Welcome to the latest edition of AlphaStaffHCM’s Compliance Updates!
We are pleased to share this September 2026 edition of our AlphaAdvisor, featuring federal and state legal updates, including highlighted resources from some of AlphaStaffHCM’s trusted legal partners.
This edition features new DOL wage-and-hour guidance, confirmation of continued work authorization for Salvadoran TPS beneficiaries, a reminder regarding Florida’s $15.00 minimum wage, and significant October 1 compliance developments in Connecticut, Maryland, New Jersey, and Washington. We also highlight New York’s new personnel-record access requirements, recent appellate decisions affecting employee wage discussions and Oregon wage deductions, and practical guidance for Florida employers navigating workplace firearm policies.
Note: The information contained in this Compliance Update is for general informational purposes only and is not legal advice.
Watch the video from Lindsay highlighting key topics in the September 2026 update
Federal Law Updates
USCIS Confirms Continued Work Authorization for Salvadoran TPS Beneficiaries
U.S. Citizenship and Immigration Services (USCIS) has confirmed that Salvadoran Temporary Protected Status (TPS) beneficiaries remain authorized to work while the Department of Homeland Security determines the future of the country’s TPS designation. The prior extension was scheduled to end on September 9, 2026, but USCIS has advised that affected beneficiaries continue to maintain TPS and employment authorization pending further agency action. USCIS has not yet announced a new end date or issued updated Form I-9 or E-Verify instructions. Employers should not suspend, terminate, or place affected employees on unpaid leave solely because an Employment Authorization Document reflects the September 9, 2026 date. Employers with Salvadoran TPS beneficiaries should identify affected employees, monitor USCIS and I-9 Central for updated guidance, and coordinate with immigration counsel as needed regarding Form I-9 documentation. Read more here.
DOL Issues New FLSA Guidance on Tip Pools, Meal Breaks, and Volunteer Work
The U.S. Department of Labor’s Wage and Hour Division issued three opinion letters addressing recurring Fair Labor Standards Act compliance issues. In FLSA2026-13, the agency reaffirmed that employees who qualify as managers or supervisors under the FLSA may not receive distributions from employee tip pools, even when they perform tipped work alongside other employees, although they may keep tips received directly for services they alone performed. In FLSA2026-11, the DOL concluded that brief walking time to and from an employer-designated break area did not make an otherwise bona fide meal period compensable where employees were fully relieved of duties during a 60-minute meal period and retained sufficient personal time. In FLSA2026-12, the agency confirmed that employees may volunteer without pay for a nonprofit employer when the service is genuinely voluntary, performed without expectation of compensation, and different from the employee’s regular job duties. Employers should review tip-sharing practices, meal-period policies, and volunteer arrangements for consistency with the DOL’s latest guidance. Read more here.
State Updates
Colorado
Court Expands Retaliation Protections for Employee Wage Discussions
In Verheggen v. Adams County Department of Human Services, the Colorado Court of Appeals held that an employee need not allege gender discrimination to pursue a retaliation claim under the Colorado Equal Pay for Equal Work Act (EPEWA) or the Colorado Anti-Discrimination Act (CADA) based on protected wage activity. A county employee claimed she was suspended after sending a formal letter seeking wages she believed were owed. The trial court dismissed the claim because the letter did not allege a gender-based pay disparity, but the appellate court reversed, finding that protections for asking about, disclosing, comparing, or discussing wages operate independently of the laws’ sex-discrimination provisions. The ruling allows such claims to proceed even without an allegation of gender-based pay discrimination, although an employee must still prove the remaining elements of retaliation. Colorado employers should treat wage inquiries, disclosures, comparisons, and discussions as potentially protected activity and document legitimate, non-retaliatory reasons for disciplinary or other adverse actions. Read more here.
