Akamai HR Solutions | April 2026 HR & Legal Update

As we move into Q2, we’re sharing our April 2026 HR & Legal Update, which highlights notable federal, state, and local employment law developments, key compliance deadlines, and practical guidance to help employers stay current, reduce risk, and make informed decisions.

For more resources, including prior HR & legal updates and handbook guidance, visit our News & Insights page.

If you are reviewing your employee handbook or policies this quarter, we can help ensure they’re up to date and compliant. Visit our Handbook page for more information. 

Federal

• A proposed rule from the Department of Labor would add additional factors when analyzing whether a worker is an employee or an independent contractor. Currently, the DOL only uses the “economic realities” test, a 5-factor inquiry derived from common law. Under the new rule, the economic realities test would still be used in addition to the following:
  • Identify and explain two “core factors” to help determine if a worker is economically dependent on an employer for work or in business for him- or herself:
  • The nature and degree of control over the work.
  • The worker’s opportunity for profit or loss based on initiative and/or investment.
  • Identify other factors to help determine a worker’s status as an employee or independent contractor, including the amount of skill required for the work, degree of permanence of the working relationship, and whether the work is part of an integrated unit of production.
  • Advise that the actual practice of the worker and the potential employer is more relevant than what may be contractually or theoretically possible.
  • Provide eight fact-specific examples applying the factors to real-life circumstances.
  • The proposed rule is open to public comment until April 28, 2026.

• On February 27, 2026, the NLRB published a final rule formally reinstating the 2020 joint employer standard. The action follows a March 8, 2024 decision by a U.S. District Court in Texas that vacated the NLRB’s 2023 joint employer rule, leaving the 2020 rule in effect. Under the reinstated standard, entities are considered joint employers under the NLRA only if they possess and exercise substantial direct and immediate control over essential terms and conditions of employment. Employers should monitor ongoing legal challenges that may affect the rule.
• On March 19, 2026, the U.S. Department of Labor announced the launch of a website for its Center for Faith, following President Trump’s executive order creating a White House Faith Office and federal agency Centers for Faith. The website contains resources for Americans who may have faced religious discrimination in the workplace including Christian bias and anti-Semitism as well as information for faith organizations.
• On March 27, 2026, the US DOL published a proposed rule to increase the prevailing wage required for employment opportunities that US employers seek to fill with alien workers on a permanent or temporary basis including those under the H-1B, H-1B1, and E-3 programs. The proposed rule retains the four-tier wage structure based on data from the Occupational Employment and Wage Statistics survey but increases the percentiles used to determine the amounts for the four tiers: Level I would increase from 17th to 34th; Level II would increase from34th to 52nd; Level III would increase from 50th to 70th; and Level IV would increase from 67th to 88th. If finalized, the rule would apply to new wage determinations and labor condition applications or those pending as of the rules effective date. Public comments on the proposed rule may be submitted through May 26, 2026.

Alabama

• On February 19, 2026, Alabama Governor Ivey signed SB 30 (Trey’s Law), which voids any provision in a nondisclosure agreement, confidentiality agreement, employment agreement, settlement agreement, or any other type of agreement that prohibits the disclosure of an act of sexual abuse or facts related to such abuse, including any conduct that would be a criminal violation under Alabama’s sexual offense statutes, regardless of any criminal legal action. This update takes effect October 1, 2026.

Connecticut

• On March 3, 2026, Governor Lamont signed SB 298, which requires employers to provide employees with a written description of any work quota, including potential adverse employment actions for failing to meet the quota. The notice must be provided by August 1, 2026, or at the time of hire for employees hired after that date, and updated written notice must be provided within two business days before any new quota takes effect. The law also prohibits quotas that interfere with bathroom use and bars employers from taking adverse action for failing to meet an unlawful quota. Employers must maintain quota descriptions and employee work speed data for three years, provide records to employees within 10 days of a request, and may face civil penalties and private civil actions for violations. These provisions go into effect on July 1, 2026.

