Regulation Guide
US State Employment Law Guide 2026: Wages, Leave, Non-Competes & Pay Transparency
US employment law has never been more fragmented. Thirty states have minimum wages above federal. Thirteen states plus DC now run paid family leave programs. Four states ban non-competes outright. This guide covers the six most compliance-critical employment law domains across all 50 states.
This guide is for informational purposes only and does not constitute legal advice. Employment law changes frequently. Always verify current requirements with official state sources and consult qualified employment counsel.
1. State Minimum Wages (2025–2026)
The federal minimum wage has been $7.25/hr since 2009. Thirty states (plus DC) have enacted higher minimums. Fourteen states with no law, or rates below federal, default to $7.25 for FLSA-covered employers. Seven states index their minimum wage to the Consumer Price Index for automatic annual adjustment.
| State | Rate (2025) |
|---|---|
| District of Columbia | $17.50/hr |
| Washington | $16.66/hr |
| California | $16.50/hr |
| Connecticut | $16.35/hr |
| New York (NYC metro) | $16.50/hr |
| Massachusetts | $15.00/hr |
| New Jersey | $15.49/hr |
| Illinois | $15.00/hr |
| Oregon | $14.70/hr |
| Maryland | $15.00/hr |
| Colorado | $14.81/hr |
| Delaware | $15.00/hr |
| Rhode Island | $15.00/hr |
| Hawaii | $16.00/hr |
| Maine | $14.65/hr |
| Vermont | $14.01/hr |
| Arizona | $14.70/hr |
| Minnesota | $11.13/hr |
| Florida | $14.00/hr |
| Michigan | $10.56/hr |
| Montana | $10.55/hr |
| Alaska | $11.91/hr |
| Nevada | $12.00/hr |
| Ohio | $10.70/hr |
| South Dakota | $11.50/hr |
| Nebraska | $13.50/hr |
| Missouri | $13.75/hr |
| New Mexico | $12.00/hr |
| Virginia | $12.41/hr |
| Arkansas | $11.00/hr |
| West Virginia | $8.75/hr |
| Wisconsin | $7.25/hr |
| North Carolina | $7.25/hr |
| Texas | $7.25/hr |
| Indiana | $7.25/hr |
| Iowa | $7.25/hr |
| Kansas | $7.25/hr |
| Kentucky | $7.25/hr |
| Louisiana | $7.25/hr |
| Mississippi | $7.25/hr |
| Alabama | $7.25/hr |
| South Carolina | $7.25/hr |
| Tennessee | $7.25/hr |
| Utah | $7.25/hr |
| Idaho | $7.25/hr |
| New Hampshire | $7.25/hr |
| Pennsylvania | $7.25/hr |
| North Dakota | $7.25/hr |
| Oklahoma | $7.25/hr |
| Georgia | $5.15/hr (state) |
| Wyoming | $5.15/hr (state) |
Federal floor: $7.25/hr (unchanged since July 24, 2009, the longest gap in federal minimum wage history). Employers covered by FLSA must pay the higher of federal or state rate.
Sources: DOL WHD State Minimum Wage Laws. Rates as of January 2025; verify current rates before compliance decisions.
2. Paid Leave Mandates
Two types of paid leave laws: Paid Sick Leave (PSL) - accrued time for illness and safe time, and Paid Family and Medical Leave (PFML) - wage replacement for bonding, serious illness, or caregiving. Many states have enacted both. As of 2026, at least 15 states plus DC mandate paid sick leave; 13 states plus DC have PFML programs.
| State | Paid Sick Leave | Paid Family/Medical |
|---|---|---|
| California | 40 hrs/yr (5 days) | Yes, SDI + PFL |
| Colorado | 48 hrs/yr | Yes, FAMLI |
| Connecticut | 40 hrs/yr | Yes, PFMLA |
| DC | 24-56 hrs (by size) | Yes |
| Illinois (Chicago) | 40 hrs/yr (Chicago only) | No statewide |
| Maine | 40 hrs/yr | No statewide |
| Maryland | 40 hrs/yr (15+ employees) | Yes, TIME Act |
| Massachusetts | 40 hrs/yr | Yes, PFML |
| Michigan | 40 hrs/yr | No |
| Minnesota | 48 hrs/yr | Yes, PFML 2026 |
| Nevada | 40 hrs/yr (50+ employees) | No |
| New Jersey | 40 hrs/yr | Yes, FLI |
| New Mexico | 64 hrs/yr | No |
| New York | 40-56 hrs (by size) | Yes, PFL |
| Oregon | 40 hrs/yr | Yes, PLO |
| Rhode Island | 40 hrs/yr (18+ employees) | Yes, TCI |
| Vermont | 40 hrs/yr | No statewide |
| Washington | 1 hr/40 hrs worked | Yes, PFML |
| Arizona | 40 hrs/yr | No |
| Pennsylvania (Philly) | Varies | No statewide |
| All other states | No statewide mandate | No |
Sources: NCSL Paid Sick Leave. Federal FMLA provides 12 weeks unpaid leave for employers with 50+ employees, all states listed supplement this.
3. Non-Compete Enforceability by State
Non-compete agreements restrict employees from working for competitors after leaving. Enforceability varies dramatically by state, from absolute bans to robust enforcement. A 2024 FTC rule banning most non-competes was blocked by federal courts; state law governs.
Banned / Near-Banned
- California - Void since 1872. AB 1076 (2024) voided out-of-state agreements for CA workers.
- Minnesota - Complete ban (2023), covers employees + ICs.
- North Dakota - Banned since 1890; all professional restraint void.
- Oklahoma - Banned since 1890; customer non-solicitation allowed.
Income-Based Threshold
- Washington - Void under $120,559/yr (2025, indexed); $5,000 min penalty.
