of guessing what a job pays? Starting October 1, 2024, Maryland employers are required to include salary ranges, benefits, and other compensation details in all job postings, both for external hires and internal promotions. Employers who fail to comply can face penalties and must maintain records for three years.
This transparency is a game-changer for job seekers who can now better assess opportunities and negotiate from a position of strength. Employers also need to be prepared to provide this information upon request, without fear of retaliation for wage discussions.
4. New Pay Transparency and Anti-Discrimination Protections
Maryland is expanding its Equal Pay for Equal Work law to include sexual orientation as a protected category. Alongside gender and sex protections, this means that employees must receive equal pay regardless of their sexual orientation, except in cases where wage differences are justified by seniority or merit systems.
Additionally, military status is now a protected category under the state’s anti-discrimination laws, offering more protections for military members and their dependents against workplace discrimination.
5. New Employer Obligations for Pay Transparency and Record Keeping
Under new regulations, employers must now provide employees with written notice of their pay rate, payday schedules, and leave benefits upon hiring. This information must also be included in pay stubs—whether online or physical—and should detail hours worked, pay rates, and any deductions. Employers who fail to follow these guidelines could face fines, so it’s critical for businesses to ensure compliance by October 1, 2024.
Stay Ahead of the Curve: Watch the Video for More Insights!