Illinois

• Chicago: The Chicago City Council passed ordinance 40087 to amend the municipal code of Chicago to include antisemitism as a form of discrimination. Antisemitism is defined as a certain perception of Jews, which may be expressed as hatred toward Jews. Rhetorical and physical manifestations of antisemitism are directed toward Jewish or non-Jewish individuals and/or their property, toward Jewish community institutions and religious facilities, as defined by the International Holocaust Remembrance Alliance. The ordinance went into effect on February 20, 2026.

Indiana

• On March 4, 2026, Governor Braun signed HB 1193, which amends Indiana’s civil rights law to expand the definition of a discriminatory practice. The law now includes violations of rights protected under Title VI or Title VII of the Civil Rights Act of 1964 and Title IX of the Education Amendments of 1972, as well as retaliation against individuals who take action to protect civil rights, including filing discrimination complaints or participating in related proceedings. The legislation also clarifies that when the Indiana Civil Rights Commission receives a complaint within another state or federal agency’s jurisdiction, it may transfer the complaint and supporting documentation to the appropriate agency and may enter into a memorandum of understanding to obtain enforcement authority over the complaint.
• On February 24th, Governor Braun signed SB 245 amending existing law to establish a new section containing definitions and requirements related to tip pooling arrangements. Specifically, the legislation adds definitions and other language that clarifies that employers may only require tipped employees to participate in tip pools if the employees are notified of their required tip pool contribution and their employer only takes a tip credit for the tips the employee actually receives. The legislation also clarifies that employers who pay at least the minimum wage can implement a tip pool that includes both tipped and non-tipped employees. Under no circumstances can an employer receive tips from, or permit managers or supervisors to participate in, a tip pool. The legislation took effect retroactively to June 27, 2024, as the bill was passed in response to a 2024 decision by the state’s Supreme Court.
• On March 5, 2026, Governor Braun signed SB 76 making it unlawful for an employer to knowingly or intentionally recruit, hire, or continue to employ an unauthorized alien in Indiana. An employer is not in violation if they used reasonable diligence as defined in the law to confirm the work eligibility of the individual before recruiting, hiring, or continuing to employ them. Indiana’s attorney general can bring action against an employer if probable cause of violation exists. Penalties may include suspension of business operations in Indiana ranging from 5 days to permanent revocation of operating authorizations or placing an employer on probationary status anywhere from 6 months to 2 years. These provisions are effective and apply to the hiring, recruitment, or employment of an unauthorized alien that occurs on or after the effective date of this legislation on July 1, 2026.
• On March 4th Governor Braun signed HB 1302 which, among other changes, amended the state’s child labor laws to remove a requirement that employers that employed at least five minor employees between 14 and 17 years of age at one or more locations in the state to register with the Department of Labor. Beginning July 1, 2026, employers of such minor employees will no longer need to complete the same registration required under current law.

Maine

• On March 4th, Maine’s Department of Labor adopted Regulation 13098 establishing the definitions of “health care employer” and “seniority system” under its equal pay law. The definition of health care employer means any employer who operates a health care facility as defined in 22 MRSA § 328. The new definition of seniority system allows health care employers to consider both years of service and relevant education and work experience for new hires, adding provisions allowing health care employers to pay different wages according to salary schedules adopted based on the county where the place of employment is located, and requires health care employers to pay all employees performing comparable work according to equal pay requirements within the same health care facility. No other provisions of the current equal pay regulations were altered. These updates went into effect on February 9, 2026.
• We previously noted that contributions to Maine’s paid family and medical leave insurance program began on January 1, 2025. Starting May 1, 2026, employees will be able to access those paid benefits.
• Effective March 30, 2026, Mainers are now able to apply for benefits through the state’s Paid Family and Medical Leave (PFML) program. While applications can be submitted beginning today, leave must occur on or after May 1, 2026 in order to be approved. A Maine Paid Family and Medical Leave policy will be added to the handbook tool on April 1st. The Maine Paid Family and Medical Leave program provides up to 12 weeks of benefits for key life events.

New Mexico

• Santa Fe: Effective On March 1, Santa Fe’s living wage raise took effect. The minimum wage in Santa Fe (city and county) is $15.40.