Connecticut
Mandatory Advance Notice Requirements for Employee Electronic Monitoring Effective October 1
Effective October 1, 2026, Connecticut employers will face expanded notice requirements for electronic monitoring under Public Act No. 26-73 (SB 472). The law broadly covers monitoring through computers, keystroke tracking, telephone systems, cameras, and other electronic systems. Employers generally must provide advance written notice identifying the types of monitoring being used and where monitoring occurs and must post notices in monitored areas. Individuals hired on or after October 1 must also receive a plain-language written statement before employment explaining conduct that may trigger monitoring without advance notice, including conduct that violates law, infringes legal rights, or creates a hostile work environment. Civil penalties are $500 for a first offense, $1,000 for a second offense, and $3,000 for third and subsequent offenses. Connecticut employers should review electronic monitoring practices, update onboarding materials, and ensure required notices are posted before the effective date. Read more here.
Florida
State Minimum Wage Reaches $15.00 Milestone Effective September 30
Effective September 30, 2026, Florida’s minimum wage will increase to $15.00 per hour, completing the annual increases required by the state constitutional amendment approved in 2020. Employers taking a lawful tip credit may continue to apply a maximum credit of $3.02 per hour, increasing the required direct cash wage for tipped employees to $11.98 per hour. Future minimum wage adjustments will be based on inflation, with the next increase scheduled for January 1, 2028. Employers with Florida personnel should update payroll and timekeeping systems to apply the new rates to all hours worked beginning September 30, provide updated tip credit notices to affected tipped employees, and replace existing workplace postings with the updated Florida minimum wage notice. Read more here.
One Year of Open Carry: Private Employers May Continue to Restrict Firearms in the Workplace
Following last year’s the First District Court of Appeal’s decision in McDaniels v. State, which invalidated Florida’s open carry ban, private employers are reminded they still have the right to prohibit firearms inside company workplaces and other private property. Employers may restrict both openly carried and concealed firearms in company buildings, customer-facing areas, restricted workspaces, and company-owned vehicles. Florida’s longstanding parking lot law, however, generally protects the right of employees, customers, and invitees to keep lawfully possessed firearms locked inside private vehicles in company parking areas. Covered employers also generally may not require employees to agree that they will not keep a lawful firearm in a protected private vehicle, condition employment on certain concealed-carry authorization matters, or conduct prohibited searches of private vehicles. Florida employers should review workplace safety and firearms policies to ensure building restrictions are clearly stated while preserving applicable parking lot protections. Read more here.
Maryland
FAMLI Employer Registration Opens Ahead of 2027 Contributions
Maryland employers with at least one employee working in Maryland must register for the Family and Medical Leave Insurance (FAMLI) program through the Maryland Department of Labor’s FAMLI portal. Employers based outside Maryland are covered if they have employees who remotely or regularly work from Maryland. An authorized officer who can legally bind the employer must complete the initial registration; third-party payroll providers, PEOs, and benefits administrators may not complete the initial enrollment, although access may be delegated afterward. Registration automatically enrolls employers in the State Plan. Employers seeking to use an approved private or self-insured plan instead must submit a Declaration of Intent by November 15, 2026. FAMLI contributions are scheduled to begin January 1, 2027. Employers that choose to withhold the employee share must provide written notice at least one pay period before deductions begin, while paid leave benefits are scheduled to begin in January 2028. Maryland employers should coordinate with an authorized officer to complete registration, evaluate plan options, and prepare payroll systems for the upcoming contributions. Read more here.
Worker Freedom Act Restricts Mandatory Meetings on Political and Religious Matters
Effective October 1, 2026, Maryland’s Worker Freedom Act will prohibit most employers from taking adverse action against employees who decline to attend or participate in employer-sponsored meetings addressing the employer’s views on political or religious matters. The law also prohibits employers from refusing to hire applicants who decline to participate in such meetings. ‘Political matters’ are broadly defined to include elections, political parties, proposed changes to laws or public policy, and decisions regarding membership or support for certain civic, community, fraternal, or labor organizations. Employers may continue to hold meetings on political or religious matters when attendance and participation are voluntary. The law also permits employers to provide communications required by law, require training necessary to comply with federal or state law, and communicate information employees need to perform their job duties. Covered employers must also provide employees with notice of their rights under the Act and provide the notice to new hires. Violations may result in civil penalties of up to $10,000 for an initial violation and $25,000 for subsequent violations, along with potential back pay, reinstatement, compensatory damages, and attorney’s fees. Maryland employers should review mandatory meeting practices, manager communications, and related policies before the October 1 effective date and prepare to implement the state’s required workplace notice once available. Read more here.
