Welcome to Issue #27 of The Compliance Brief. Every Tuesday I break down the HR and labor law updates that actually matter to small businesses — in plain English, no legal jargon.

Two State Paid-Leave Deadlines Land on January 1

Two states are adding paid-leave duties for employers who may be new to them.

In Connecticut, paid sick leave expands on January 1 to employers with at least one employee, after covering employers with 11 or more in 2026. Employees earn one hour of paid sick leave for every 30 hours worked and can use it after their 120th day of employment. Employers that already offer PTO on the same or better terms are generally treated as compliant.

In Maryland, payroll contributions to the state’s Family and Medical Leave Insurance program begin on January 1. The total rate for 2027 is 0.9 percent of wages, and employers may withhold up to half from employees’ pay. Employers with fewer than 15 employees remit only half the rate. The first payment is due April 30, 2027, and benefits begin in January 2028. Any employer with a Maryland employee must register at paidleave.maryland.gov.

Action step: Identify which employees work in Connecticut and Maryland, then update sick leave policies and payroll before year-end.

1. New Jersey Drywall Installer Owes $725,000 for Unpaid Waiting Time

P & B Partitions must pay 48 workers $700,000 in back wages and damages, plus $25,000 in penalties. The DOL found employees weren’t paid for pre-shift time spent waiting for job-site transportation. If workers must gather at a shop or yard first, that time may count as hours worked.

2. EEOC Sues an Employer for Breaking Its Settlement

On October 22, the EEOC sued CityCare Health Services, a Washington, D.C. behavioral health provider, alleging it breached a June agreement requiring about $40,000 for a harassment victim, policy changes, and training. The agency says none of it was provided. A settlement is an ongoing obligation.

3. Health Plan Gag-Clause Attestation Is Due December 31

Group health plan sponsors must attest that vendor contracts don’t restrict sharing provider cost, quality, or claims data. Fully insured employers need no separate filing if the carrier attests for them. Self-insured employers should confirm in writing that their TPA will file.

✅ Update Connecticut sick leave policies and register for Maryland’s program

✅ Check whether pre-shift waiting or travel time is being paid

✅ Calendar every deadline in any EEOC or DOL settlement

✅ Get written confirmation your carrier or TPA will file the attestation

Maryland’s paid leave site walks employers through registration, contribution rates, and deadlines: paidleave.maryland.gov

That's it for this week. Short, actionable, no fluff.

If this was useful, forward it to another small business owner who could use it.

See you next Tuesday.

The Compliance Brief thecompliancebriefhq.com

This is for informational purposes only and does not constitute legal advice.