Employment and labor laws in Pennsylvania [Updated 2024]

Employment and labor laws serve as guiding principles to ensure fairness, protection, and justice for both employers and employees. While the foundation of these regulations is anchored in federal law, nuances arise when it comes to individual states. 

Pennsylvania, with its rich history and diverse industries, has tailored its employment and labor laws to meet the specific needs and challenges of its workforce. Some of these laws may seem stricter than those of other states, while others might be more lenient, reflecting Pennsylvania's unique blend of urban centers like Philadelphia and vast rural areas. 

Staying compliant can seem daunting. But there's help at hand. Ready to take the uncertainty out of navigating Pennsylvania's nuanced regulations? 

Allow Rippling’s Professional Employer Organization service to streamline your tax registration and management, letting you scale your business seamlessly in the Keystone State.

Employment vs. labor law: What’s the difference?

Navigating the terrain of employment can be a tad confusing, especially when terms like employment law and labor law get thrown into the mix. Though many use these terms synonymously, there's a distinct difference that's worth noting. The distinction essentially boils down to the entities involved. It’s also worth keeping in mind that the Fair Labor Standards Act (FLSA), which is a crucial federal law, serves as a foundation for both employment and labor laws.

Employment law primarily focuses on:

• The relationship between an employer and an individual employee
• Matters like workplace discrimination, wage laws, overtime pay, and the rights and responsibilities of employees and employers

Labor law, on the other hand, delves into:

• The relationship between employers and unions, or collective groups of employees
• The processes of unionizing, collective bargaining, and the rights and duties of unions and employers

While employment law deals with individuals and their rights in the workplace, labor law zooms out to look at the broader picture of collective employee groups and their interactions with employers.

Wages and hours in Pennsylvania

Understanding the nuances of wages and hours in Pennsylvania is crucial for employers and employees. This section sheds light on the state's approach to wages, overtime pay, and whether pay transparency laws have been established.

Minimum wage in Pennsylvania

The Pennsylvania minimum wage aligns with the federal minimum wage: $7.25 per hour. Pennsylvania also has a tipped minimum wage—$2.83 per hour—but tips should make up the difference so employees are earning at least the federal minimum wage.

There is a push to increase the minimum wage to $15.00 by 2026, but this bill hasn’t been reviewed by Pennsylvania’s Senate yet.

As an employer, it’s crucial to ensure compliance with state minimum wage rates. Rippling is designed to flag any minimum wage violations automatically based on employees' locations, ensuring seamless compliance.

Overtime pay in Pennsylvania

Overtime pay ensures employees are compensated fairly for any work they perform beyond the standard workweek. When calculating overtime, there are specific rules to consider under Pennsylvania law:

• In Pennsylvania, employees are entitled to overtime pay when they work more than 40 hours in a workweek.
• The rate for overtime is 1.5x the employee's regular rate of pay.

Staying on top of overtime pay laws can be tricky. But with Rippling’s payroll software, the correct pay rates are automatically applied whenever an employee’s hours trigger overtime pay requirements, streamlining the process and ensuring compliance with local laws.

Pay transparency in Pennsylvania

The movement toward pay transparency is sweeping across the US, and Pennsylvania is no exception.

In Pennsylvania, state agencies can’t ask job applicants about their salary histories. The city of Philadelphia has more broad protections, in which no employer (public or private) can ask candidates about their pay histories. As of 2024, Pennsylvania employers aren’t required to disclose compensation information to applicants or current employees.

Rippling’s Headcount and Compensation Bands are indispensable tools for employers in this regard. By enforcing compensation bands and flagging out-of-band adjustments, Rippling ensures that employers can approve special cases, block others, and stay compliant with pay transparency laws.

Breaks and rest periods in Pennsylvania

While Pennsylvania mandates specific break periods for minors, no breaks or rest periods are required for adult workers. Here’s what employers need to know.

Employees under the age of 18 must be given a 30-minute break after working five consecutive hours. This applies to any day, whether it's during the school week or on weekends.

During school weeks, minors are restricted from working more than three hours a day and not more than 18 hours a week. This means that typically, a minor wouldn't be working long enough during school days to qualify for the 30-minute break. However, on weekends or during school vacations, if a minor works five hours or more consecutively, they would be entitled to the break.

Pennsylvania labor laws do not specify meal or rest breaks for employees 18 years and older. Thus, employers are not required to provide coffee breaks, lunch breaks, or other rest periods to adults.

However, according to federal law (specifically, the Fair Labor Standards Act or FLSA), if an employer chooses to give short breaks (usually lasting about five to 20 minutes), they must be counted as hours worked. While not required, if these short rest breaks are provided, they must be paid. Conversely, bona fide meal periods (typically 30 minutes or more) are not counted as work hours and don’t need to be compensated as long as the employee is fully relieved from work duties during this time.

