Intro to Maryland Labor Laws

The Pay Stub and Pay Statement law has been amended.  Effective October 1, 2024, employers are required to provide notice of pay details such as rate of pay, paydays, and leave benefits in writing, and paystubs must be furnished in writing or online. Paystubs must also include details such as date of payment, beginning/end dates of pay period, all rates of pay, additional bases/amounts of pay, and amount and description of pay deductions, among others.  The Maryland Department of Labor (MDDOL) recently published FAQs to provide more guidance on the law.  

As reported previously, the Wage Range Transparency Act is effective as of October 1, 2024. Under this law, employers of all sectors must disclose wage ranges, benefits, and additional compensation in internal and external advertisements for jobs physically performed at least partly in Maryland. The MDDOL also published FAQs for the Wage Range Transparency Act to provide additional guidance. 

Employers should update their job advertisements, pay stubs, and pay statements to be in accordance with the new laws. Paystubs issued via Justworks are compliant with these requirements.

Maryland recently signed into law SB 828, which made changes to several portions of the state’s Family and Medical Leave Insurance (FAMLI) program, including the implementation dates. Covered employers will now be required to remit premiums and report relevant information to the state beginning on October 1, 2024. Accordingly, eligible employees will not be able to claim benefits until January 1, 2026.

Maryland employers with 15 or more employees are now required to provide reasonable accommodations for job applicants with disabilities, unless the accommodations impose an undue hardship on the employer. Previously, the state law only required employers to provide accommodations to employees.

On April 25, 2024, Governor Moore signed into law a new set of pay transparency requirements for all Maryland employers, which will take effect on October 1, 2024. The Wage Range Transparency Act imposes new requirements on all Maryland employers, regardless of size. With these changes, Maryland will join a growing number of other states that have enacted similar pay transparency laws.

Maryland has passed a new law legalizing the use of recreational marijuana for adults 21 and older. Employers should continue to monitor updates and are encouraged to review their current policies and testing procedures in anticipation of this upcoming law.

The Maryland Fair Employment Practices Act expanded the definition of ‘harassment’ and ‘sexual harassment’ to indicate that unwelcome and offensive conduct does not need to be deemed ‘severe’ or ‘pervasive’ to qualify as harassment in various situations. Those situations include submission to conduct that is made a condition of employment or is the basis for employment decisions, or behavior that unreasonably creates an abusive or hostile work environment. Employers are encouraged to review their harassment policies to ensure there are no references to ‘pervasive or severe’ standards, as well as inform people managers to recognize and respond to behavior that may be construed as harassment.