Why Mid-Year 2025 HR Legislative Updates Matter
The second half of 2025 is bringing some of the most impactful employment law changes we’ve seen in recent years. From expanded pay transparency mandates to evolving leave laws and wage thresholds, staying ahead of these updates isn’t just smart—it’s essential for avoiding costly compliance risks.
Our recent 2025 Legislative Update Webinar brought together MP’s HR and compliance experts to break down the changes employers need to know and the actions to take now. This blog recaps the top takeaways from the session.
1. Pay Transparency Laws Continue to Expand
Several states—including Illinois, Minnesota, New Jersey, Vermont, and Washington—have new pay transparency requirements taking effect mid-year. These laws affect not only local employers but also companies hiring remotely into those states.
Key Takeaways:
- Disclose pay ranges and benefits in job ads when required.
- Apply rules consistently to both internal and external postings.
- Train hiring managers on compliant conversations about compensation.
2. Minimum Wage & Salary Threshold Changes
States like Alaska are raising both their minimum wage and exempt salary thresholds as of July 1, 2025. Employers must ensure payroll systems are updated and that exempt employees meet the new salary test to avoid misclassification.
Action Items:
- Audit payroll for impacted employees.
- Adjust offer letters and compensation agreements accordingly.
3. Paid Leave Law Updates
Paid sick leave requirements are expanding, with some states mandating accrual from day one of employment. Leave policies must be updated to meet both state and local standards, particularly in jurisdictions like Alaska and Washington.
Pro Tip: Multi-state employers should centralize leave tracking to ensure consistency and compliance.
4. Enforcement Trends: EEOC, DOL, and State Agencies
Beyond legislation, agencies are stepping up enforcement. Expect increased audits, more pay equity investigations, and heightened scrutiny of job postings for compliance with new laws.
What This Means for Employers:
- Documentation is your best defense—maintain detailed records of pay decisions, leave accrual, and classification determinations.
- Consider an annual compliance audit to catch gaps before regulators do.
5. Your Next Steps
To stay ahead of these changes, HR leaders should:
- Conduct a multi-state compliance review.
- Update job posting templates and pay bands.
- Refresh manager training on leave, wage, and transparency laws.
- Implement a tracking system for state-by-state legal changes.
Free Resource: 2025 HR Compliance Checklist
Download MP’s 2025 HR Compliance Checklist to quickly identify and address gaps in your policies, postings, and payroll practices before they become compliance risks.
About MP: Wired for HR
MP delivers HR, payroll, and compliance solutions with expert guidance tailored to your business. From legislative updates to policy overhauls, we help you navigate complex HR challenges so you can focus on growth.
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