Key Employment Law Updates for 2025
As we enter 2025, employers in New Jersey and New York should stay informed about new and evolving legislation affecting the employer-employee relationship. Below are updates to guide employers through these changes and help ensure a smooth start to the year.
NY & NJ Minimum Wage Increases – Effective January 1, 2025
New Jersey and New York implemented new minimum wages effective January 1, 2025. The increased minimum wage applies to various categories of employees, including but not limited to:
- Service employees
- Seasonal workers
- Home health aides
- Most non-exempt employees
Employers must ensure payroll systems have been updated to reflect the new minimum wage rates and adjust compensation practices to ensure compliance.
New Jersey Wage Transparency Act – Effective June 1, 2025
Starting June 1, 2025, New Jersey employers will be required to provide wage transparency (i.e., information regarding wages and benefits) with their job postings. This includes:
- Exact or Range of Wages: Employers must include the exact hourly wage or salary (or a wage range) in job postings for new openings, promotions, or transfer opportunities.
- Benefits and Compensation Information: Employers also must include a general description of benefits and other compensation programs provided to eligible employees within their first 12 months of employment.
Employers should review both internal and external job postings to ensure compliance with these requirements ahead of the deadline.
Federal Pregnant Workers Fairness Act (PWFA) – Effective June 2024
Since June 18, 2024, when the EEOC issued its final regulations implementing PWFA, both public and private employers have been required to provide reasonable accommodations for employees affected by pregnancy, childbirth, or related medical conditions. Employers must:
- Provide reasonable accommodations such as schedule adjustments, light duty, and additional breaks for restroom, meals, or drinks.
- Employers are not required to provide accommodations if it would result in undue hardship to the business.
Ensuring that employees affected by pregnancy-related conditions receive necessary accommodations will help avoid potential claims under the PWFA.
Broader Standards for Discrimination and Harassment Claims – Effective April 2024
As of April 2024, regulatory changes and a Supreme Court decision have altered the legal landscape for Title VII discrimination and harassment claims:
- Discrimination Claims: The Supreme Court lowered the bar for proving discrimination under Title VII. Employees now need only prove that a discriminatory employment action caused harm to an identifiable term or condition of employment, replacing the prior standard that required showing significant harm or material disadvantage.
- Harassment Claims: As the result of new EEOC guidance, harassment claims can now be based on broader categories beyond sex, race, religion, and color including:
- Intraclass: Harassment between members of the same protected group.
- Intersectional: Harassment based on the combination of multiple protected characteristics, like race, gender, sexual orientation, or ability.
- Associational: Harassment or discrimination due to relationships or association with someone from a protected group, even if they themselves are not a member of that group.
- Additionally, these protections now extend to virtual workplaces and social media interactions targeting employees or employers.
Employers should review and update anti-discrimination and harassment policies and provide training to ensure employees’ compliance, including in virtual or digital work environments.
Action Steps for Employers:
- Update compensation practices to comply with minimum wage increases in New Jersey and New York.
- Ensure job postings comply with the New Jersey Wage Transparency Act by including wage details and information about benefits and compensation.
- Review workplace accommodations for pregnant workers and ensure policies reflect the reasonable accommodations required under the PWFA.
- Revise anti-discrimination and harassment policies to reflect the expanded scope of claims, including harassment in virtual settings and on social media platforms.
Please contact Heather Adelman at hadelman@hdrbb.com or Maralee Sanders at msanders@hdrbb.com with any questions regarding how new or existing legislation may impact your business. We’re here to help you make 2025 a compliant and successful year!