The following employment law updates for Maryland take effect October 1, 2024, and apply to employers of all sizes unless otherwise noted.
Pay and Benefit Job Posting Requirements
Employers will be required to post a wage range in all job postings for positions that will be physically performed, even in part, in Maryland. A wage range is defined as a minimum and maximum hourly rate or salary that’s established in good faith based on any of the following:
Any applicable pay scale
Any previously determined wage range for the position
The wage range of an individual holding a comparable position at the time of the posting
The budgeted amount for the position
Job postings must also include a general description of any benefits and other compensation offered for that position. Internal job postings, such as promotions and transfers, and all forms of recruitment (whether directly by the employer or indirectly by a third-party on the employer’s behalf) are covered by this new posting law.
If an applicant didn’t have access to the posting for a position, employers are required to provide this information to them before any discussion of compensation occurs and at any other time upon the applicant’s request.
Employers are required to maintain records showing compliance with this law for at least three years after the position was filled or posted, whichever comes later.
The state will create a form that employers can include in their job postings and provide to applicants, though using the state’s form will not be mandatory.
Action Item
Amend job postings to include the required pay information by October 1.
MD H 649
Equal Pay Law Expanded
The state’s equal pay law has been expanded to include additional protected characteristics. Employers will be required to ensure equal pay and job opportunities between employees of different sexual orientations, races, and religious beliefs, unless there are bona fide reasons for a discrepancy. Additionally, the law specifically prohibits offering less favorable job opportunities to those with disabilities.
Previously, sex and gender identity were the only protected characteristics under the state’s equal pay law.
Action Item
If you haven’t reviewed employee compensation recently, now is the time. Assess the salaries of employees performing comparable work, those within the same business unit, or those engaged in similar operations or projects. This review should verify that salaries are consistent or that any pay disparities are justified by a legitimate system or factor.
MD H 602
MD H 1397
Written Pay Information Required
Two existing pay-related notice obligations for employers have been revised.
First, the notice that employers must give employees at the time of hire, detailing their pay rate, scheduled paydays, and leave benefits, will now need to be in writing.
Second, employers will be required to provide the following written information on employees’ pay stubs, whether paper or electronic:
Employer’s business name (as it’s registered with the state), address, and telephone number
Date of payment and the beginning and end dates of the pay period the payment covers
Employee’s rate of pay
Employee’s gross and net pay earned during the pay period
Name and amount of all deductions
List of additional bases of pay (e.g., bonuses or commissions)
For nonexempt employees, the number of hours they worked during the pay period
For employees paid on a piece rate basis, the piece rates of pay and the number of pieces completed at each rate
The state will create a pay stub template for employers to use, though it hasn’t said when it will be made available.
Action Items
Revise your new hire paperwork to include the new hire notice in writing.
Ensure your pay stubs are modified to contain the specific written information required by the law.
MD H 385
Military Status Protected
The state has updated its antidiscrimination law to include military status as a protected category. Military status is defined as being a member of the uniformed services or a reserve component of the U.S. Armed Forces or being a servicemember’s dependent. The inclusion of servicemember’s dependents makes this law notably broader than federal Uniformed Services Employment and Reemployment Rights Act (USERRA). Maryland’s antidiscrimination law applies to employers with 15 or more employees (and employers of all sizes for harassment claims).
Action Item
Update your Equal Employment Opportunity (EEO) policy, and any other policies that include protected classes, to include military status, if it’s not included already.
MD H 598