by Robin Imbrogno, on Dec 2, 2021 2:37:56 PM
On top of the federal labor laws that companies must adhere to, Connecticut has its own set of specific employment and labor laws that require compliance as well. Connecticut labor laws are a vast set of rules and regulations for employers to follow in areas that include employee leave / absence, pay, and discrimination.
Unless you have specific human resources (HR) expertise in-house, it may make sense to leverage a Connecticut HR company like the Human Resources Consulting Group (HRCG) for help understanding and complying with the state's labor laws. Whether using an external HR consultant like HRCG or not, establishing policies, processes, and solutions to stay compliant with this legislation will be necessary.
Connecticut Labor Law Compliance Overview
There are many labor laws in Connecticut, some from the state’s own laws and others from the federal laws, that employers must adhere to. This article can be used as a guide to help employers manage labor law compliance and help clarify differences between Connecticut's labor laws with federal labor laws with the following topics:
- Recruiting and Hiring Laws
- Wage and Hour Laws
- Employee Leave Laws
- Employee Health and Safety Laws
- Fair Employment Laws
- Postings, Notifications, and Recordkeeping Requirements
Here is what employers need to know about Connecticut Labor Laws.
Connecticut Recruitment & Hiring Laws
"Ban the Box"
Having gone into effect on January 1, 2017, Connecticut's "Ban the Box" Law specifies that employers are prohibited from inquiring about prospective employees' prior arrests, criminal charges, or convictions on an initial employment application.
Exemptions from this law would include employers that are required to ask this by another state or federal law. Another exemption would be positions that employers are hiring for that require security, fidelity, or equivalent type of bond.
New Hire Reporting
Private companies are required by the state to submit new hire information for newly hired employees and employees that are returning to work within 20 days of the date of hire in accordance with the Connecticut Department of Labor (DOL).
New hire information can be reported online through the Office of Research or a paper copy of the Connecticut new hire form, also known as Form CT-W4, can be mailed or faxed to the Connecticut DOL.
Connecticut Wage and Hour Laws
Determining Employees Types
Before wages can be determined, employers must know how to properly classify employees to ensure payroll accuracy and compliance. At the state and federal levels, there are three types of workers: exempt, non-exempt, and independent contractors.
1. Exempt Employees in Connecticut
Exempt employees are not subject to overtime law. For an employee to be classified as an exempt employee they must pass both the duties and the salary tests, under both Connecticut and Federal law.
Duties Test - Under the Duties Test, the employee’s primary duty must require that they act with discretion and independent judgment. Connecticut specifically requires discretion and independent judgment to occur on a regular basis.
Connecticut law states that a job title does not make the determination; employers must look to an employee's actual job duties. Connecticut law provides examples of exempt duties (duties that require discretion and independent judgment). These duties include:
- Hiring and firing employees
- Scheduling employees
- Determining credit policies
- Formulating personnel policies
- Assessing employee performance
- Determining staffing levels
- Making company investment decisions
Salary Test - On November 15, 2024, the U.S. District Court for the Eastern District of Texas invalidated a U.S. Department of Labor (DOL) regulation that raised the salary threshold for the "white-collar" overtime exemption under the Fair Labor Standards Act (FLSA). This decision applies nationwide, rendering the rule ineffective.
As a result of the court ruling, the overtime-exempt salary threshold for 2025 and the foreseeable future is $684 per week ($35,568 annually). This threshold reflects the most recent update that is still in effect, made in 2019.
2. Non-Exempt Employees in Connecticut
Employees that do not meet the requirements to classify as exempt are classified as non-exempt. This means that they are subject to overtime requirements under state and federal law.
3. Independent Contractors in Connecticut
Connecticut law does not mention independent contractors. Thus, federal law applies to all independent contractors. Independent contractors are defined as workers who are self-employed and whose earnings are subject to self-employment tax.
