The PrestigePEO Perspective – January 2025

Stand out in today’s competitive job market by offering employee benefits that attract and retain top talent. PrestigePEO gives your business access to premium healthcare, dental, vision, and ancillary insurance plans—all at competitive rates made possible through the collective purchasing power of a PEO.

Plus, enhance your employee offerings with perks like commuter benefits, travel discounts, and identity protection. With PrestigePEO, you’ll also reduce administrative burdens with our personalized support and seamless technology, so you can focus on growing your business.

Remote work offers flexibility, but it also brings new compliance challenges for SMBs. From FLSA and FMLA requirements to multi-state tax complexities, managing remote teams requires careful attention to labor laws. Learn how PrestigePEO can simplify compliance and protect your business.

Create an employee benefits package that works for your team, reflects your company’s values, and stays within your budget. Discover actionable strategies for selecting the right benefits—from prioritizing what your employees value most to harnessing the cost-saving advantages of a PEO.

As the new year begins, it is a good time to review your labor law worksite posters. These posters are an important and useful resource to inform you and your employees of workplace rights. We want to remind you to review these posters often, as they are updated frequently. These posters are located in high-traffic areas, like a lunchroom or kitchen in your office.

If you have any questions about labor law poster compliance or need assistance ensuring your business stays up to date, PrestigePEO is here to help.

Our HR experts provide the support and solutions your business needs to stay compliant and up to date. Contact us today to learn more about how we can assist your business.

In early December 2024, Colorado’s Attorney General’s office adopted changes to the existing Colorado Privacy Act (CPA) that will require updated compliance requirements beginning July 1, 2025.  While Colorado’s Department of Law awaits the Colorado Attorney General to formally sign off on the final draft of the new rules, the effective dates are anticipated to remain in place. These new rules relate to the collection and use of employee biometric data under the parameters of Colorado’s privacy laws, as well as protections for children’s personal data.

There are three major changes that all businesses and employers are advised to become familiar with and learn to manage regarding Colorado’s privacy laws in the New Year.  The first major change includes the new rigorous notice and consent obligations that all entities that collect biometric data must follow.  Biometric data includes fingerprints, voiceprints, retina or iris scans, facial mapping, facial geometry, facial templates, and the like.  Effective July 1, 2025, all businesses and employers that collect this type of personal data for the purposes of using it for unique identification must now provide biometric identifier notice that places the individual on notice prior to collection of the biometric identifiers, notifying that individual as to what data is being collected, why it is needed, how long it will be retained, and whether or not it will be shared.  This required notice can be provided as a part of broader privacy notices, or as a separate, singular policy. Either way, the policy needs to be clearly labeled and must be formally acknowledged as received and accepted by the recipient.  All Colorado employers will be required to obtain either written or electronic consent from employees before collecting their biometric data AND updated consent must be obtained if the data will be utilized for a new, previously unidentified purposes or involves additional types of biometric identifiers.

Effective October 1, 2025, all entities that offer online services, products, or features to children must obtain parental or guardian consent before processing any minor’s data; conduct data protection assessments for any features designed to significantly increase minors’ use of a product or services; and limit the duration of data retention and avoid using system design features to manipulate minors’ engagement.

With these new rules comes a new opportunity for businesses and employers to gain clarity from the Attorney General regarding compliance obligations by requesting opinion letters and interpretive guidance that can then be used as a “good faith reliance defense” in the future, should an organization be presented with data privacy violation claims.  Unlike in the past, these interpretive opinion letters can be relied upon and used by all entities, not just the businesses that originally requested the guidance.

In addition to becoming familiar with these new requirements, employers and businesses are encouraged to begin preparing now for the upcoming changes by conducting an internal audit of privacy data collection and use practices to determine the extent of biometric data collection within an organization and how compliance with the new rules will be achieved.  They should also identify current privacy notices and update them to comply with the rigorous notice and consent obligations under the new rules. Education and proper training of employees who manage employee biometric data will also be critical for obtaining and ensuring compliance.  Employers are also encouraged to engage in the available opinion letter option, as provided by the Attorney General’s office, for gaining clarity on matters that may present compliance challenges.

Ready to simplify compliance? Contact PrestigePEO today to learn how we can help safeguard your business while staying ahead of evolving regulations.

The Connecticut Appellate Court recently clarified a key issue for employers concerning job postings. The court ruled in Commission on Human Rights and Opportunities v. Yale University that phrases like “recent college graduate(s)” are not inherently age-discriminatory under Connecticut law.

While this decision reassures employers, it also highlights the importance of neutral language in job advertisements. The court found that “recent college graduate(s)” does not directly express an age preference, but it emphasized that the phrase could contribute to a claim of age discrimination if combined with evidence suggesting a broader discriminatory intent.

Employers should be mindful of Connecticut’s broader anti-discrimination laws, such as Public Act 21-69, which prohibits inquiries about age-related information during the hiring process, such as graduation dates. To promote inclusivity, employers should highlight the skills, certifications, and experience required for the role, such as “entry-level role” or “bachelor’s degree required,” rather than referencing age-related information, such as dates of attendance or graduation, unless an exception applies, like safety or legal compliance.

This ruling provides valuable guidance and highlights the importance of focusing on qualifications and inclusivity. Train HR staff and hiring managers to focus on skills and qualifications and avoid exclusionary language.

Partner with PrestigePEO to ensure your hiring practices align with Connecticut’s anti-discrimination laws and reflect inclusivity. Contact us today to learn how we can help protect your business and support your HR needs.

As we move into 2025, employers in New York should prepare for potential legislative shifts regarding non-compete agreements. While a proposed federal ban on non-compete agreements was recently blocked, states are increasingly addressing this issue. New York may revisit proposed legislation aimed at significantly limiting the use of non-compete clauses.

In 2023, New York lawmakers passed a bill that sought to restrict non-compete agreements, but Governor Hochul ultimately vetoed it. The primary concerns included the lack of exceptions for the sale of a business and the absence of a salary threshold for applicability. Lawmakers have signaled their intent to reintroduce revised legislation, which could include these provisions. Additionally, New York’s potential changes align with a broader trend, as other states like California, Minnesota, and Colorado have enacted strict limits or outright bans on non-compete clauses. Employers in New York should anticipate that a new bill may closely mirror these existing laws while introducing unique requirements specific to the state.

While the specifics of future legislation remain uncertain, employers can prepare for the potential impacts on their business. To stay ahead of these potential changes, New York employers should take proactive steps, including reviewing existing non-compete clauses in employment and contractor agreements to identify their scope, enforceability, and alignment with existing state laws. Employers can focus on alternative protections, such as robust confidentiality agreements, trade secret protections, and non-solicitation clauses for clients and employees. These restrictions may remain permissible under future legislation. New York employers wanting non-compete agreements should consult legal counsel to ensure compliance with emerging requirements.

With the ongoing state-level push to regulate non-compete agreements, businesses should be prepared for potential changes that could significantly impact their ability to restrict employee mobility. By staying informed and exploring alternative protections, New York employers can safeguard their interests and competitive edge while navigating this evolving legal landscape.

At PrestigePEO, we stay ahead of legal developments to provide your business with the guidance and support needed to navigate changes and maintain compliance. Contact us to learn how we can help protect your business and support your success.