What Virginia Employers Need to Know: The Big HR Law Changes for 2026–2029
This post is for informational purposes only and does not constitute legal advice. Employment law is complex and fact-specific — we strongly encourage you to consult with a qualified Virginia employment attorney before making changes to your policies, agreements, or HR practices based on the information below.
Virginia just had its most significant wave of employment legislation since 2020. Most of the new laws take effect July 1, 2026 — which means if you haven't updated your HR policies, hiring documents, and employee agreements yet, the clock not on your side. I’m recapping some of the big things below for you and highlighting some of the do-nows! Since we work with nonprofits, government agencies, and community organizations across Virginia every day and these changes affect nearly all of them — from small teams with five employees to large institutions with hundreds of staff. Read on for a plain-language breakdown.
High level overview – skip below to read more.
Pay Transparency & Salary History Ban — All job postings must now include a salary range, and asking candidates about their pay history is prohibited.
Virginia Human Rights Act — Anti-discrimination protections now cover employers with as few as 5 employees (down from 15), and employees now have two years to file a complaint.
Paid Sick Leave — Starting in 2027 (phased by employer size through 2029), employees accrue 1 hour of paid sick leave per 30 hours worked — and you can't require them to use more than an hour at a time.
Paid Family & Medical Leave — Virginia's first-ever PFML program launches in 2028, funded through shared employer/employee payroll contributions.
Non-Compete Agreements — New non-competes are unenforceable against employees terminated without cause unless severance is paid, and healthcare professionals are now fully exempt.
Minimum Wage — Virginia is on a path to $15/hour by 2028 — start modeling the budget impact now, especially for grant-funded positions.
Voluntary Emergency Responder Protections — Employees who serve as volunteer first responders can't be penalized for missing work during a declared emergency.
1. Pay Transparency and Salary History Ban
(Crowell & Moring; Seyfarth Shaw)
Effective: July 1, 2026 This one has immediate impact on anyone hiring right now.
Virginia employers must now include salary ranges in all job postings. You also can no longer ask candidates about their pay history during the hiring process. The intent is to reduce pay inequity and give job seekers more transparency from the start of a hiring process.
What to do now:
Audit every open job posting and add a salary range
Remove salary history questions from applications and interview guides
Train hiring managers on what they can and cannot ask
2. Virginia Human Rights Act — Expanded Employer Coverage and Longer Filing Windows
(Crowell & Moring; Ogletree Deakins — Richmond)
Effective: July 1, 2026 Two significant changes here that small nonprofits especially need to pay attention to.
Smaller employers are now covered. The Virginia Human Rights Act's anti-discrimination protections now apply to employers with five or more employees — down from the prior threshold of 15. If you have a small team that previously fell below that threshold, you are now subject to VHRA requirements. And Employees have more time to file. The window for filing a discrimination complaint has been extended from 300 days to two years from the date of the discriminatory act. This substantially increases employer exposure and makes documentation practices more important than ever.
What to do now:
If you have 5–14 employees and haven't had formal anti-discrimination policies in place, establish them now
Review your documentation practices for personnel decisions — you need a clear paper trail
Make sure managers are trained on anti-discrimination and anti-retaliation requirements
3. If you have Minimum Wage Employees, Take Note
(Seyfarth Shaw; Jackson Lewis)
Virginia's minimum wage will reach $15/hour by 2028, with cost-of-living adjustments after that. For nonprofits and small organizations with entry-level or part-time positions, this has direct budget implications — especially if you receive government contracts or grants with personnel cost line items.
What to do now:
Model the impact on your 2027 and 2028 personnel budgets now
If you have grant-funded positions, flag this to funders as early as possible
Review compensation equity across your team as wages at the bottom of the scale rise
4. Paid Sick Leave – Coming Soon
(Littler;Ogletree Deakins — Richmond;YHB CPAs & Consultants;Jackson Lewis)
Effective: Phased rollout from July 1, 2027 through January 1, 2029
Virginia Governor Abigail Spanberger signed SB 199 into law on May 20, 2026, creating the Commonwealth's first broad paid sick leave mandate. Previously, only home healthcare workers were covered. Now, nearly every employer will be required to provide paid sick leave.
Accrual rate: 1 hour of paid sick leave for every 30 hours worked, beginning at hire. The annual cap is 40 hours (accrual and use), unless the employer chooses to offer more. Unused leave carries over year to year. Implementation July 2027 – 50+ employees, Jan 2028 25-29 employees, January 29 – everyone.
Qualifying uses include the employee's own illness or medical appointments, care for a family or household member, and — notably — time needed to address situations related to domestic violence, sexual assault, or stalking, such as seeking medical care, counseling, legal services, or relocation assistance. Also, you can’t require a full day sick leave anymore. Paid sick leave is taken in hourly increments, unless the employer allows smaller increments to be used. And employers are prohibited from taking adverse action against employees for taking protected paid sick leave — meaning a protected absence may not result in a negative action under an employer's attendance policy.