The IRS has provided the following factors to help employers determine whether they may classify a worker as an independent contractor:
- Behavioral Controls
- Who controls how the work is done?
- Who controls when and where the work is done?
- Who controls what tools or equipment are used?
- Financial Control
- Does the employer reimburse for some or all of the worker’s business expenses?
- Relationship
- Does the worker receive company benefits?
- Is there a written contract for employment?
Employers must look at all factors when determining whether a worker is an employee or an independent contractor. There is no specific set number of factors, or one explicit factor, that can classify an employee as an independent contractor.
Misclassification of Workers
When an employee has been misclassified as exempt, the employer may be liable for lost wages. In addition, the employee may be able to recover twice the full amount of wages owed, plus costs and attorney fees. It is important for employers to understand the distinction between exempt and non-exempt employees so that they avoid unnecessary fines, payroll mistakes, or potential resulting lawsuits.
When an employer is covered by state and federal laws, the law that provides the higher or stricter standards shall apply.
Connecticut Minimum Wage
The FLSA set the federal minimum wage to $7.25 per hour. Many states have enacted their own minimum wage laws. When a state law sets a minimum wage higher than the federal, the state wage applies.
Public Act 19-4, signed in 2019, put in place a schedule to increase Connecticut’s minimum wage once a year over the next five years after which any increases will be based on the employment cost index.
Connecticut Minimum Wage is/was as follows, on the following effective dates:
- $10.10 prior to October 1st, 2019
- $11.00 on October 1st, 2019
- $12.00 on September 1st, 2020
- $13.00 on August 1st, 2021
- $14.00 on July 1st, 2022
- $15.00 on June 1st, 2023
- $15.69 on January 1st, 2024
- $16.35 on January 1st, 2025
Connecticut Overtime Law
Connecticut law mirrors FLSA overtime law. Connecticut employers must pay the overtime rate of 1.5 times an employee's regular pay rate for any additional hour worked (over 40) in a workweek. Connecticut law does not require employers to pay overtime on a daily basis, on weekends, or on holidays unless required by an employer-employee agreement.
Connecticut Pay Deductions
As of January 1st, 2025, the following updates to CT SUTA will take place:
- The taxable wage base will increase from $25,000 to $26,100 and will keep increasing each year moving forward due to inflation.
- The state’s new employer rate decreased from 2.5% to 2.2%.
- The state’s minimum charged rate is 0.1%.
- The state’s maximum charged rate is 10.0%.
- To minimize the short-term impact of the TWB increase, charged rates in calendar year 2025 will be reduced by 1.269. As such, the state’s maximum charged rate for calendar year 2025 will be reduced to 7.9%.
- The state’s fund solvency tax rate is 1.0%.
- The minimum and maximum contribution rates for 2025 will be 1.1% and 8.9%, respectively.
For 2024, employers should note the following for CT SUTA:
- The taxable wage base (TWB) is $25,000
- The state’s new employer rate is 2.5%
Connecticut Payment Requirements
Connecticut employers must pay each employee weekly on a regularly scheduled payday, which must be set in advance in order to correctly process payroll in the state of Connecticut.
Payment on Termination
Connecticut employees who quit or are laid off must be paid all wages owed to them on the next regularly scheduled payday. When a Connecticut employer terminates an employee, all wages owed to the employee are due the next business day.
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Connecticut employers may not make a withholding unless:
- Required by state or federal law
- The employee has provided written consent on a Connecticut Labor approved form
- The withholding is for a benefit such as medical insurance or a retirement plan
Paycheck Record-Keeping Requirements
Connecticut employers must keep wage records going back at least three years at their office.
Wage records must show an employee's:
- Name
- Home address
- Occupation
- Total daily and weekly hours worked showing each work period's beginning and ending time, computed to the nearest unit of 15 minutes
- Total hourly, daily, or weekly basic wage
- Overtime wage as a separate item
- Addition and deductions from wages each pay period
- Total wages paid each pay period
- Working certificates for 16 to 18-year-old employees
Connecticut Pay Equity Law
Connecticut's Pay Equity Law states an employer must equally compensate employees of the opposite sex for comparable work, when the work is viewed as a composite of skill, effort, and responsibility, and is performed under similar working conditions.