New York

• We notified you in a previous update that New York State’s Secure Choice Savings Program had staggered registration deadlines for different-sized employers to register. This is a reminder that employers with 30 or more employees must register by March 18, 2026, those with 15-29 employees must register by May 15, 2026, and those with 10-14 must register by July 15, 2026. 
• New York City: NYC’s Department of Consumer Worker Protection has updated resources for employers that need to provide protected time off and prenatal leave. These resources align with the proposed rules (open for comment until March 2, 2026) that incorporate Local Law 145 which amended the ESSTA to add additional reasons employees could use their sick and safe leave, added a 32 hour unpaid sick/safe time bank at time of hire and incorporated paid prenatal leave. The FAQ’s have been updated to address previously unanswered questions surrounding the new requirements, and a guidance document titled Rules for Protected Time Off Policies has been provided outlining specific requirements employers must meet with their written time off policies.

Oregon

• On March 4th Governor Kotek signed SB 1518 which amends existing law to clarify that individuals who are employed to provide companionship services in the home by a third party engaged in the business of providing such services are entitled to certain employment-related protections. Specifically, the legislation amends the State’s existing exemption for workers providing companionship services to clarify that employees of third parties do not qualify and, as such, are entitled to employment-related protections under state law including, but not limited to, minimum wage, overtime, and lactation accommodations. The legislation takes effect on January 1, 2027.
• On March 5th, Governor Kotek signed HB 4013 which amends state law to prohibit the state’s Bureau of Labor and Industries from adopting rules concerning the total hours a minor employee can work that are less restrictive than the requirements under the federal Fair Labor Standards Act that were in effect on January 1, 2026. The legislation allows the Bureau to adopt rules that are more restrictive than federal law. The legislation takes effect on January 1, 2027.
• Portland: On March 11th, the City Council adopted Ordinance 192153 which amends existing law to establish discrimination protections based on an individual’s family or relationship structure. The Ordinance prohibits employers from discriminating against an individual because of their family or relationship structure, defined as their actual or perceived involvement, or lack thereof, in consensually entered intimate personal relationships such as multi-partner or multi-parent families, multi-generational households and other diverse family structures. The Ordinance also redefines ‘sexual orientation’ as an individual’s actual or perceived romantic, physical or sexual attraction, or lack thereof, to others based on gender. These changes take effect on April 10, 2026.

Tennessee 

• On March 6, 2026, Governor Lee signed SB 674 clarifying that local governments and any agency shall not adopt or enforce an ordinance, resolution, rule, code, requirement, or policy that requires a term or condition of employment that exceeds or conflicts with the law of this state or federal law. The act took effect on March 6, 2026.

Utah

• On March 17, 2026, Governor Cox signed SB 111 prohibiting non-competes with veterinarians unless the they have at least a 5% ownership in the business. Non-solicitation agreements with veterinarians are also void. The law also prohibits non-disclosure agreements with veterinarians in which the veterinarian agrees not disclose or discuss their experience working for the employer. These provisions go into effect on May 6, 2026.
• On March 18, 2026, Utah Governor HB 380, requiring hospitals to develop a workplace violence incident reporting system. Effective November 1, 2026, hospital employers must:
  • establish a workplace violence incident reporting system;
  • record all reported incidents of workplace violence voluntarily reported by employees;
  • adopt a policy prohibiting discrimination or retaliation for reporting or participating in an investigation;
  • analyze collected data;
  • report data collected to the chief medical officer and chief nursing officer on a quarterly basis; and
  • report the number of workplace violence incidents annually to the Utah Department of Health and Human Services.
• Utah’s Governor signed legislation (H.B. 130) amending the law preventing employers, including prospective employers, from making applicants or employees pay for medical examinations that are required as a condition of pre-employment, employment, or continued employment. If a covered medical examination is requested by the employer, the employer must pay for the examination and cannot charge the individual for it, nor can they require an employee to pay for the exam and be reimbursed for it. Further, they cannot require an employee to use leave to receive a medical exam or require them to complete the medical exam outside of the employee’s shift without pay. The amendments also provide a mechanism for enforcement and grants rulemaking authority to the state’s Labor Commission. Employers should consult with legal counsel and consider restrictions on asking applicants or employees to complete medical exams as they may not be permissible under federal law, as addressed by the EEOC. The bill takes effect on May 6, 2026.
• Utah has passed H.B. 270, amendments to restrictions on non-compete and non-solicitation agreements for healthcare workers. Under the new law, healthcare workers cannot enter into a healthcare non-compete agreement on or after May 6, 2026, with limited exceptions. Additionally, non-solicitation agreements cannot restrict a healthcare worker from telling patients who their current or future employer is. The bill takes effect on May 6, 2026.