Notice requirements are intentionally flexible: employees can make requests verbally and are only required to share anticipated duration "when possible." Employers can require advance notice, but only through a written policy that has been previously distributed to employees.
Good news if you already have PTO: If your existing paid time off policy allows employees to use leave for the same qualifying reasons, you are not required to create a separate paid sick leave bank — your current policy may already satisfy the law. But this is where you will have to change your practices of labeling sick leave – I expect more guidance coming on this part soon.
What to do now:
Check your current PTO policy against the 1:30 accrual rate and qualifying uses
If you don't have a formal PTO policy, start building one now — don't wait until 2027
Make sure any written leave notice policy is distributed to all staff
If you have 50+ employees, your deadline is July 1, 2027
5. Paid Family and Medical Leave — Coming in 2028
(Ogletree Deakins — Richmond;Seyfarth Shaw)
Contributions begin: April 1, 2028 | Benefits begin: December 1, 2028 ** This is subject to change as they make final adjustments. Expect more guidance on this next year.
Virginia's first-ever paid family and medical leave (PFML) insurance program is coming, administered by the Virginia Employment Commission. This is a payroll-funded program, similar to systems already in place in states like California, Washington, and Massachusetts.
How it will be funded: Employers with more than 10 employees must contribute at least 50% of the total required premium and may deduct the other 50% from employees' wages. Employers with 10 or fewer employees are not required to pay the employer portion. The VEC will set contribution rates by October 1, 2027 — current estimates suggest approximately 0.75% of total wages, with increases likely over time.
What to do now:
Begin modeling payroll impact using the ~0.75% estimate as a planning figure
Brief your board and finance committee on the coming obligation
Watch for VEC guidance on contribution rates, expected by October 2027
Other Things to Note
Voluntary Emergency Responder Protections (July 1, 2026): Virginia now prohibits retaliation against employees who miss work to respond as voluntary emergency responders during a declared state of emergency. If you have staff who are volunteer firefighters, EMTs, or similar first responders, update your attendance and leave policies accordingly. (Crowell & Moring)
Minimum Wage on a Path to $15 (2026–2028): Virginia's minimum wage rises from $12.77/hour now to $13.75 in 2027 and $15.00 in 2028, with CPI-based increases annually after that. If you have entry-level, part-time, or grant-funded positions near the current floor, model the budget impact now — especially if funders need to be notified. (Seyfarth Shaw; Jackson Lewis)
Non-Compete Agreements — (July 1, 2026, for new/amended/renewed agreements only): Virginia significantly tightened non-compete rules this session. New covenants will be unenforceable against employees terminated without cause unless the employer provides severance or another monetary payment explicitly described at signing. Separately, non-compete agreements with licensed healthcare professionals — physicians, nurses, counselors, psychologists, social workers — are now prohibited outright, with a narrow exception for business sale transactions. Previously executed agreements are grandfathered. If you use non-competes with any staff, review your templates with an employment attorney before they are signed again. (Hirschler; Seyfarth Shaw; Hunton Andrews Kurth)
The Big Picture
Virginia has joined the growing number of states that are significantly expanding worker protections at the state level, at a time when federal enforcement has pulled back in some areas. For nonprofits and community organizations — many of which operate with thin margins and lean HR infrastructure — this wave of changes requires thoughtful, proactive planning.
The good news: most of these changes are phased. You have time to prepare. But the July 1, 2026 laws (pay transparency, non-compete overhaul, VHRA expansion) are already in effect, so if you haven't acted on those, start today.
Sources
National firms with Virginia employment practices:
Crowell & Moring — Virginia Goes to Work: How the Commonwealth's Sweeping New Employment Protections Impact Employers (May 2026)
Seyfarth Shaw — Final Versions of Significant Virginia Employment Legislation Set to Take Effect July 1, 2026 (April 2026)
Hunton Andrews Kurth — 2026 Virginia Employment Law Update: New Laws Every Company Needs to Know
Jackson Lewis — Virginia Employers Brace for Expanded Paid Sick Leave Requirements
Littler — Virginia Enacts Paid Sick Leave Law
YHB CPAs & Consultants — Virginia Enacts Statewide Paid Sick Leave Law: What Employers Need to Know (May 2026)
Virginia-based firms:
Hirschler (Richmond) — Virginia Broadens Applicability of Non-Compete Prohibition (May 2026)
Ogletree Deakins — Richmond office — Virginia Expands Provisions for Paid Sick Leave and Paid Family and Medical Leave
Woods Rogers (Richmond/Roanoke) — Employment & Labor practice