- Illinois - Void under $75,000 (indexed annually).
- Virginia - Void for low-wage workers (below average weekly wage).
- Colorado - Void below ~$130K; complex procedures above.
Duration-Limited
- Massachusetts - Max 1 year; garden leave required (50% pay).
- Oregon - Max 12 months; garden leave or void; income threshold.
- Nevada - Enforceable with consideration; no layoff enforcement.
- Florida - Courts must enforce reasonable terms; 6 mo presumed reasonable.
Choice of Law Trap: California's courts apply CA law to non-competes for California workers even if a contract specifies another state's law. A Colorado worker living in California cannot be bound by a Colorado non-compete. Employer location does not determine the governing law, worker location often does.
4. Pay Transparency Requirements
Pay transparency laws require employers to disclose compensation ranges in job postings or upon request. Colorado pioneered the approach in 2021. At least 9 states now have enacted laws (with varying scope). Remote jobs are often covered if they could be performed in the state.
| State | Effective | Employee Threshold |
|---|---|---|
| Colorado | Jan 2021 | 1+ employee |
| California | Jan 2023 | 15+ employees |
| New York | Sep 2023 | 4+ employees |
| Washington | Jan 2023 | 15+ employees |
| Illinois | Jan 2025 | 15+ employees |
| Massachusetts | Oct 2025 | 25+ employees |
| Vermont | Jul 2025 | 5+ employees (lowest threshold) |
| Hawaii | Jan 2024 | 50+ employees |
| Connecticut | Oct 2023 | All employers |
| Nevada | Oct 2021 | All employers |
| Maryland | Oct 2020 | 15+ employees |
| Rhode Island | Jan 2023 | All employers |
Many pay transparency laws also cover remote positions - if a role can be filled by someone in the state, the posting may need to include salary ranges. This is especially relevant for Colorado (any employer with 1 CO employee) and New York (any employer with 4+ employees posting roles NYC-accessible).
5. Salary History Bans
Salary history bans prohibit employers from asking about or using prior compensation when making hiring or pay decisions. The policy aims to break the cycle of pay inequality. Over 21 states and localities have enacted bans; most cover all employers.
Applicants may voluntarily disclose prior salary in most jurisdictions; employers cannot ask. Several states require employers to affirmatively provide pay scales on request even without the applicant asking.
6. Predictive Scheduling (Fair Workweek) Laws
Fair workweek laws require employers to post work schedules in advance and pay "predictability pay" when schedules change on short notice. Oregon has the only statewide law. Several major cities have enacted strong local ordinances covering retail, food service, and hospitality workers.
Oregon (Statewide)
Effective July 2018Chicago, IL
Effective July 2020New York City, NY
Effective Nov 2017San Francisco, CA
Effective July 2015Seattle, WA
Effective July 2017Many other cities (Philadelphia, Los Angeles, Emeryville CA, Berkeley CA, San Jose CA) have enacted or are considering similar laws. Check local ordinances for multi-location operations.
Compare Employment Law Internationally
How do US state employment laws compare to international standards? See minimum wages, leave mandates, and worker protections across 217 countries.
Compare employment law internationally at PlainEmployFrequently Asked Questions
Which states have the highest minimum wages in 2026?
Washington ($16.66/hr), California ($16.50/hr), New York ($16.50/hr NYC metro), Connecticut ($16.35/hr), and the District of Columbia ($17.50/hr) have the highest minimum wages in 2026. Most are indexed to the Consumer Price Index and adjust annually. Federal minimum wage remains $7.25/hr, states without their own laws default to this floor.
Which states ban non-compete agreements?
Four states ban non-competes entirely: California (since 1872), Minnesota (since 2023), North Dakota, and Oklahoma. Several additional states have severe restrictions: Washington bans them for workers earning under $120,559/year; Illinois voids them under $75,000; Virginia bans them for low-wage workers. The FTC attempted a federal ban in 2024 but it was blocked by courts.
What is pay transparency and which states require it?
Pay transparency laws require employers to disclose salary ranges in job postings or upon request. Colorado was first (2021), followed by California, New York, Washington, Illinois, Massachusetts, Vermont, and Hawaii. Requirements vary: some cover all employers, others set size thresholds (5–50+ employees). Penalties range from $100 to $10,000 per violation. Most laws also prohibit asking about salary history.
How many states have paid family leave programs?
As of 2026, 13 states plus DC have enacted paid family and medical leave programs: California, Colorado, Connecticut, Delaware (pending), Maine (pending), Maryland, Massachusetts, Minnesota, New Jersey, New York, Oregon, Rhode Island, Washington, and DC. Most are funded through payroll premiums split between employer and employee. Duration ranges from 6 weeks (Rhode Island TCI) to 20 weeks (Massachusetts medical leave).
What are predictive scheduling laws?
Predictive scheduling (fair workweek) laws require employers to post work schedules in advance, typically 10 to 14 days, and pay premium compensation when schedules change with short notice. Oregon has the only statewide law (2018), applying to retail, food service, and hospitality with 500+ employees. Chicago, New York City, San Francisco, and Seattle have city-level laws. Covered workers get "predictability pay" when employers make late schedule changes.
Browse the Employment Law Tracker
Explore 107 employment protection regulations across all 50 states, searchable by state, regulation type, status, and effective date.
Data Sources: DOL Wage and Hour Division; NCSL; state legislature databases; IAPP; law firm compliance trackers. Data compiled March 2026. Laws change frequently, verify with official sources before making compliance decisions. This guide does not constitute legal advice.
Every figure on PlainRegWatch is rendered directly from state source data, no number is typed in by an editor. This page draws directly on federal and state source data, no figure is typed in by an editor. See our editorial standards & corrections policy, the methodology behind these numbers, or report a data error.