New Compliance Laws

New Compliance Laws You Should Know in 2020

If you haven’t been staying up to date on new compliance laws over the past few months, we can’t blame you. Every aspect of life has been altered by the pandemic, and your top priority should be the health and safety of your family, employees and customers.

One Source is here to support you through difficult times and update you on new compliance laws that may impact your organization. Regardless of whether your company is hiring right now, these new compliance laws will likely affect you down the road.  So it’s best to stay one step ahead and be prepared when your business is ready to hire again. Here are some of the most important state and federal regulations about screening and hiring that have been passed in recent months.

The Fair Chance to Compete for Jobs Act

This federal law goes into effect in December 2021. It declares federal agencies (all departments and offices within the federal government) cannot request a criminal background check until a conditional job offer has been extended to an applicant.

Law enforcement agencies and positions with access to classified national security information are exempt from this law. This law only applies to government agencies, not private businesses. It is a version of a “ban the box” law that delays a criminal background check until much later in the hiring process.

Updated Form I-9

Every employer in the U.S. must complete a Form I-9 for each person they hire. Form I-9, used to verify an employee’s identity and employment authorization, is an important, routine part of the hiring process. 

The U.S. Citizen & Immigration Services agency released an update to the I-9 in October 2019, and the updated version became mandatory on May 1, 2020. You can visit the UCIS website to learn more about the changes to the I-9.

Drug Screening in New York City and Nevada

A new law went into effect in New York City on May 10, 2020, banning marijuana testing from pre-employment drug tests. Some jobs are excluded from this rule, especially jobs with safety requirements. If an employer screens a candidate for marijuana against this new law, the employer will be charged with discrimination.

Additionally, a new law went into effect January 1, 2020 in Nevada. This law prohibits employers from taking adverse action against applicants who test positive for marijuana. Employers can still test applicants for marijuana, but they cannot take adverse action based on a positive test result alone.

New Jersey Salary History Ban

Private employers in New Jersey can no longer inquire about their applicants’ salary history, past benefits or any other past compensation. This law was enacted January 1, 2020. The Salary History Ban is meant to encourage employers to pay new employees what they think their position is worth without context from an employee’s previous positions. Salary history bans attempt to address gender pay gaps by putting all applicants on an even playing field. Employers in New Jersey should work with their credit reporting agency to make sure salary history is not part of their employment verification reports.

Regulations and expectations in the hiring world continue to evolve. As the landscape of hiring changes, One Source stays on the cutting edge to help you make your best hiring choices. Contact One Source Client Relations today to learn how we can assist your hiring team.