Washington

• On March 14th Governor Ferguson signed HB 2479 which makes several changes to the state’s laws on the recovery of unpaid wages. Among other changes, the legislation amends existing law to give the state’s Department of Labor discretion to investigate wage complaints while requiring the Department to establish a written process for prioritizing wage claims by factors including, but not limited to, the number of employees affected and the severity of the complaint. The legislation also increases the penalty for willful wage violations to a minimum of $1,500, with increases every three years based on inflation beginning in 2030, while also removing the $20,000 cap on penalties that exist under current law. These amendments take effect June 10th, 2026 (90 days after the legislature’s adjournment on March 12th). The legislation also establishes a program to provide advance payments on claims filed by eligible low-wage employees beginning on July 1, 2028.
• On March 11, 2026, Governor Ferguson signed HB 2345 amending contributions to the state paid family and medical leave program. The amendments change medical leave premiums allowing an employer to deduct from the wages of each employee up to the full amount of the premium required. Family leave premiums are changed to allow an employer to deduct from the wages of each employee up to an amount equal to the difference between: the full amount of the premium required for family leave plus 45 percent of the full amount of the premium required for medical leave; and the full amount of the premium required for medical leave. These amendments go into effect on June 11, 2026.
• On March 10th Governor Ferguson signed HB 2355 which creates protections for domestic workers that work at least four hours a month providing childcare, home care, personal care, or other services in one or more private residences by adding a new chapter to Title 49 RCW. In addition to other protections, this new section establishes minimum wage, overtime, notice and recordkeeping requirements that the hiring entities of domestic workers must meet. Hiring entities that take adverse action against workers for exercising these new rights face fines of up to $20,000 for a first violation and $40,000 for repeat violations. The amendments made by this legislation take effect on July 1, 2027.
• Last year, Washington updated minors’ permissible working hours by adopting HB 1121. Under this new law, during the school year, employers must allow employees aged 16-17 to work the same hours and days as they would during vacations and holidays if the minor employee is enrolled in a bona fide college program, or is enrolled in a career and technical education program and the work performed for the employer is approved by the program. This update is effective July 1, 2026.
• On March 17, Washington Governor Ferguson signed an amendment to the state’s mini-WARN Act. Effective immediately, Native American tribes are no longer subject to the state’s WARN Act, and the notice that must be provided directly to affected employees must not contain the actual names and addresses of affected employees. That information still must be included in the notice provided to the Employment Security Department and to any employee bargaining representatives, however. Further, these amendments exempt the names and addresses of affected employees from public disclosure under the Public Records Act.
• Governor Ferguson recently signed a bill to address workplace privacy and freedom of choice by prohibiting employers from requiring their workers to get microchip implants. Under the bill, employers may not request, require, or coerce any employee or job applicant to have a microchip implanted for any reason. Employees can sue employers for violating this law and if they win they can get injunctive relief, actual damages, punitive damages, and reasonable attorneys’ fees and costs. This law goes into effect on June 11, 2026.
• On March 23, 2026, Governor Ferguson signed HB 2471 which grants the state’s Public Employment Relations Commission authority over private sector labor-management relations in the event that the NLRB lacks or declines jurisdiction or federal law no longer preempts the state from regulating private sector employees. If the NLRB declines or lacks jurisdiction or federal law no longer preempts regulation by the state, the Commission will have the authority to recognize unions, investigate unfair labor practice claims, and certify collective bargaining agreements. The legislation takes effect on June 10, 2026.
