Indianapolis, Ind. (January 24, 2022) – There were several important developments in labor and employment law last year in the State of Indiana, including changes to minors' work hours, pregnancy accommodations, and teachers' right to refrain from joining and paying union dues. Below is a summary of these key changes.

Indiana's New Youth Employment Database

Effective July 1, 2021, schools in Indiana stopped issuing work permits, and employers with minor employees are required to register with the Indiana Department of Labor. Employers who employ five or more minor employees are now responsible for tracking and reporting minor-employee information using the new Youth Employment System (YES) from the Indiana Department of Labor. Minors must be reported within three business days following hire date or the employer is subject to a $400 penalty per infraction.

The new law eliminates the need for employers to complete Intent to Hire paperwork and wait for prospective minor employees to get work permits from their schools. It should make hiring and employing minors more efficient and easier. However, the new provisions do not change the work-hour limits for minors, and employers must still comply with these restrictions along with the work hazard restrictions.

Indiana Changes Labor Law For Minor Employees

Relatedly, Indiana's Department of Labor has issued an update to the Teen Work Hour Restrictions notice, which provides the maximum hours minors are permitted to work and on which days of the week. Specifically, the Indiana General Assembly amended the law to provide that employees aged 14 and 15 may not work before 7:00 a.m. or after 7:00 p.m. From June 1 through Labor Day, these employees may work as late as 9:00 p.m., except on a day that precedes a school day. On those days, they are allowed to work only until 7:00 p.m.

Employees who are aged 16 and 17 may not work more than nine hours in a day, more than 40 hours in a school week, more than 48 hours in a non-school week, or more than six days per week. These employees may not start work before 6:00 a.m., but they may work until as late as 10:00 p.m. on a night that precedes a school day. This does not apply if the minor is working in an occupation deemed by the Commissioner of Labor to be “(1) dangerous to life or limb; or (2) injurious to health or morals.” If a parent gives written permission, these employees may work until 11:00 p.m. on a night that precedes a school day. This written permission must be kept on file by the employer.

The new law also removes several key provisions regarding the employment of minors. Employers are no longer required to provide additional rest breaks for an employee who is under 18, although the law allows the Indiana Department of Labor to establish recommendations for rest breaks for minors. Minors also are no longer required to present a written exception from their school allowing them to work between 7:30 a.m. and 3:30 p.m. on school days. However, employees who are under 16 may not be employed or permitted to work during school hours.

Additionally, employers are no longer allowed to pay minors below the federal minimum wage during the first 90 days of employment.

Indiana Pregnancy Accommodations Law

In 2021, Indiana joined a majority of states in enacting a law addressing pregnancy accommodations. On July 1, 2021, Indiana H.B. 1309 went into effect. The new law only applies to employers with at least 15 employees. According to the new law, employees may request accommodations for pregnancy, and employers must respond to the requests within a reasonable time frame. Notably, the law does not require an employer to grant the accommodation nor does the legislation impose a duty upon an employer to make an exception to its policies. However, existing federal or state law may require an accommodation to be provided, e.g., the Pregnancy Discrimination Act of 1978 or the Family and Medical Leave Act (FMLA). Additionally, the new law prohibits an employer from disciplining, terminating, or retaliating against an employee for seeking or using an accommodation.

Indiana's Unemployment Insurance Fraud Prevention Plan

To help combat the huge increase in unemployment claims, Governor Holcomb signed H.B. 1152 into law on April 8, 2021. Effective July 1, 2021, an individual is liable to repay an overpayment of benefits if the individual falsifies a material fact or fails to disclose wages in order to render it eligible for benefits. These changes should make it easier for the Indiana Department of Workforce Development to detect fraud and collect overpayments.

Indiana Teachers' First Amendment Right to Refrain from Joining and Paying Dues to a Union

As of July 1, 2021, school employees, e.g., teachers, may now resign from their union at any time. This right is non-waivable by the employee. The new law also will require teachers to authorize union payroll deductions on an annual basis and school employers to give an annual notice to employees of their right to cease paying dues and to withdraw from their union.

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