Labor Requirements

The following regulations are in place to protect workers and potential hires, require that you treat your workers fairly, provide them with benefits, a safe workplace, and contribute to Connecticut’s unemployment insurance.

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Rules of the Interview

Federal law states that it is illegal not to hire a candidate because of their race, color, sex, religion, national origin, birthplace, age, disability or marital/family status. While conducting the interview, the interviewer should refrain from asking any questions which may elicit such information and discourage candidates from voluntarily disclosing such details. The US Department of Labor and the Equal Employment Opportunity Commission will explain these regulations in greater detail if you are looking for more information on the subject.

Discrimination Against Past Criminal Convictions

Connecticut state law prohibits any employer or employer's agent, representative or designee, from denying employment to a prospective employee solely on the basis that the prospective employee had a prior arrest, criminal charge or conviction, the records of which have been previously erased.

Setting up Employee Benefits

If your business has established employee benefit programs like health insurance or a 401(k) plan, you’ll need a sign-up procedure so employees can enroll, name their dependents, and select options.

State of Connecticut Key Labor Laws and Regulations

Minimum Wage
As of January 1, 2015 the state minimum wage is $9.15 per hour. It is important to stay up to date with the political scene because the current wage is likely to change in the future. The History of Connecticut's Minimum Wage Rate can be found on the Connecticut Department of Labor’s site.

Paid Sick Leave
Connecticut State Law dictates that an employer must pay service worker for paid sick leave at a pay rate equal to the greater of either the normal hourly wage for that service worker or the minimum fair wage rate under CGS § 31-58 in effect for the pay period during which the employee used paid sick leave. More information regarding paid sick leave can be found on the Connecticut Department of Labor Site, along with a summarizing Powerpoint presentation.

Classifying Your Workers

The determination of independent contractor status versus employee status is often a complex decision.  Connecticut unemployment law states that employment is any service performed under an express or implied contract of hire that creates the relationship of employer and employee.  Workers who are employees under the common law definition of master and servant (the standard applied by the Internal Revenue Service) are therefore covered for state unemployment purposes.  In Connecticut however, irrespective of whether the common law relationship of master and servant exists, the law holds that service will be considered employment subject to the act unless the service recipient can establish compliance with Connecticut General Statutes Section 31-222(a)(1)(B)(ii), commonly referred to as the AABC Test.

Workers' Compensation Insurance

The state requires that employers obtain workers’ compensation insurance to be purchased through a private insurance company.  Although some sole proprietorships or a single member LLC can be excluded from requiring coverage, all businesses organized as a corporation, multi-member/partner LLC, LLP, LP or general partnership are required to apply regardless of whether or not employees are hired. Workers’ compensation insurance must provide coverage for these seven basic cases: medical treatment, temporary total disability, temporary partial disability, permanent partial disability, relapse or recurrence, discretionary benefits, and job retraining. Further information regarding workers’ compensation and the it’s requirements can be found in the State of Connecticut Workers Compensation Commission’s Information Packet PDF file.

Connecticut Unemployment Insurance

The Connecticut Unemployment Compensation Law provides workers with benefits during periods of total or partial unemployment. All employers of one or more persons (full or part-time) must register by filing an Employer Status Report and are responsible for paying the funds necessary for the state to provide the unemployment benefits to the employee through a quarterly payroll tax. Employers can register their business via the internet, which we strongly encourage, or they can register by completing the appropriate forms which can be obtained by calling the Employer Status Unit at (860) 263-6550 or drawing the forms down from the Connecticut Department of Labor Website. For a more elaborated explanation of the Unemployment Compensation Law and the exact is expectations of the employer, visit here.   

Adopt Workplace Safety Measures

Virtually every employer must comply with the requirements of the Occupational Safety and Health Act (OSHA) by, among other things, providing a workplace free of hazards, training employees to do their jobs safely, notifying government administrators about serious workplace accidents, and keeping detailed safety records. Connecticut is home to two OSHA offices, located in Bridgeport and in Hartford. Connecticut Department of Labor's Division of Occupational Safety and Health (CONN-OSHA) offers free comprehensive training programs and on-site consultations to private sector employers covering all aspects of OSHA.  

Required State Postings For Employers

Employers are required to display certain posters in the workplace that inform employees of both their rights and employer responsibilities under labor laws. The state of Connecticut mandates a few additional notices be posted. All employers must have both the state and the federal required posters listed below publicly displayed. Means of acquiring these notices (contact number or website) are listed to the right.

Employing Veterans

If your focus is to expand your business, it is important to be aware of the advantages hiring veterans can provide to your company. Several programs are available which encourage employers to hire veterans through a range of incentives. If you're interested in expanding your staff and taking advantage of these benefits, be sure to read through the following federally provided information to help you understand the process as well as the applicable laws and regulations.

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