Jeffrey Fermin
May 2, 2026
-
28 Min Read

Pennsylvania Labor Laws 2026: A Complete Guide for HR & Employer Compliance

Compliance
Pennsylvania Labor Laws 2026: Complete HR Compliance Guide

Accurate as of May 2, 2026. This guide is informational and not legal advice. For specific situations, consult licensed Pennsylvania employment counsel.

Pennsylvania employment law in 2026 is a study in contrasts. The state minimum wage has been frozen at $7.25 since 2009 — the federal floor — yet Philadelphia, Pittsburgh, and Allegheny County operate some of the most aggressive city-level wage, scheduling, and sick-leave ordinances in the country. The Pennsylvania Human Relations Act covers employers at four employees, well below the federal Title VII threshold of fifteen. And in a single recent legislative session, the General Assembly added a healthcare-specific non-compete ban and a CROWN Act amendment to the PHRA.

This guide walks through every major Pennsylvania employment law a People team should track in 2026: wage and hour under the Pennsylvania Minimum Wage Act, final paycheck rules under the Wage Payment and Collection Law, the PHRA and the new hair-protection amendment, the Medical Marijuana Act employment rules, the Whistleblower Law, the Construction Workplace Misclassification Act, and city-level rules in Philadelphia and Pittsburgh covering paid sick leave, fair workweek, ban-the-box, and salary history.

Compliance in Pennsylvania means stitching together state, county, and city rules. A modern employee relations platform can help People teams keep intake, investigations, and recordkeeping defensible across the patchwork.

The 2026 Pennsylvania Employment Law Updates HR Teams Should Know First

Pennsylvania's 2025 and 2026 changes were concentrated in cities and in two narrow but important state-level statutes.

  • The Pennsylvania CROWN Act took effect January 24, 2026. Hair texture and protective hairstyles are now expressly protected under the PHRA's definition of race; head coverings are protected under the religious creed definition.
  • The Fair Contracting for Health Care Practitioners Act (Act 74 of 2024) took effect January 1, 2025. Most non-compete agreements with physicians, CRNAs, CRNPs, and physician assistants longer than one year are now void.
  • Philadelphia's Promoting Healthy Families and Workplaces Ordinance was significantly expanded May 27, 2025. Employers with 50+ employees must now provide up to 80 hours of paid sick leave per year.
  • The Philadelphia POWER Act took effect May 27, 2025. Civil penalties of $2,000 per violation, a public "bad actors" database, and a 90-day rebuttable presumption of retaliation.
  • Pittsburgh Paid Sick Days Act amendments took effect January 1, 2026. Employers with 15+ employees must provide at least 72 hours of paid sick time per year; smaller employers must provide at least 48 hours.
  • Philadelphia Fair Criminal Record Screening Standards amendments took effect January 6, 2026. Four-year lookback for misdemeanors, no consideration of summary offenses, and stronger anti-retaliation rules.
  • State minimum wage remains $7.25 per hour. Multiple bills to raise it to $15 by 2029 have advanced in the General Assembly but none have been enacted as of May 2026.

Each of these gets full treatment below, with statute and ordinance citations, dollar amounts, and practical compliance moves.

Pennsylvania Minimum Wage in 2026

Pennsylvania's minimum wage is set by the Pennsylvania Minimum Wage Act (PMWA), 43 P.S. § 333.101 et seq.

What is Pennsylvania's minimum wage in 2026?

The state minimum wage is $7.25 per hour. Pennsylvania has not increased its minimum wage since 2009, and it remains tied to the federal FLSA floor.

The tipped minimum cash wage is $2.83 per hour, with a tip credit allowed up to the difference between $2.83 and the full $7.25 minimum. To qualify as a tipped employee, a worker must regularly receive more than $135 per month in tips.

Are there higher local minimum wage rates?

Pennsylvania law preempts most local minimum wage ordinances for private employers, with one important exception:

  • City of Philadelphia employees and city contractors: Philadelphia's Minimum Wage Standards for City Workers and Contractors require $15.00 per hour or more, indexed to the Consumer Private Index. The city ordinance covers city employees, employees of contractors with city contracts, and certain subcontracted workers — it does not extend to all private employers in Philadelphia.
  • State and federal contracts: Federal Executive Order 14026 sets a minimum hourly rate for workers performing on certain federal contracts. State contracts typically reference prevailing wage requirements rather than a higher general minimum.

