Employment and labor laws in Wisconsin [Updated 2024]

Employment and labor laws exist to ensure employees are protected from unequal treatment and unsafe working conditions at work. The federal Fair Labor Standards Act (FLSA) sets regulations for matters like minimum wage, record keeping, and overtime, but each US state also has its own legal requirements. There are serious consequences for employers who fail to comply with these regulations, so you need to stay up to speed. 

Wisconsin’s employment laws differ from federal laws in some key ways. For example, federal law offers more generous family and medical leave, and the state gives employees additional protection under anti-discrimination laws. 

Whether you’re hiring workers in Milwaukee, Madison, or anywhere else, it’s crucial to have a firm grasp of Wisconsin’s employment laws to reduce your legal liability. Fortunately, Rippling’s Professional Employer Organization service can handle local tax registration and management, ensuring you stay compliant with Wisconsin’s unique regulations.

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

You’ve likely heard employment and labor law used interchangeably in everyday conversations, but legally speaking, they hold distinct meanings. To put it simply, employment law comes into play when the matter concerns the relationship between an employer and an individual. On the other hand, labor law is about the relationship between an employer and a group of individuals, like a union.

Here's an overview of what each term covers:

• Employment law addresses aspects like working hours, wages, overtime, hiring procedures, prevention of workplace discrimination, and retaliation.
• Labor law, which falls under the umbrella of employment law, focuses on matters like union membership, union dues, and collective bargaining agreements.

Wages and hours in Wisconsin

Wisconsin tracks closely with federal guidelines regarding minimum wage and overtime laws. Let’s dive into the specific regulations around wages and hours. 

Minimum wage in Wisconsin

Wisconsin’s minimum wage is $7.25 per hour, matching the federal minimum wage. This rate applies to all organizations, regardless of size or industry. Unlike in other states, Wisconsin’s minimum wage rate is the same across all cities.

Under the Wisconsin Department of Workforce Development (DWD), tipped employees have a reduced minimum wage of $2.33 per hour. But if an employee's tips combined with their wage of at least $2.33 per hour don’t add up to $7.25, the employer must make up the difference.

When setting hourly wages for your employees, Rippling has your back. It automatically flags any minimum wage breaches based on the specific state laws where your employees work. 

Overtime pay in Wisconsin

When employees work beyond 40 hours per week, you need to pay them 1.5x their regular rate of pay for every additional hour. You typically don’t need to pay for any daily overtime work. 

Certain types of employees aren’t eligible to receive overtime pay, such as people in executive-level, administrative, and professional positions.

Rippling’s payroll software ensures you adhere to the overtime pay laws in Wisconsin by automatically applying the correct pay rates when an employee’s hours trigger overtime requirements.

Breaks and rest periods in Wisconsin

In Wisconsin, break and rest period requirements only apply to employees 18 years of age and younger, in accordance with child labor laws. You need to give at least a 30-minute meal break to minor employees when they work six consecutive hours. 

Otherwise, Wisconsin law does not require you to give adult employees rest periods, meal periods, or coffee breaks. That being said, the Department of Workforce Development recommends you provide breaks of at least 30 minutes. 

You’re not required to pay for breaks that are 30 minutes or longer, but you must pay for breaks under 30 minutes.

Leaves of absence in Wisconsin

Sometimes, employees need to take extended time off from work to deal with a personal matter, whether to seek medical treatment, care for a family member, recover from a health condition, or serve jury duty. Federal and state laws are in place to protect employees’ jobs until they return to work. 

In Wisconsin, the federal Family and Medical Leave Act (FMLA) typically provides more protection for employees than the state, allowing up to 12 weeks of unpaid leave in cases of medical emergencies. 

To receive FMLA leave, employees must:

• Have been employed by their employer for at least 12 months
• Have worked at least 1,250 hours over the last 12 months
• Work for an employer that has 50+ employees within 75 miles 

Qualified reasons for taking leave include:

• Childbirth and caring for a newborn 
• Adoption or taking in a foster child
• Providing care for an immediate member of your family, such as a spouse, parent, or child, with a serious health issue
• Being incapable of working due to a serious health condition 

Under Wisconsin law, employers are only required to provide two weeks of unpaid leave for an employee’s serious health concern or that of a family member and six weeks of unpaid leave for the birth or adoption of a child.