Employers need to navigate both state and federal guidelines to ensure their break policies are in line with all regulations.

Leaves of absence in Pennsylvania

Ensuring employees can take time off when needed is crucial to employee well-being. While there are overarching US laws in place, Pennsylvania provides specific guidelines for when employees can take leaves of absence. This includes:

• Medical and family reasons for events like illness, childbirth, or adoption
• Military family leave for those with close family members on active duty
• Jury duty
• Dealing with domestic violence
• Public health emergency situations

In Pennsylvania, the Family and Medical Leave Act (FMLA) provides eligible employees with up to 12 work weeks of unpaid leave annually.

Pregnancy disability leave in Pennsylvania

While Pennsylvania does not have specific Pregnancy Disability Leave (PDL), expecting mothers in the state can access job-protected leave under the federal Family and Medical Leave Act (FMLA). Under the FMLA, eligible employees (in this case, pregnant employees or those experiencing pregnancy complications) can take up to 12 weeks of unpaid leave in a 12-month period for certain medical and family reasons. Employers are also expected to provide reasonable accommodations to pregnant employees, ensuring they are not discriminated against due to pregnancy, childbirth, or related conditions.

Paid sick leave in Pennsylvania

Paid sick leave (PSL) policies can vary across different cities within the state. For instance, in Philadelphia, employers with ten or more employees must provide one hour of paid sick leave for every 40 hours worked, up to 40 hours per year.

Employees in Philadelphia can utilize this paid sick leave for personal illness, medical care, caring for a sick family member, addressing issues stemming from domestic violence or sexual assault, during public health emergencies, or if their workplace or their child's school closes. 

However, there is no statewide legislation mandating paid sick leave for all Pennsylvania residents.

Ensuring compliance with varied leave policies can be challenging. But with Rippling, employers can seamlessly automate and customize their leave policy. This not only streamlines administrative tasks but also offers complete visibility into how employees utilize their leaves.

Workplace safety in Pennsylvania

Ensuring workplace safety is a moral and legal responsibility for employers. Employers in Pennsylvania, like their counterparts across the nation, are required to provide a safe working environment. This commitment isn't just about avoiding accidents—it’s about creating a culture where safety comes first.

In Pennsylvania, workplace safety regulations align closely with federal standards but with some tailored specifics to cater to the unique industries and working conditions of the state. The Pennsylvania Department of Labor and Industry, through its Bureau of Labor Law Compliance, ensures that these rules are adhered to and provides guidance for employers and employees alike. 

Alongside federal occupational safety standards, Pennsylvania has specific guidelines ensuring the well-being of its workers, particularly minors. This includes:

• The right to a workplace free from recognized hazards
• The right to access information about workplace hazards, protections, and health outcomes
• The right to participate in inspections and report safety concerns without facing retaliation
• The right to be trained about hazards and how to prevent them, especially in industries with high occupational risks

A crucial component of workplace safety is the Injury and Illness Prevention Program (IIPP). This program requires employers to identify potential hazards, devise strategies to address them, and conduct regular training for employees. It's not just about being reactive but being proactive in identifying and eliminating risks.

For businesses expanding or starting up in Pennsylvania, it's essential to have a clear understanding of state-specific regulations and standards. This is where Rippling’s workers’ compensation plan comes into play. With Rippling, you can pay as you go for workers’ comp, allowing you to effectively scale your business while still ensuring full compliance with both state and federal laws.

Discrimination and harassment laws in Pennsylvania

In Pennsylvania, workplace discrimination and harassment laws are more than just a standard for ensuring fairness—they're a testament to the state's commitment to ensuring a safe, inclusive, and productive work environment for every employee. While federal laws provide a foundational framework, Pennsylvania has taken additional steps to further safeguard employee rights and prevent unjust practices. The Pennsylvania Human Relations Act serves as the primary legislation against workplace discrimination.

Below are the legally protected characteristics under Pennsylvania law:

• Race and color
• National origin
• Gender
• Religious beliefs
• Disability
• Age
• Sexual orientation

Some scenarios that might constitute discrimination include:

• Overlooking a qualified individual for a promotion based on their gender
• Paying employees different wage rates for the same role and responsibilities based on their national origin
• Not making reasonable accommodations for an employee's religious practices or for disabilities

Harassment involves unwelcome conduct based on the protected characteristics listed above. For it to qualify as actionable harassment, the behavior typically must be so frequent or severe that it creates a hostile work environment. For instance, continuous derogatory remarks about someone's race or unsolicited and unwanted advances based on gender can be seen as harassment.