New Jersey
Final ABC Test Regulations for Independent Contractors Take Effect October 1
Effective October 1, 2026, new regulations from the New Jersey Department of Labor and Workforce Development will clarify how employers must apply the state’s ABC test when determining whether a worker may be classified as an independent contractor. Businesses must show that the worker is free from control or direction, performs services outside the company’s usual course of business or entirely outside all of its places of business, and is customarily engaged in an independently established trade or business. The regulations preserve existing statutory exemptions, clarify that a remote worker’s personal residence is not one of the hiring entity’s places of business, and emphasize the actual working relationship over labels, contracts, or formation of a separate business entity. Because misclassification can result in unpaid wage liability, unemployment contributions, penalties, and other assessments, New Jersey employers that use independent contractors should review existing relationships, contracts, and work practices before October 1st. Read more here.
New York
New Personnel Records Access Requirements Take Effect November 8
Effective November 8, 2026, New York employers must provide current and former employees with expanded access to personnel records. Employers must provide copies of covered records within five business days of a written request, allow employees to review their records up to twice per calendar year, notify employees within 10 days when potentially negative information is added to their file, and retain personnel records throughout employment and for at least three years after separation. Employees will also have the right to submit written responses disputing information contained in their records. The law broadly covers records used in employment decisions and may include records maintained by third-party providers, including payroll providers and PEOs. Employers should review personnel record retention practices, establish procedures for responding to requests within the five-business-day deadline, and develop protocols for providing required notice when negative information is added to an employee’s file. Employers should also monitor anticipated legislative amendments that may further clarify the law’s scope and application. Read more here.
Oregon
Court Limits Statutory Penalties in Wage Deduction Class Actions
In good news for Oregon employers, the Oregon Court of Appeals in Winn v. Blakeslee Vineyard Estate, Inc. held that statutory minimum damages for unlawful wage deductions generally cannot be multiplied for every paycheck affected by the same alleged violation. The plaintiff sought $200 in statutory damages for each employee for every paycheck allegedly affected by improper tip pooling, unpaid work time, and unauthorized deductions. The court rejected that approach, concluding that the statutory damages provision applies by category or type of violation rather than by individual paycheck. The court also upheld dismissal of the class claims under an Oregon procedure that, in certain circumstances, allows employers to address alleged wage violations by notifying affected employees and providing appropriate payment before a class is certified. Oregon employers that identify potential payroll or wage deduction errors should promptly review the issue with counsel and determine whether corrective action may help resolve the matter before class litigation develops. Read more here.
Washington
New I-9 Inspection Notice Requirements Take Effect October 1
Effective October 1, 2026, Washington’s Immigrant Worker Protection Act (2SHB 2105) will require public and private employers with at least one Washington employee to follow new notice rules for federal Form I-9 or employment eligibility inspections. Within five business days of receiving a Notice of Inspection from ICE or another federal agency, employers must notify each worker and any authorized representative in writing, retain proof of transmission, and post the required notice at the workplace. Within five business days after receiving written inspection results, employers must notify affected workers and their representatives of identified deficiencies, correction periods, and representation rights while protecting other workers’ personal information. Employers must also display the Washington Attorney General’s immigration rights workplace poster. Penalties are $500 for each failure to provide the required notice, doubled for willful violations, and the law provides a private right of action. Washington employers should establish rapid-response procedures and designate responsible personnel. Read more here.