If an employee can demonstrate that his or her employer discriminates on the basis of sex then such employer must demonstrate that such differential in pay is made pursuant to:
- A seniority system
- A merit system
- A system that measures earnings by quantity or quality of production
- A differential system based upon a bona fide factor other than sex
Disclosure of Salary Ranges
Connecticut's new salary range law went into effect on October 1st, 2021 concerning the disclosure of salary ranges as well, in order to help combat pay inequities in the state.
The law states that no employer shall:
- Prohibit an employee from inquiring about, disclosing, or discussing the amount of his or her wages or the wages of another employee, and vice versa, that have been disclosed voluntarily
- Require an employee to sign a waiver or other document denying their rights for such inquiries
- Inquire, or direct, a third party to inquire about a prospective employee's wage and salary history unless a prospective employee has voluntarily disclosed such information (except under federal or state law that specifically authorizes the disclosure or verification of salary history for employment purposes)
- Discharge, discipline, discriminate against, retaliate against, or otherwise penalize any employee for exercising their rights under this law
- Fail or refuse to provide an applicant for employment the wage range for a position the applicant is applying to, upon the earliest of (1) the applicant's request, or (2) before or at the time the applicant is made a compensation offer
- Fail or refuse to provide an employee the wage range for the employee's position upon (1) the hiring of the employee, (2) a change in the employee's position with the employer, or (3) the employee's first request for a wage range
An employer who violates these regulations may be found liable for compensatory damages, attorney's fees, costs, punitive damages, and relief.
Connecticut Leave Laws
Employers in Connecticut should familiarize themselves with the leave laws of the state, as several of them can overlap and get confusing at times.
Connecticut Family Medical Leave Act (CTFMLA)
There are both the federal Family Medical Leave Act (FMLA) and Connecticut Family Medical Leave Act (CT FMLA) laws that may run concurrently with each other. In other instances, each protected leave may run independently, so employers should be tracking both leaves separately.
CTFMLA Coverage
Connecticut's Family and Medical Leave law gives employees access to up to 12 weeks of unpaid leave within a 12-month period for certain qualifying events. Leave may be taken intermittently, or all at once.
CTFMLA is different from the Federal Family and Medical Leave Act (FMLA). FMLA only applies to private employers with 50 or more employees. FMLA also applies to organizations that are exempt from CTFMLA.
Is CTFMLA Paid?
It is important to note that CRFMLA is not paid. However, employees may still apply for CT Paid Leave through the CT Paid Leave Program. CT Paid Leave is a state program that provides wage replacement benefits in certain instances. CT Paid Leave DOES NOT provide actual time off from work.
Each law (CTFMLA and CT Paid Leave) has its own application process and requirements as well.
CTFMLA Benefits and Qualified Reasons for Use
CTFMLA provides job protection and health benefits.
An eligible employee may take CTFMLA leave for any of the following reasons:
- Birth of a child and care for the child within the first year after birth
- The placement of a child for adoption or foster care and care for the child
- Care for a family member with a serious health condition
- Because of an employee’s own serious health condition
- To serve as an organ or bone marrow donor
- To address qualifying exigencies arising from a spouse, son, daughter or parent’s active-duty service in the armed forces
- To care for a spouse, son, daughter, parent or next of kin with a serious injury or illness incurred on active duty in the armed forces
Connecticut Paid Sick Leave
The Connecticut Paid Sick Leave Act, initially put into law in 2011, required employers with 50 or more employees to provide up to 40 hours of paid sick leave each year to eligible employees.