• On March 23, 2026, Governor Ferguson signed HB 1155, making all non-compete agreements void and unenforceable beginning on June 30, 2027, regardless of when the parties signed the agreement. The earnings threshold that currently allows non-competes for workers making a certain dollar amount has been removed. Employers violate the law if they (a) enforce, attempt to enforce, or threaten to enforce a non-compete, (b) represent that the employee or worker is subject to a non-compete, or (c) enter into or attempt to enter into a non-compete with an employee or worker. Non-solicitation agreements, which prohibit an employee from actively soliciting current customers or employees away from the employer, are not prohibited, but they may only prohibit solicitation of customers with whom the employee established or substantially developed a direct relationship and must expire within 18 months of termination.  
• Washington has banned non-competes starting June 30, 2027. By October 1, 2027, an employer must make reasonable efforts to provide written notice to all current and former employees and independent contractors who’s non-compete is still within its effective time period, that their non-compete is void and unenforceable.
• On March 16, 2026, Governor Ferguson signed SB 6014 clarifying that while employers may request that employees provide written certification from the employee’s treating health care professional regarding the need for reasonable accommodation for pregnancy, this will not apply for accommodations for limits on lifting over 17 pounds. Additionally, records filed with or maintained by the state’s Department of Labor and Industries that reveal the identity of, or contain any personal information about, an employee or applicant who has filed a complaint, requested assistance, or participated in an investigation are confidential and not open to public inspection. These amendments take effect on January 1, 2027.
• On March 24th Governor Ferguson signed SB 6058 amending existing law to provide for the assessing of interest equal to 1% per month on any amounts the Department of Labor & Industries orders paid to an employee and allow the Department to assess existing penalties against employers. Under the legislation, the Department is prohibited from ordering employers to pay for amounts or interest owed more than 3 years before the Department obtained information indicating the employer violated wage payment requirements. The legislation will take effect on June 11th.
• The state has enacted legislation (HB2105) providing workplace protections for immigrant workers. Under the new law, employers with one or more employees in the state of Washington have two new notice requirements. First, within five business days of receiving a notification from a federal agency of an inspection of I-9 forms or related worker records, employers must notify all employees or their authorized representative in writing. A model notice will be provided by the attorney general by September 1, 2026, for employers to utilize to meet this requirement. Additionally, within five business days of receiving results of an inspection of I-9 forms and any related worker records by a federal agency, the employer is required to notify each affected worker. The law details the information that employers must provide when meeting these notice requirements. Employers will also be required to display a workplace poster notifying employees of their rights under the law which will also be developed by the attorney general and provide by September 1, 2026. Employers that violate this law may be subject to statutory damages of $500-$1000 per instance of notice violation and actual damages, other appropriate relief at law or equity, plus reasonable attorney’s fees and costs. This law goes into effect on October 1, 2026.

West Virginia

• On March 16, 2026, the state’s Department of Labor published final rules that clarify the process employers must follow to obtain an age certificate before employing minor employees aged 14 through 17. The rules also address the responsibilities employers have with regard to their minor employees such as the need to have a properly issued age certificate in their possession before employing 14- or 15-year-olds and the permissible hours of work which vary depending on the minor employee’s age. These requirements took effect on March 16th and last through August 1, 2031.

Wyoming

• On March 6th, Governor Gordon signed SF 41, which establishes a new section of law that allows for hiring parties to make contributions to portable benefit accounts opened by the independent contractor. Specifically, under the legislation, contributions made by a hiring party or other entity to a portable benefit account cannot be considered for purposes of determining whether a worker is an employee or independent contractor for purposes of the state’s employment laws. The legislation takes effect on July 1, 2026.

 

Disclaimer: The information in this HR & Legal Update is provided for general educational purposes only and does not constitute legal advice. Akamai HR Solutions, LLC is not a law firm, and no attorney–client relationship is created by your use of this content. Laws may change or apply differently to your business. For legal guidance tailored to your specific circumstances, please consult a qualified attorney.