The Brief
Virginia's new year, new laws: Changes coming in 2025
- Virginia residents and businesses are now seeing several new laws take effect, bringing changes to wages, workplace protections and reporting requirements.Minimum wage increase
Starting Jan. 1, 2025, Virginia's minimum wage increased from $12.00 per hour to $12.41 per hour. This increase fulfills a provision in legislation passed in 2020 and is part of a broader plan to reach $15.00 per hour by 2026. "This wage increase is a critical step toward ensuring fair compensation for Virginia workers," lawmakers said when the phased plan was initially approved.'Ethnic Origin' now a protected class
The Virginia Human Rights Act has been expanded to prohibit discrimination, harassment or retaliation based on an employee's ethnic origin, defined as the ancestry of a particular ethnic group. According to the Virginia General Assembly, this addition strengthens protections for employees, ensuring that everyone is treated fairly and respectfully in the workplace. Employers must update their policies and training programs to include this new category.RetirePath Virginia
Employers who do not offer retirement savings plans must now participate in RetirePath Virginia, a program designed to provide employees with access to retirement savings accounts. This requirement applies to businesses with 25 or more employees that have been operating for at least two years. Employees will be automatically enrolled unless they opt out within 30 days and employers who fail to register could face penalties of up to $200 per employee.
