US employment law: Key developments October 2025

At a glance

• The US  federal government continues to shape employment policy through key appointments and immigration-related updates.
• States and cities are actively enacting or amending laws on topics such as pay transparency, leave entitlements, and criminal record screening.
• Employers face new or pending obligations in areas including wage reporting, parental leave, and background check procedures.
• Judicial decisions are clarifying the scope of employment protections and compensation definitions.
• These developments reflect a broader trend toward increased transparency, equity, and employee protections across jurisdictions.

US employers continue to see new developments at the federal and state level. We highlight some developments in select jurisdictions below.

Federal

On October 7, 2025, the U.S. Senate confirmed the nomination of Brittany Panuccio to be a commissioner of the Equal Employment Opportunity Commission (EEOC). As a result, the EEOC has a quorum and can engage in formal rulemaking in support of the Administration’s goals, adopt or revoke prior guidance and take other actions that require the approval of a majority of the Commission. 

On October 20, 2025, the U.S. Citizenship and Immigration Services issued an alert with updated guidance on the applicability of the new USD100,000 H-1B fee implemented under the recent presidential proclamation restricting entry of certain H-1B visa holders.

California

Governor Gavin Newsom signed laws addressing a wide range of employment issues, including wage theft, workplace rights, personnel records, equal pay, pay reporting, protections for victims of violence, paid family leave, reductions in force, and repayment agreements. These laws take effect soon and will impose new obligations on employers in the state. Read more here.

Delaware

Delaware became the latest state to enact a pay transparency law. Starting in September 2027, H.B. 105 will require covered employers to include certain compensation and benefit information in internal and external job postings (with certain exemptions). In addition, if a job posting has not been made available to an applicant, the employer must provide the hourly or salary compensation range and a general description of the benefits and other compensation for the job opportunity prior to any offer or discussion of compensation and at any time at the applicant’s request. Employers also are required to maintain records relating to job descriptions and wage rates for at least three years.

Massachusetts

The Massachusetts Supreme Judicial Court recently held that retention bonus payments encouraging employees to remain with the company through a particular date are not 'wages' for purposes of the Massachusetts Wage Act.

New York

Safe and sick leave

Effective February 23, 2026, a new law (Int. No. 0780-2024) amends the City’s ESSTA to, among other things:

• Expand the covered reasons to take safe/ sick time (eg, provide care for a child or care recipient, to attend a legal proceeding for subsistence benefits or housing, to respond to a public disaster or to respond to workplace violence). 
• Provide employees with an additional 32 hours of unpaid sick / safe time; include a statutory entitlement to paid parental leave as part of ESSTA.a
• Incorporate the requirements under the NYC Temporary Schedule Change Act, which allows time off for 'personal events.'

Pay reporting (pending)

The New York City Council passed Int. No. 982-A and Int. 984-A that, if signed by the Mayor, would require private employers with at least 200 employees working in the City to submit a pay data report annually to a designated agency. The designated agency would use the submitted pay data information to evaluate whether there are disparities in compensation based on gender, race, or ethnicity and submit a report with findings.

Philadelphia

Effective 6 January 2026, Philadelphia will implement amendments to its Fair Criminal Record Screening Standards Ordinance.