Connecticut Enacts Omnibus Bill With Sweeping Changes to the Workplace

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Quick Hits

• Connecticut’s recently enacted Public Act No. 26-12 introduces comprehensive workplace changes affecting employers in the state. Among the changes are provisions related to wage-range transparency, employment agreements, the minimum wage, adjustments for cannabis establishments, employees’ rights to reasonable accommodation under the ADA, breastfeeding accommodations, and paycheck transparency for large employers.
• Among the notable changes is an expanded wage-range disclosure requirement that obligates employers to now disclose benefits in addition to wage ranges in good faith to applicants early in the hiring process for positions with duties in or reporting to Connecticut. Retaliation for exercising wage disclosure rights is prohibited, though punitive damages for violations are no longer available.
• In addition, the law includes a ban on employment promissory notes. All Connecticut employers, regardless of size, are prohibited from requiring employees to repay sums if leaving before a set time, including training reimbursements, effective for agreements executed after October 1, 2026. Certain contractual provisions that permit employers to recover specific expenses, such as money advanced to employees, are exempt from the law’s coverage.

Amendment to Connecticut’s Wage-Range Disclosures (Effective October 1, 2026)

Connecticut’s wage-range disclosure law has been expanded to include the disclosure of available benefits. The amendment defines “benefits” to include health insurance, retirement, fringe benefits, paid leave, and any other compensation (other than wages) offered with a position. Information about benefits must now be disclosed at the same time as wage-range disclosures.

Employers must also now set a wage range for a position in “good faith” rather than merely setting a range the employer anticipates relying on. Employers must also now provide these disclosures to a job applicant upon the earliest of the applicant’s request, or prior to any discussion of compensation with the applicant or an offer of compensation to the applicant. The law previously required that disclosure be made upon the earliest of the applicant’s request or prior to the offer.

The law prohibits employers from retaliating or discriminating against a job applicant or employee for exercising rights under the wage-disclosure law, including by refusing to hire, interview, promote, or by terminating the individual’s employment. Additionally, the amendment specifies that the wage disclosure law applies to positions with duties performed in Connecticut, or where duties are performed out of state but the employee reports directly to a supervisor, office, or work site in the state.

Notably, the amendment removes a court’s ability to award punitive damages against employers found in violation of the wage disclosure law, though compensatory damages, attorney’s fees, costs, and other equitable relief remain available.

Amendment to Prohibition on Promissory Notes (Effective October 1, 2026)

Under current law, only employers with at least twenty-six employees are prohibited from requiring an employee to execute an agreement that requires the employee to repay the employer a sum of money if the employee does not remain at the job for a certain duration, including reimbursement for training. The new law now brings all employers under this prohibition, regardless of size, for agreements executed on or after October 1, 2026.

An “employment promissory note” is defined as an instrument or agreement requiring an employee to pay the employer, or its agent or assignee, if the employee leaves employment before a set amount of time, including agreements stating that the payment is reimbursement for employee training. However, the law specifically exempts contract provisions that permit an employer to recoup certain expenses, such as money advanced to an employee. An employment promissory note executed as a condition of employment is void, but its invalidity does not affect other provisions of the employment agreement in which it is contained.

Amendment to Minimum Wage at Cannabis Establishments (Effective October 1, 2026)

Upon the effective date of this amendment, employers operating dispensaries, producers, and retail cannabis establishments will no longer be able to count tips as part of the state’s minimum wage requirements. It further specifies that any cannabis establishment, dispensary, or producer that pays an employee less than the state minimum wage is in violation of the minimum wage law. The state’s existing “tip credit” law, which generally allows employers to pay less than the minimum wage to bartenders and hotel and restaurant staff who customarily receive tips (so long as tips make up the difference), remains unchanged.

Requirement to Post Federal ADA Information (Effective October 1, 2026)

The new law require employers to give written notice about an employee’s right to reasonable accommodations in the workplace for a disability under the Americans With Disabilities Act (ADA) to: (1) new employees at the start of their employment; (2) existing employees by January 29, 2027; and (3) any employee who notifies the employer about his or her disability within ten days after the notification. Employers may alternatively comply by displaying the poster created by the Connecticut Department of Labor in a conspicuous place, accessible to employees, at the employer’s place of business. The Department of Labor Commissioner may also adopt regulations establishing additional requirements for how employers must provide the notice.

Amendment to Breastfeeding and Expressing Milk at the Workplace Requirements (Effective October 1, 2026)

Connecticut employers will now be required to provide reasonable break times for an employee to express breast milk for the employee’s nursing child or to breastfeed at the workplace, in addition to the employee’s regular scheduled breaks. Current law only allows an employee to express breast milk or breastfeed during her meal or break period; the amended law expands this right to additional break times beyond those already scheduled.

Existing law, unchanged by the amendment, requires an employer to make reasonable efforts to provide a room or location near the work area (other than a toilet stall) that is private, has or is near a refrigerator or other employee-provided portable cold storage device, and has access to an electrical outlet. This provision generally aligns with the federal requirement for a reasonable break time and a private space other than a bathroom to express breast milk for up to one year after a child’s birth (29 U.S.C. § 218d).

New Paycheck Transparency Requirement (Effective October 1, 2026)

The latest law introduces a new requirement for large employers (i.e., employers with at least one hundred or more employees). Covered employers must now create a guide for their employees on the pay codes used for overtime and the most commonly used pay differentials, such as shift differentials, on-call pay, hazard pay, call-back pay, holiday or weekend pay, or geographic pay differentials. Each guide must

• include at least ten pay codes;
• be posted on the employer’s website in English, Spanish, and the most common other languages spoken by its employees;
• include contact information for the designated office or person who will handle employee disputes about calculations of hours and pay differentials.

Covered employers must update the guide each time a new pay code is added for overtime or a pay differential. Covered employers must include a link to the guide on each record of hours given to an employee and provide new employees with the website address to the guide upon hire. Covered employers may also comply by providing a written copy of the guide to an employee upon hire in English and the employee’s primary language. An employer is deemed to be in compliance if it uses a third-party payroll services company that provides the pay code guide required by the law. The law does not require an employer to establish or maintain an internet website if it does not currently have one, or to create new pay codes solely to satisfy these new requirements.

Key Takeaways

These latest changes to the law present tasks involving several compliance issues. Employers may want to update their hiring and recruiting processes to include wage ranges set in good faith and a general description of benefits in job postings, with particular attention to positions where duties are performed out of state but the employee reports to a Connecticut supervisor, office, or work site.

Employers with existing employment agreements may want to audit and review any agreements requiring employment promissory notes as a condition of employment.

Employers that do not already post or distribute ADA reasonable accommodation notices may want to begin developing and distributing such notices according to the timing requirements of the law.

Employers may want to revisit workplace policies concerning breastfeeding or expressing milk at work, so that reasonable break times outside of scheduled breaks are allowed.

Finally, large employers may want to begin preparing multilingual pay code guides and designate responsible individuals for handling pay disputes. Taking steps to integrate guide links into payroll records and onboarding materials will further reach compliance with the latest law.

Ogletree Deakins’ Stamford office will continue to monitor developments and provide updates on the Connecticut blog as additional information becomes available.

In addition, the Ogletree Deakins Client Portal provides subscribers with timely updates on Connecticut’s laws. Premium-level subscribers have access to full law summaries; Snapshots and Updates are complimentary for all registered client users. For more information on the Client Portal or a Client Portal subscription, please email clientportal@ogletree.com.

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