To be covered, employees have to work for an employer that has 50 or more permanent employees during at least six of the last 12 months. Covered employees must have worked for a minimum of 52 consecutive weeks and at least 1,000 hours in the preceding 52-week period.

Pregnancy disability leave in Wisconsin

Pregnant employees are protected by medical leave laws and anti-discrimination laws on the federal and state levels. If an employee is eligible under both the federal and Wisconsin FMLA, they can take up to 12 weeks of leave for pregnancy disability. More specifically, they can’t take two weeks of pregnancy leave under Wisconsin law on top of 12 weeks of leave under federal law. 

Employers must treat any employee who's unable to work due to pregnancy the same as other employees who have temporary disabilities. Pregnant employees can’t be fired while on FMLA leave and must be able to come back to their same job—or a similar one—when they return to work. 

Paid sick leave in Wisconsin

Employers in Wisconsin aren’t required to grant sick leave to their workers, whether with pay or without. 

However, the Wisconsin Family and Medical Leave Act (FMLA), as mentioned above, allows eligible employees up to 14 days of unpaid leave per calendar year. Under the federal FMLA, employees can also take sick leave as part of their 12 weeks of unpaid leave. 

Holiday leave in Wisconsin

Similarly, Wisconsin law doesn't require employers to grant paid or unpaid vacations to their workers. It’s up to the employer and employees to agree on allowed holiday leave in employment contracts. 

With Rippling, you can automate and tailor your leave policy, and get a clear view of how your employees are using their leave.

Workplace safety in Wisconsin

As an employer, you’re responsible for providing safe and healthy workplace conditions for all your employees. This involves ensuring there are no serious hazards at your workplace, training your employees in safe work practices, and providing the equipment workers need to do their jobs safely. 

Several states have their own workplace safety laws and require a safety plan or program—sometimes called an Injury and Illness Prevention Plan (IIPP) or Accident Prevention Plan (APP). However, Wisconsin operates under the federal Occupational Safety and Health Administration (OSHA), which protects all private-sector employers. 

Public-sector workers in Wisconsin are generally covered under the same OSHA regulations, but these are administered through the State of Wisconsin Department of Safety and Professional Services.

OSHA has standards tailored to specific industries, but general employer responsibilities include:

• Create or update safety operating procedures and communicate them to employees
• Utilize color codes, posters, signs, etc., to warn employees of potential hazards
• Post the OSHA poster at a prominent location within the workplace, informing employees of their rights and responsibilities
• Offer safety training in a language that workers can understand
• Maintain records of work-related injuries and illnesses. This only applies to employers with over 10 employees. 

Rippling PEO provides a flexible workers' compensation plan, allowing you to pay as you go instead of paying upfront for the whole year—so you can easily grow your business in Wisconsin and beyond. 

Discrimination and harassment laws in Wisconsin 

Wisconsin’s legal protections against discrimination and harassment in the workplace are stricter than federal law. Whereas the federal employment discrimination laws apply to employers with at least 15 workers, Wisconsin law covers employers with just one or more workers.

The Wisconsin Fair Employment Law protects workers from harassment due to their:

• Age (40 and up)
• Arrest and/or conviction record
• Ancestry, color, national origin, or race
• Creed
• Disability
• Genetic testing
• Honesty testing
• Marital status
• Military service
• Pregnancy or childbirth
• Sex or sexual orientation
• Use of lawful products (like alcohol or tobacco) 

Harassment can include verbal abuse, vulgar or derogatory language, offensive gestures and jokes, physical and sexual assaults, and the display of offensive materials. It’s important to distinguish a one-off occurrence (like a joke) from harassment. To be deemed illegal, the behavior must involve a pattern of abusive and degrading conduct to the point where it creates a hostile work environment. 

Keep in mind that employers are responsible for all instances of discrimination and harassment, regardless of whether they were aware of it happening. 

Sexual harassment training requirements vary by state, and while Wisconsin law doesn’t require sexual harassment training, it recommends providing training to all employees. Rippling’s Learning Management System is pre-loaded with core sexual harassment training courses to ensure every employee meets the state requirements no matter where they live.

