An Employer’s Compliance Starter Guide: North Dakota

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Nobody ever said running a business was easy. As an employer, you have many things to handle, and compliance is just one of them. 

In addition to federal regulations, each state has its own share of employment-related laws that business owners need to be aware of. Here, we’re highlighting some of these key state-specific requirements, and offering guidance to help you keep up.

Bear in mind that this list is not comprehensive, and there may be local or industry-specific employment requirements that your business needs to comply with. It’s best to consult with counsel to ensure compliance with all applicable laws, as Justworks does not provide legal advice.

Payroll Tax Accounts

Because Justworks reports state unemployment taxes on behalf of customers who utilize Justworks’ PEO services, Justworks may need to collect account information such as your account number and current rate. You can read more about it here:  State Unemployment Insurance.

Recruiting & Hiring Practices

Posting Requirements

North Dakota employers are required to post notices to all employees informing them of their rights and responsibilities under state and local laws.

Justworks PEO customers who opt into the compliance poster service offered via Justworks will be provided with most required posters for their office location(s) and remote employee(s). You can read our Help Center article on compliance posters for more information.

North Dakota Department of Labor and Human Rights: Required Employer Posters 

Mineral*: North Dakota Posting Requirements

Pay Requirements

Minimum wage in North Dakota does not exceed current federal minimum wage requirements.

Further information on North Dakota rules regarding overtime, minimum wage, and other wage & hour considerations can be found at the links below. 

North Dakota Department of Labor and Human Rights (DLHR): North Dakota Wage and Hour

Mineral* North Dakota Minimum Wage and Overtime 

Rest Breaks

Most employees in North Dakota must be provided with reasonable opportunities during work hours for rest breaks. 

Mineral*: North Dakota Meal and Rest Breaks

Pay Parity

North Dakota prohibits all employers from paying different rates to members of different protected classes for equal work that requires comparable skill, effort, and responsibility.

Mineral*: North Dakota Pay Equity and Transparency

Independent Contractors

When deciding whether to classify workers as employees or independent contractors, there are a few things your business should consider, including the different tests that apply under different federal and state employment laws, and the potential penalties and other liabilities for misclassifying employees as independent contractors.

You can read our general Help Center article on contractors, and view information on the particular tests that apply in North Dakota, including the more stringent 20-factor “right to control” test, at the links below.

North Dakota DLHR: North Dakota Independent Contractors

Mineral*: North Dakota Independent Contractors Tests 

Leave

Emergency Response Leave

North Dakota employers are mandated to grant volunteer emergency responders up to 20 days of unpaid leave annually for emergency response duties. 

Mineral* North Dakota Emergency Response Leave

Harassment & Discrimination

In addition to protections under Federal law, North Dakota law prohibits employment discrimination because of membership in any protected class by employers covered under North Dakota's anti-discrimination laws, including the North Dakota Human Rights Act (NDHRA).

North Dakota DLHR: Human Rights
Mineral*: North Dakota Employment Discrimination and Accommodations

Pregnancy Accommodations

North Dakota requires employers of all sizes to provide employees with a pregnancy-related condition the right to reasonable accommodations in the workplace. A pregnancy-related condition is one caused by pregnancy, childbirth, or a medical condition related to pregnancy or childbirth. 

Mineral*: NDHRL Defines Pregnancy in its Accommodation Provisions 

Separation

An employee’s final paycheck may be issued on the next regularly scheduled payday. Accrued, unused vacation time need not be paid out to the employee unless the employer’s policy requires it.

Employers are generally obligated to pay out any accrued, unused vacation upon termination, with specific exceptions. Employers should review their internal policies to determine if payout is required.

Mineral* North Dakota Separation

Business Closings and Layoffs

The Federal Worker Adjustment and Retraining Notification (WARN) Act imposes certain notice and other obligations on covered businesses before conducting large-scale business closures, layoffs, or relocations. North Dakota employers are required to provide notice of mass separations to Job Service North Dakota.  These notices should be filed 48 hours prior to the date of mass separation. For more information, visit the links below.

U.S. Department of Labor: Worker Adjustment and Retraining Notification (WARN) Act Advisor

North Dakota Job Service: North Dakota Job Service Employer Responsibilities for Employee Separations

Mineral* North Dakota Layoffs

Notes

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Disclaimer

This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.