In Pennsylvania, state employers are mandated to provide sexual harassment training to all staff. While not required for private employers, it's good practice to offer training to employees at least once a year to ensure awareness.

With changing regulations and the seriousness of these issues, it's vital for businesses to be equipped with the right tools. Rippling’s Learning Management System is an invaluable asset in this regard. The platform is pre-loaded with core sexual harassment training courses tailored to meet state-specific requirements, ensuring each Pennsylvania employee is educated and compliant.

Discrimination and harassment are matters of utmost importance. It's essential to note that employers in Pennsylvania are held responsible for any discrimination or harassment occurring in the workplace, regardless of whether they were aware of the incidents. 

Unions in Pennsylvania

A union represents a collective of workers who come together to advocate for better wages, safer working conditions, and overall improved employment terms. This process of negotiation with employers is termed "collective bargaining." In Pennsylvania, private employers need to be aware of their employees' rights when it comes to unions, which are protected under federal law. These rights include: 

• Forming or joining a union: Employees have the inherent right to join or form a union in their workplace.
• Assisting a union: Employees can assist a union in its organizing efforts or engage in publicity drives.
• Discussing union terms: They can freely discuss the terms and conditions of union membership with coworkers.
• Collective bargaining: Employees can request the union to negotiate with the employer on their behalf.

It's pivotal to understand that federal law prohibits employers from threatening employees' jobs based on their stance on unions. Any inclination towards or against a union shouldn’t result in adverse job consequences.

Pennsylvania is not a "right-to-work" state. In non-right-to-work states like Pennsylvania, employees can be required to join a union or pay union dues as a condition of their employment.

Unions have played a pivotal role in shaping the employment landscape of Pennsylvania. From the steel mills of Pittsburgh to the bustling commerce of Philadelphia, collective bargaining has been at the forefront of securing rights, fair wages, and safe working conditions for the state's vast workforce.

FAQs about Pennsylvania labor and employment laws

Are independent contractors covered under Pennsylvania employment laws?

Independent contractors aren't covered in the same manner as employees. However, it's essential to correctly classify workers, as misclassification can lead to significant penalties. The Pennsylvania Department of Labor and Industry provides guidelines on the distinction. And Rippling's analyzer tool can help you ensure you classify workers correctly and comply with employment laws.

Does at-will employment exist in Pennsylvania?

Yes, Pennsylvania adheres to "at-will" employment. This means either the employer or the employee can terminate the employment relationship at any time, for any reason, as long as it's not illegal. However, some exceptions based on contracts or discrimination laws might apply.

What privacy rights do employees have in Pennsylvania?

Employees in Pennsylvania have a right to privacy, particularly concerning personal and medical information. The state also safeguards employees from unwarranted surveillance or eavesdropping in places where they have a reasonable expectation of privacy.

Are background checks legal in Pennsylvania?

Yes, employers in Pennsylvania can conduct background checks. However, they must adhere to state and local guidelines, especially in Philadelphia, to ensure non-discrimination. 

This includes restrictions on inquiring about criminal histories early in the hiring process and considering convictions only when they're specifically related to the job. Also, certain criminal records are sealed under the Clean Slate law. Philadelphia further restricts credit check use in employment decisions.

Are whistleblowers protected in Pennsylvania?

Pennsylvania offers whistleblower protections for state and public employees. Private employees aren't covered under the Pennsylvania Whistleblower Law.

Is workers’ compensation coverage required in Pennsylvania?

Yes. Most Pennsylvania employers are required by state law to have workers’ compensation insurance for their employees. This covers medical expenses and wage loss benefits if an employee gets injured or falls ill due to work-related activities. 

Are there required healthcare benefits in Pennsylvania?

While the Affordable Care Act (ACA) sets federal standards for healthcare coverage, Pennsylvania also offers its health insurance exchange for individuals and businesses. Employers are encouraged, but not mandated at the state level, to provide healthcare benefits. Pennsylvania employers must also be aware of COBRA, a federal mandate that provides continued group health insurance benefits for employees and their families under specific conditions.

Are Pennsylvania employers required to provide bereavement leave?

Pennsylvania employment laws don't specifically mandate bereavement leave. It's typically at the discretion of the employer and the terms set in the employment contract or company policy.

What employee protections are available in Pennsylvania if layoffs occur?

Pennsylvania adheres to the federal Worker Adjustment and Retraining Notification (WARN) Act, which requires employers with 100 or more employees to give a 60-day notice for plant closings or mass layoffs. This is to ensure employees have some transition time to seek alternative employment.

Workers who are laid off might be eligible for unemployment benefits. Unemployment compensation is intended to help support employees who lose their jobs through no fault of their own.

Disclaimer: Rippling and its affiliates do not provide tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors before engaging in any related activities or transactions.