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  • In a move for workers’ rights and personal freedoms, California has taken a bold step by embracing a progressive attitude towards marijuana use in the workplace. Governor Gavin Newsom signed Senate Bill 700 into law, indicating a new era for job applicants in California. Effective January 1st, 2024, this legislation ensures that employers can no longer inquire about a job applicant’s past marijuana use, and it also prevents pre-employment drug screenings for cannabis. But that’s not all – the law goes the extra mile to protect individuals from being penalized for off-the-clock marijuana use, marking a significant turning point in employment practices.

    A Legal Game Changer

    Before diving into the specifics of this law, it’s essential to understand its scope. The bill doesn’t serve as a blanket protection for job applicants. Instead, it offers essential safeguards for a broad range of workers. If a job applicant’s past marijuana use is relevant to their criminal history, employers are still permitted to consider this information. The law acknowledges that there are situations where such information can be legitimately taken into account in accordance with state and federal laws.

    Another crucial point to note is that the law doesn’t extend to job applicants in the construction and building trades. While this may seem like an exception, it’s crucial to recognize certain professions’ unique safety concerns and legal obligations.

    Off-The-Clock Freedom

    One of the most exciting aspects of this legislation is its provision to protect individuals from being penalized due to off-the-clock marijuana use. This means that, within the bounds of the law, you can enjoy your personal time without fear of workplace consequences. This change will likely boost morale, reduce stress, and enhance job satisfaction for countless California workers who indulge in the recreational use of marijuana.

    Steering Towards Progress

    This law signifies California’s commitment to align with the evolving views on marijuana, both for medical and recreational purposes. As more states across the U.S. continue to relax their cannabis laws, California stands out as a pioneer in safeguarding workers’ rights, demonstrating a dedication to creating a more inclusive and tolerant work environment.

    Feeling Overwhelmed Yet?

    In California, the changing landscape of employment laws, especially regarding marijuana use, has presented additional challenges for small business owners. Fortunately, a professional employer organization (PEO) like Group Management Services (GMS) is here to help. Small business owners can lean on GMS to remain compliant, allowing them to focus on what truly matters – growing their business and nurturing their employees. As we embrace this new employment era in California, GMS’ HR experts stand ready to provide small business owners with the resources, knowledge, and peace of mind they need to flourish in an ever-changing world. Contact us today to learn more.

  • There are several issues on the state ballot for the 2022 election that could have significant implications for employers. The ballot considers measures on abortion, marijuana, minimum wage, and unions which were put to vote in 37 states on November 8th, 2022. Keep reading to learn how these issues will affect your business.

    Abortion

    In the wake of the U.S. Supreme Court ruling of Roe v. Wade, individual states can now decide whether to prohibit abortion or keep it legal. The court overturned Roe v. Wade, which protected the right to have an abortion throughout the country in the past 49 years. You may be wondering, how does this affect my business? Access to abortion affects employers and HR in crucial areas such as:

    • Health benefits
    • Paid and unpaid leave
    • Recruiting
    • Retention

    Marijuana Legalization

    Throughout the U.S., there are 19 states and the District of Columbia that have legalized marijuana. At the same time, 37 states use marijuana products for medical usage. Voters in Arkansas, Missouri, North Dakota, and South Dakota will have a chance to place their vote on this year’s ballot to permit the recreational use of marijuana. As an employer, it’s essential to consider that marijuana laws vary from state to state. As a result, reviewing the drug and alcohol policies is vital to ensure you remain compliant.

    Unions

    Over the past year, we have seen many companies implement unionization into their business. The ballot measures would create a state’s constitutional right to collective bargaining. In contrast, the ballot may prohibit employers from requiring employee labor unions. Employers would not be able to require membership for employees in their terms of employment.

    Minimum Wage

    Minimum wage reforms can be seen on the ballot for voters in Nebraska, Nevada, and Washington, D.C. These states are looking to increase the minimum wage of hourly workers. If passed, labor costs would increase for employers, making it prominent in industries with many hourly, low-wage workers, such as food service and hospitality.

    Equal Rights

    Equal rights protections have recently become more common at the state level. Currently, 21 states have equal rights amendments, and six have limited gender equality provisions. The ballot measure would prohibit discrimination based on sex, race, color, sexual orientation, religion, gender identity, age, disability, ancestry, and national origin.

    Count On GMS Experts

    As an employer, it is vital to understand the outcomes of election day. Legislative changes may be overwhelming, but you may have to consider them. After all, you probably did not go to school to become an HR specialist. Luckily, you don’t have to worry; GMS has you covered. When you partner with GMS, you gain a reliable team to ensure that your business remains compliant. Contact GMS today to learn more.

  • Have you ever heard the expression “what happens in Vegas, stays in Vegas?” Unfortunately, that might not always be true. 

    In the past year, recreational marijuana became legalized in the great state of Nevada. If you smoke weed and then get drug tested at work the next day, what happened in Vegas may come back to haunt you.

    How Legalized Marijuana Affects the Workplace

    This year, one in five American people reside in a state where weed is legal. What does this mean for the business owners that have employees in Colorado, Washington, Oregon, Alaska, Maine, California, Massachusetts, and Nevada? Here are a few things to keep in mind:

    1. Although some States have legalized marijuana, federally it is still illegal.
    2. Federal Law has been trumping State Law for the cases we have seen thus far.
    3. Your employees still cannot possess or use marijuana at work.
    4. You as an employer can still have a drug-free work place and enforce it.
    5. You need to sharpen up your policies and handbooks to protect your company.

    At this point, there is no significant case law to support employment decisions one way or another, as we are still in the infant stages of this new legislation. However, the Colorado Supreme Court reviewed a case involving the Lawful Activities Statute, C.R.S. § 24-34-402.5, last year.  

