Ohio Becomes the 24th State to Legalize Recreational Marijuana

On November 7, 2023, Ohio voters passed a measure to legalize recreational marijuana. The state now joins 23 other states, two territories and the District of Columbia that have legalized marijuana for recreational use.

The approved ballot measure, commonly referred to as “Issue 2,” will allow adults over the age of 21 to buy, possess and grow marijuana as of December 7, 2023.  It is important to note that Issue 2 was a citizen-led initiative, which means lawmakers have the authority to change some of the language in the coming months.  Once finalized, the law will be captured in a new chapter of the Ohio Revised Code, Chapter 3780.

Ohio’s longstanding medical marijuana program will remain in effect.

What does this mean for the Ohio Employer?

The new law is not expected to significantly impact the workplace. Ohio employers are not required to permit or accommodate an employee’s use, possession, or distribution of recreational marijuana. Employers may still refuse to hire, discharge, discipline or otherwise take an adverse employment action against an individual because of that individual’s use, possession, or distribution of recreational marijuana. Employers may continue to establish and enforce drug testing policies, drug-free workplace policies, or zero-tolerance policies. Furthermore, if an employer terminates an employee because of that individual’s recreational marijuana use in violation of the employer’s policy, the employee will be considered to have been discharged for just cause. Continue reading

The Department of Labor Proposes Changes to Overtime Eligibility, Potentially Impacting Millions of Workers

By Kimberly Richardson

On August 30, 2023, the U.S. Department of Labor (“DOL”) published a notice of proposed rulemaking (NRPM), announcing its plans to significantly expand the number of executive, administrative, and professional employees eligible for overtime pay under the Fair Labor Standards Act (“FLSA”).

In its proposal, the DOL estimates that, in year 1, roughly 3.6 million workers, exempt from overtime pay under the current regulations, would become newly entitled to overtime protection absent some intervening action by their employers. The change would have the biggest impact on retail, food, hospitality, manufacturing, and other industries where many “white collar” salaried workers would lose exempt status. The DOL also estimates that the updated regulations would impose $1.2 billion of direct costs on employers.

Overview of the Executive, Administrative, and Professional Employees Overtime Exemption

Unless specifically exempted under the FLSA, U.S. hourly workers are entitled to be paid no less than time-and-half their regular hourly rates for all hours worked in excess of 40 hours a week.  The additional income is called “overtime pay.”

Executive, administrative, and professional workers are exempt from that overtime pay requirement provided they satisfy all three of the following tests: Continue reading

The Minimum Hourly Wage in Washington, D.C. is Increasing Again: What You Need to Know

By Kimberly Richardson

Beginning July 1, 2023, the minimum hourly wage for employees in the District of Columbia will increase from $16.00 per hour to $17.00 per hour, and the minimum hourly cash wage for tipped employees will increase from $6.00 per hour to $8.00 per hour. The District’s minimum wage for workers is now among the highest in the nation.

Each year, on July 1, the D.C. minimum wage increases based on the Consumer Price Index. This year is unique in that the minimum hourly cash wage for tipped employees will increase twice.

Increasing Minimum Cash Wages for Tipped Employees

Under the federal law and the laws of many states, an employer is allowed to count an employee’s tips toward the employer’s standard minimum wage obligation. This is called a tip credit.  Employers may pay employees a subminimum wage – the minimum cash wage for tipped employees – as long as the employee’s tip earnings added to the subminimum wage equal the standard minimum wage.  If not, the employer must pay the difference to ensure the tipped employee earns at least the standard minimum wage. Continue reading