However, recent updates have scheduled the following expansions to include more employers covered under the law:
- January 1, 2025 - employers with 25 or more employees will be required to provide paid sick leave
- January 1, 2026 - employers with 11 or more employees will be required to provide paid sick leave
- January 1, 2027 - employers, regardless of size, will be required to provide paid sick leave
Another significant change is that the law now covers all private-sector employees rather than only “service workers” in certain occupations. There are some exceptions, however, like certain seasonal workers and specific construction trades.
Connecticut Paid Sick Leave Usage
Under the expanded law, employees can take paid sick leave for:
- An employee’s or employee’s family member’s illness, injury, or health condition
- The medical diagnosis, care, or treatment of the employee or employee’s family member
- Preventive medical care for the employee’s or employee’s family member’s mental or physical health
- The employee’s own mental health wellness day;
- Certain purposes when an employee or employee’s family member is a victim of family violence or sexual assault provided that the employee is not the alleged perpetrator
- A determination by a health authority, employer, employer of a family member, or a healthcare provider of whether an employee or employee’s family member poses a risk to the health of others due to exposure to a communicable illness, regardless of whether the employee or family member contracted the communicable illness.
CT Paid Leave Program
CT Paid Leave is a state program that provides wage replacement benefits in certain instances. However, CT Paid Leave DOES NOT provide actual time off from work.
Because CTFMLA does not offer paid leave, employees may apply for the public CT Paid Leave Program to receive wage replacement benefits while on leave for specific, qualifying reasons outlined by CT Paid Leave (not CTFMLA).
CT Paid Leave can also be used for wage replacement as a result of FMLA, and the Connecticut Family Violence Leave Act (CTFVLA).
CT Paid Leave Program Coverage
In order to be able to apply, an employee must have worked or did work for a covered Connecticut employer within the 12 weeks immediately before your leave began. Covered employers include most businesses with at least one employee.
Qualified Reasons for Leave Under CT Paid Leave
Employees must also apply for CT Paid Leave for one of six reasons:
- Caring for your own serious health condition
- Starting or expanding my family
- Caring for the serious health condition of a family member
- Military caregiver leave
- Qualifying exigency leave
- Family violence leave
Connecticut Jury Duty Leave
Connecticut employees are not only entitled to jury duty leave, but Connecticut employers must also pay their full-time employees their regular wage for the first five days of jury duty unless the Chief Court Administrator has excused the employer from payment.
An employer may be excused from jury duty payment if they submit a written application to the Chief Court Administrator and be subject to financial hardship sufficient to justify excusing them from the compensation obligation.
When an employer is excused from paying an employee for jury duty, Connecticut will pay the employee not more than $50.00 per day for the first five days of jury duty.
If jury duty extends to a sixth day, all jurors are to receive $50.00 per day from the state.
Connecticut Voting Leave
Connecticut recently passed a new law (Sec. 108 on page 142 of Bill No. 1202) in June 2021, entitling employees to two hours of unpaid time off from any regularly scheduled work, on the day of any covered election, during voting hours, in order to vote.
Employees who are eligible for leave include:
- Any employee in the case of a state election.
- Any employee who is an elector in the case of any US senator, congress representative, state senator, or state representative election.
Employees must request time off to vote no less than two workdays prior to the election. This law, however, is only effective until June 30, 2024.
Connecticut Bereavement Leave
Connecticut employers are not required to provide employees bereavement leave. When an employer does provide bereavement leave, they must comply with their established policy.
Connecticut Vacation Leave
Connecticut law does not require employers to provide paid or unpaid vacation leave. However, when an employer does provide leave, it must comply with the terms of its established policy or employment contract.
Connecticut Health and Safety Laws
Connecticut businesses must familiarize themselves with laws from Connecticut Occupational Safety and Health Administration (CONN-OSHA).
Connecticut Occupational Safety and Health Act (OSHA or CONN-OSHA)
Connecticut OSHA is an act that intends to assure safe and healthy working conditions for working men and women throughout the state.