    The case, Coats v. Dish Network, LLC, 350 P.3d 970 (Colo. 2015), involved a quadriplegic employee who used medical marijuana after work hours to help control his pain. He was fired after a random drug test showed that he had THC in his system. The employee went on to sue his employer claiming that his termination was in violation of the Colorado lawful activities statute, But his employer won the case because the Colorado Supreme Court ruled that his termination did not violate the statute because marijuana use was unlawful under federal law. 

    Staying on Top Of Federal and State Marijuana Laws

    Things are going to continually change over the course of the next couple years, but one thing that is going to remain is the need for HR specialists to keep you ahead of the game. Unfortunately, this endeavor can be both costly and time consuming for a small business owner. 

    The best way to protect yourself and your employees is to partner with a Professional Employer Organization. PEOs like GMS were created to help small to mid-sized businesses navigate through the ever-changing laws and regulations. Contact us today to learn more about risk management services and other ways PEOs can help your business.

  • The last election cycle may have added to the number of states with legalized marijuana, but is your business ready for it? Michigan became the 10th state to legalize recreational marijuana this past midterm election, ushering in the creation of the Michigan Regulation and Taxation of Marihuana Act (MRTMA). As more states adopt these measures, it’s a good time to consider how legal marijuana affects your business and what you can do to protect yourself.

    A small business owner and an employee reviewing marijuana policies in the employee handbook.

    What Does Legalized Marijuana Means for Small Business Owners?

    While MRTMA does legalize the use of recreational marijuana, it doesn’t do so at the expense of business owners. In fact, the new law doesn’t change much in terms of an employer’s ability to maintain the same drug and alcohol policy that was in place before the law. Per the MRTMA itself, the act still allows employers to do the following:

    • Ban conduct allowed by this act in any workplace or on company property
    • Discipline, discharge, or take other adverse employment actions against an employee for violations of a workplace drug policy or for working while under the influence
    • Refuse to hire a person after failing a pre-employment drug test or take adverse action against an existing employee in terms of tenure, terms, conditions, or employment privileges for working under the influence

    There’s also the fact that recreational marijuana is still illegal in terms of federal law, which has generally trumped state laws in marijuana-related cases so far. While Michigan’s new law and federal law in general doesn’t reign in an employer’s ability to maintain a drug-free workplace, that doesn’t mean that you shouldn’t takes steps to protect your business. It’s up to you to set clear guidelines that make your company’s policies are clear to your employees.

    What You Can Do to Protect Your Company

    Institute a Drug-Free Workplace Policy

    Regardless of whether you’re in a state like Michigan that has legalized recreational marijuana or not, it’s good to establish a written drug-free workplace policy (DFWP). This policy should make it clear that employees should never have any illicit substances on company grounds.

    Consider Drug Testing

    If you plan to test your employees for drug use, you need to have your policy carefully outlined to make sure that your employees have a clear understanding of your drug testing policy. This includes expectations and rules associated with each type of test, such as when they can happen, testing timelines and steps, and what’s expected of the employees. The types of drug test include:

    • Pre-employment tests for applicants
    • Probable cause tests for reasonable suspicion
    • Arbitrary tests on set dates (such as work anniversaries)
    • Random tests

    Of course, how you administer these tests can vary depending on your state. For example, Michigan has no law addressing drug testing regulations for private employers if your policies are not found to be discriminatory or violate any other legal provision. Other states may have set regulations for what types of test can be done and how those tests and conducted. OHS, Inc. provides abstracts of each state’s workplace drug testing laws, although it’s good to check local laws yourself to make sure you’re in compliance with any necessary rules and regulations.

    Set Discipline Standards

    In a way, marijuana can be treated the same way as alcohol; employees can’t come to work impaired, and they’ll be in trouble if they do. You’ll want to set firm policies to protect your business in case there are any incidents, but you should also consider whether your state has any protections in place for marijuana users, especially for places where medical marijuana is allowed.

    Of course, these potential protections can vary greatly based on your location. The Society for Human Resource Management notes that employers in Vermont and Minnesota “can’t fire someone for the first failed drug test if the employee agrees to complete a rehabilitation program.” The Small Business Association of Michigan highlights a Maine law that “prohibits adverse actions against employees for using marijuana outside of work.” Federal law may generally prevail, but adjusting your discipline standards to fit local laws can help you avoid costly legal battles while still affording your company some protection.

    It’s also crucial that, no matter how you decide to discipline employees for failed drug tests, you treat everyone equally. If you use a failed test as the basis for firing one employee but refrain from punishing a separate long-term employee, the fired employee could argue that your inconsistent application of your own rules was discriminatory. That could lead to litigation and a long, costly headache that could be avoided.

    Another good item to include is some language involving what it means if an employee attempts to delay a test or outright refuses to take one. If you decide to drug test employees, you should include a clear definition of “refusing to test” to offer you some protection. If you find that an employee is too evasive about drug testing and should be dismissed.

    Prepare Your Business for Marijuana Laws

    It’s not going to get any easier trying to figure out how marijuana laws will impact your business. Between new states adding legal marijuana and various regulations, it can be an absolute headache to keep track of everything your business should do to protect itself unless you’re an expert. If an employee gets hurt while under the influence of marijuana, the process can be even more complicated. Because of that, it’s best to turn to an expert to make sure you stay on top of federal and state marijuana laws.

    A Professional Employer Organization like GMS can help you navigate through confusing, ever-changing regulations and update your handbooks to protect your business. We have experts in multiple locations across the country, including at our Detroit office. Contact us today to talk to one of our experts about how we can help you prepare for marijuana regulation and strengthen your business in other ways.