Unions in Wisconsin

A labor union is a group of workers who come together to collectively pursue equitable labor conditions like higher pay, more time off, and better benefits. The National Labor Relations Act (NLRA) ensures employees have the following rights:

• Form or join a union to negotiate with their employer
• Collectively bargain by electing employee representatives to establish contractual work terms
• Talk about their employment conditions with colleagues
• Take steps to improve working conditions by filing complaints with their employer or the government, or by seeking assistance from a union
• Strike and picket, depending on the reason 
• Decline to join a union, if they wish 

Under the NLRA, employees can’t be threatened with job loss or any other adverse actions if they choose not to support a union. Additionally, employers can’t discourage, bribe, fire, demote, or threaten employees who choose to support a union. 

Some union-related legislation varies from state to state. For example, “right-to-work” laws prevent employers from requiring their employees to join a union as a condition of their employment. Wisconsin is a “right-to-work” state as of March 2015, meaning employees are free to choose whether they want to be union members or pay union dues—it’s not up to their employer or union. 

FAQs about Wisconsin labor and employment laws

Are independent contractors covered under Wisconsin employment laws?

Unlike employees, independent contractors are not typically covered under Wisconsin employment laws. However, it’s up to employers to correctly classify workers. Under the Worker’s Compensation Act of Wisconsin, a person must meet a nine-part test before they’re deemed an independent contractor. 

Using our analyzer tool, you can verify worker classification and ensure you comply with employment regulations.

Does at-will employment exist in Wisconsin?

Yes, Wisconsin is an at-will employment state—meaning an employer can dismiss an employee at any time without warning, and employees can do the same with quitting. However, there are certain exceptions: employers can’t fire anyone due to their gender, marital status, disability, and so on.

What privacy rights do employees have in Wisconsin?

Employees in Wisconsin are protected under the Wisconsin Privacy Statute, which prohibits employers from: 

• Accessing certain personal employee information, like medical records and health-related information
• Requesting access to an employee’s or applicant’s social media accounts

Employees also have the right to view and copy their personal records maintained by their employer, and employers must provide the documents within seven working days. 

Does Wisconsin have a pay transparency law?

While pay transparency laws are picking up steam across the US to promote equal pay, Wisconsin does not currently have a pay transparency law—employers aren’t required by law to include a compensation range on any job postings. 

Is it legal to ask for salary history in Wisconsin? 

Yes, employers are allowed to ask job applicants and employees about their salary history. While several states passed laws that ban employers from discussing previous salaries with job candidates, Wisconsin and Michigan have bucked this trend and enacted laws that specifically allow employers to do so.

Are background checks legal in Wisconsin?

Yes, employers in Wisconsin can perform background checks on job applicants and employees. However, employers must inform applicants and employees in writing that they intend to do so and get written consent. 

Are whistleblowers protected in Wisconsin?

Yes, the Wisconsin Whistleblower Law protects employees who inform the government of breaches and violations. But to secure protection, employees must report in writing to their supervisor or the appropriate government entity. 

Is workers’ compensation coverage required in Wisconsin?

Yes, you must have workers’ compensation if you: 

• Employ at least three full-time or part-time employees
• Employ at least one full-time or part-time employee to whom you have paid $500 (in combined gross wages) or more in any calendar quarter 
• Are a farmer who employs at least six workers on the same day for any 20 days during the calendar year 
• Have employees working in Wisconsin, even if you’re an out-of-state employer 

Are there required healthcare benefits in Wisconsin?

While Wisconsin law does not require employers to provide healthcare benefits, federal law does. If you have 50 or more full-time employees, you must provide health insurance benefits according to the Affordable Care Act (ACA). 

Are Wisconsin employers required to provide bereavement leave?

No, employers in Wisconsin are not legally required to provide paid or unpaid bereavement leave. However, most employers still choose to allow employees to take some days off following the death of a family member. 

What employee protections are available in Wisconsin if layoffs occur?

If a business is covered by the federal Worker Adjustment and Retraining Notification (WARN) Act, employees have the right to be informed 60 days ahead of a mass layoff, whether they work in Wisconsin or anywhere else in the US.

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.