Employees who believe their employer is in violation of any CONN-OSHA provisions can submit a complaint here.
For information on compliance, enforcement, and inspections, see this CONN-OSHA FAQ.
Connecticut Workers' Compensation
Administered and enforced by the Connecticut Workers' Compensation Commission (WCC), Workers' Compensation in Connecticut provides benefits to employees that are injured on the job or have work-related illnesses through a 'no-fault' insurance plan.
Workers' Compensation insurance is required for all Connecticut employers. Employees become eligible and should be covered by the insurance on the first day of employment. A Workers' Compensation Notice must be posted by the employer to ensure that employees have access to their rights under this law.
If a qualifying event occurs in which the employee becomes injured or ill on the job, access will be provided for medical treatment and other benefits including disability, recurrence or relapse benefits, discretionary benefits, and job retraining. Proper reporting requires employers to file an accident report with the “First Report of Injury” Form.
Legal Marijuana Protections for Connecticut Employers
On June 22nd, 2021, S.B. 1201 was signed into law, which legalized cannabis and provided specific guidelines.
The bill, which allows those aged 21 or older to possess 1.5 ounces of marijuana in public and 6 ounces at home starting on July 1st, 2021. Cannabis non-medicinal / recreational sales are expected to begin in May of 2022 as a result of this legislation as well.
The bill includes employer protections for maintaining safe workplaces that CBIA and member company representatives advocated for, which include the following:
- Employers can drug test employees and job applicants, and take disciplinary action.
- Employers can adopt policies prohibiting the possession and use of cannabis in the workplace.
- No accommodations are required allowing employees to perform job duties under the influence of cannabis or possess or use marijuana in the workplace.
- Employers may prohibit cannabis use outside the workplace if the employer adopted a policy under the bill’s conditions.
- Employers are not limited from taking adverse or other employment action upon reasonable suspicion of an employee’s use of cannabis while working or determining that an employee shows specific, articulable symptoms of drug impairment while working.
With certain exceptions, an employee or prospective employee aggrieved by a violation of the bill’s employer limitations may bring a civil action within 90 days after the alleged violation.
Connecticut Fair Employment Laws & Practices
While employers must comply with federal discrimination laws, such as the Civil Rights Act, Equal Pay Act (EPA), and Americans with Disabilities Act (ADA), separate and sometimes overlapping Connecticut discrimination laws are present and require compliance as well.
Here is some general guidance on the two sets of state and federal laws that aim to prevent discrimination and how they're different:
Connecticut |
Federal |
Enforcement of anti-discrimination law by Connecticut Commission on Human Rights and Opportunities |
Enforcement of anti-discrimination law by U.S. Equal Employment Opportunity Commission |
Can’t discriminate in employment because of a person’s: Race Color Religion Age Mental Retardation Learning Disability Physical Disability National Origin Sexual Orientation Pregnancy Genetic Information Gender Marital Status Ancestry Mental Disorder (past or present) |
Can’t discriminate in employment because of a person’s: Race Color Religion Age Disabilities National Origin Sex Pregnancy Genetics |
Covered Employers Three or more employees |
Covered Employers 15 or more employees |
Employees in Connecticut can file a complaint with the Connecticut Commission on Human Rights and Opportunities if it's believed that an employer is not adhering to these provisions.
Below are a list of specific Connecticut discrimination laws that employers should be well-versed in.
Connecticut Sexual Harassment Law
In June 2019, Connecticut enacted Public Acts 19-16 and 19-93; combined they are known as the Time’s Up Act. Having went into effect on October 1, 2019, these laws expanded Connecticut sexual harassment legislation and required employers with three or more employees to provide sexual harassment management training to their supervisory employees AND training to employees.
Sexual Harassment Training by HRCG can be accessed by clicking here.
Workplaces have new Sexual Harassment Law poster / posting requirements and are expected to distribute information regarding illegal sexual harassment to employees. Failure to satisfy the posting requirements may subject the employer to fines up to $1,000 and the Connecticut Commission on Human Rights and Opportunities (CHRO) may assign a designated representative to enter the employer’s place of business to ensure posting-requirement compliance.
