Nobody ever said running a business was a walk in the park. As an employer, you have a lot of balls in the air, and compliance is just one of them. One really, really important one that, if dropped, could cost you a whole lot of money.
In addition to federal regulations, each state has their 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 laws, and offering guidance to help you keep up.
Bear in mind, 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 your behalf, you’ll need to close your Connecticut State Unemployment and Withholding accounts prior to joining our platform. Here are the steps to do that.
Recruiting & Hiring Practices
Employers in Connecticut are prohibited from asking applicants about their salary histories during the application process. You can read more about this and Connecticut’s other pay equity laws at the link below.
CT Office of Legislative Research: Connecticut's Equal Pay and Pay Equity Laws
Connecticut law prohibits discrimination based on arrest and court records and restricts the circumstances in which employers can inquire about a job applicant’s conviction records.
Employers in New Haven and Hartford are also subject to the “ban-the-box” provisions in those respective localities.
CT General Assembly: An Act Concerning Fair Chance Employment
When classifying workers as employees or independent contractors, there are a few things to consider, including the different tests that apply under different federal and state employment laws, and potential penalties and other liabilities for misclassifying employees as independent contractors. Certain state laws apply tests that are more stringent than the guidance provided by federal agencies, such as the IRS and Department of Labor, to apply in conjunction with federal laws.
You can read our general Help Center article on contractors, and view information on the particular tests that apply in Connecticut, including the more stringent “ABC” test, at the link below.
CT Department of Labor (DOL): Worker/Employee Misclassification FAQs
Regular Pay Days
Connecticut law dictates that all employees in the state must be paid on a weekly or biweekly pay basis. However, a waiver can be requested from the Department of Labor that allows an employer to pay employees on a semi-monthly or monthly payroll schedule.
Minimum Pay Requirements
Connecticut employers can find the most up-to-date minimum wage requirements and exemption information on the CT DOL’s website at the links below.
Meal and Rest Breaks
Employees must be given a meal period of at least 30 minutes if a shift is seven and a half hours or longer. The break must fall after the first two hours and before the final two hours unless a written agreement details otherwise.
CT DOL: Meal Periods
Family & Medical Leave Act
In addition to requirements under the federal Family and Medical Leave Act (“FMLA”), Connecticut law provides up to 12 weeks of unpaid leave in a 12-month period for eligible employees at an employer with 1 or more employees for certain family- and health- related reasons, such as the birth of a child or to tend to a close relative’s serious health condition.
Paid Family Leave
Connecticut Paid Leave (CTPL) is a state benefit program that provides eligible workers with paid family leave to help working families balance caring for their loved ones with their economic security during a qualifying event.
Premium collections for this program will begin on January 1, 2021. Benefit payments are scheduled to become available starting January 1, 2022.
Paid Sick Leave
Under Connecticut’s Paid Sick Leave law, employers must provide up to 40 hours of sick leave annually for their employees and are required to display a notice (linked below) that details employee rights under the law for employees to view.
CT Department of Labor (CT DOL): Paid Sick Leave
Harassment & Discrimination
Connecticut requires employers to provide, within three months of any employee’s hire date, a copy of information about the illegality of sexual harassment and remedies available to victims of sexual harassment to each employee.
Additionally, Connecticut employers with three or more employees must provide two hours of sexual harassment training to all employees within six months of hire. Employers in the state with fewer than three employees must provide the same training to supervisors only, within six months of assuming a supervisory role.
CT Commission on Human Rights and Opportunties: Sexual Harassment Prevention Resources
Justworks has teamed up with EVERFI to offer customers free access to a suite of trainings, which meet or exceed Connecticut minimum standards.
In Connecticut, the final paycheck must be issued by the business day following termination if the termination is involuntary. For a voluntary termination the final paycheck may be issued on the next regularly scheduled payday.
Additionally, unemployment insurance information (Forms UCT-62/UC-61, Unemployment Separation Package) must be provided to all separating employees, regardless of the reason for leaving. Employers must complete “Section F - Unemployment Notice” before providing the packet to the employee.
Connecticut employers are not required to pay out vacation upon termination, unless otherwise provided by the employer policy. If you don’t intend to pay out vacation upon termination, this should be clearly noted in your vacation policy.
CT Department of Labor: Wage Payment Laws
Business Closings and Layoffs
Federal and state law in Connecticut impose certain notice and other obligations on businesses before conducting large-scale business closures, layoffs, or relocations. For more information on these laws, visit the links below.
U.S. Department of Labor: Worker Adjustment and Retraining Notification (WARN) Act Advisor
Mineral: Connecticut Layoffs*
*Be sure you’re logged into your Justworks account with administrative permissions to access Mineral.
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.