Beyond the training and posting requirements, the legislation gives employees much more protection including significant changes to the allowable time-to-file claims and how companies can change employee terms and conditions.
The Connecticut CROWN Act
Effective March 2021, Connecticut’s CROWN Act, also known as the Act for “Creating a Respectful and Open World for Natural Hair”, added hairstyles to the list of ethnic traits historically associated with race that employers may not discriminate against.
Some of these hairstyles include:
- Afros
- Afro puffs
- Bantu knots
- Braids
- Cornrows
- Locs
- Twists
- Headwraps
- Wigs
Connecticut Pregnancy Discrimination Law
While there are federal laws preventing discrimination against pregnant women in the workplace, Connecticut is one of the few states that has its own pregnancy discrimination laws.
Under the Connecticut Fair Employment Practices Act, employers may not terminate or otherwise discriminate against an employee or applicant because of pregnancy, childbirth, or another related condition.
Connecticut's Act Concerning Breastfeeding in the Workplace
In addition to pregnancy discrimination laws, Connecticut is one of the few states with a breastfeeding law as well. A Connecticut employer who has one or more employees must:
- Allow employees to express breastmilk or breastfeed on-site during a meal or rest break.
- Make reasonable efforts to provide a room or other location near the work area, other than a toilet stall, where the employee can express her milk in private.
Connecticut employers must also ensure the breastfeeding room or location is:
- Free from any kind of intrusion and shielded from the public while such employee expresses breast milk.
- Include or be situated near a refrigerator or employee-provided portable cold storage device in which the employee can store their breast milk.
- Include access to an electrical outlet.
Employers may not discriminate against, discipline, or take adverse employment action against employees who exercise their rights under this law.
Connecticut Whistleblower Protection Program
No employer, under the Connecticut Whistleblower Protection Program, may discipline, penalize, or discriminate against an employee because:
- An employee has filed a complaint, instituted, or was caused to be instituted by any proceeding under or related to this program.
- An employee has testified or is about to testify in any such proceeding.
- Of the employee's right to exercise on behalf of themselves or others of any other right afforded by this program.
Any employee who believes that either themselves or a fellow employee has been fired, disciplined, penalized, or otherwise discriminated against by an employer may file a complaint within 180 days of the violation.
Connecticut Labor Law Poster Requirements
The following list includes all of the required state labor law posting requirements for employers to display for employees within in Connecticut:
- Connecticut Managed Care
- Connecticut Mercantile and Retail
- Connecticut Mercantile and Retail - Minors
- Connecticut Restaurant and Food Service (English/Spanish)
- Connecticut Restaurant and Food Service - Minors
- Connecticut Wage & Workplace Administrative Regulations (English/Spanish)
- Connecticut Workers' Compensation
- Electronic Monitoring
- Posters from the Commission on Human Rights and Opportunities, (including Sexual Harassment and Discrimination is Illegal)
- Pregnancy Discrimination Poster (English/Spanish)
- Federal Labor Law Postings
An all-in-one federal and state labor law poster for Connecticut will generally cover virtually all non-industry-specific posting requirements. Non-compliance is enforced by the Connecticut Department of Labor.
Connecticut Labor Law Take-Aways and Future Outlook
Fully grasping Connecticut's labor and employment laws can be an arduous task. With a lot of federal and state overlap, it's the employer's responsibility to understand what's required of their organization.
As a somewhat favorable state for the employee, labor laws are being created, altered or expanded upon quite frequently. So, although difficult, it's important to monitor guidance on legislation from authorities at the federal and state level.
If you are a Connecticut employer and need help complying with the labor laws of the state, a Connecticut HR consultant and payroll provider can help ensure that you are taking care of your workforce, while maintaining compliance, and improving productivity.