Bills to raise the statewide minimum wage to $15 by 2029 have repeatedly passed the Pennsylvania House but have not been enacted. As of May 2026, employers should plan compliance around the $7.25 baseline while watching the legislative calendar.

Overtime in Pennsylvania

Overtime under the PMWA generally tracks the federal FLSA but with one important Pennsylvania-specific calculation rule.

Who is owed overtime?

Non-exempt employees must be paid 1.5 times their regular rate for hours worked beyond 40 in a workweek. There is no daily overtime requirement and no double-time mandate at the state level.

What is the Pennsylvania exempt salary threshold?

As of 2026, the PMWA exempt salary threshold matches the federal FLSA threshold at $684 per week ($35,568 annualized). The November 15, 2024 ruling in Texas v. U.S. Department of Labor vacated the 2024 federal Final Rule that would have raised the threshold, and Pennsylvania did not adopt a higher state-specific number when its proposed 2020 rule was effectively reset.

How is the regular rate calculated for salaried non-exempt workers?

Pennsylvania law diverges from the federal fluctuating workweek method. Under 34 Pa. Code § 231.43, the regular hourly rate for a salaried non-exempt employee is found by dividing the salary by 40 hours, regardless of how many hours the employee actually worked. This produces a higher overtime rate than the federal FLSA's fluctuating workweek calculation and effectively bans the half-time fluctuating workweek method in Pennsylvania.

What about meal and rest breaks?

Pennsylvania does not mandate meal or rest breaks for adult employees under state law. Federal FLSA rules apply: rest breaks shorter than 20 minutes must be paid, and meal breaks of 30 minutes or more may be unpaid if the employee is fully relieved of duties.

For workers ages 14–17, employers must provide a 30-minute meal break for every five consecutive hours worked under the Pennsylvania Child Labor Act.

Pennsylvania Wage Payment and Collection Law (WPCL)

The Pennsylvania Wage Payment and Collection Law, 43 P.S. §§ 260.1–260.45, is the workhorse statute for wage claims in the Commonwealth.

What does the WPCL cover?

  • All earned wages, including straight time, overtime, commissions, bonuses, and accrued vacation or PTO if the employer's policy promises payout.
  • Final paychecks on separation, regardless of whether the employee was discharged or resigned.
  • Retention of tips and gratuities by the employees who earned them, subject to lawful tip pools.
  • Direct individual liability for officers and decision-makers who knowingly permit a violation.

When are final wages due?

Whenever an employer separates an employee from the payroll — whether by discharge or resignation — wages earned are due no later than the next regular payday on which wages would otherwise be due. There is no separate "24 hour" rule for discharge as in Minnesota or California.

What are the penalties?

A successful WPCL plaintiff can recover:

  • Unpaid wages.
  • Liquidated damages of 25% of unpaid wages or $500, whichever is greater, if wages remain unpaid 30 days after the regular payday or 60 days after a written demand.
  • Reasonable attorney's fees and costs.

The two-year statute of limitations runs from each violation, but each missed payday is a separate violation, so a long-running underpayment can produce a substantial cumulative recovery.

Pay frequency under the WPCL

Wages must be paid on regular paydays designated in advance. The maximum interval between earning wages and payment is the time period in a written agreement, the customary time in the trade, or 15 days, whichever is shorter.

The Pennsylvania Human Relations Act (PHRA)

The Pennsylvania Human Relations Act, 43 P.S. §§ 951–963, is enforced by the Pennsylvania Human Relations Commission (PHRC). It is broader than Title VII in coverage and, after the recent CROWN Act amendment, broader in protected classes too.

Who is covered?

The PHRA covers employers with four or more employees. That is significantly broader than Title VII (15), the ADA (15), and the ADEA (20). For very small employers, the PHRA may be the primary anti-discrimination statute that applies.

What are the protected classes under the PHRA?

The PHRA prohibits employment discrimination based on:

  • Race, including ancestry, national origin and ethnic characteristics, interracial association, and (under the 2025 CROWN Act amendment) traits historically associated with race such as hair texture and protective hairstyles.
  • Color.
  • Religious creed, including (under the 2025 amendment) head coverings and hairstyles historically associated with religious practice.
  • Ancestry.
  • Age, 40 and over.
  • Sex, including pregnancy, childbirth, breastfeeding, sex assigned at birth, gender (which includes gender identity), and sexual orientation under PHRC regulations adopted in 2023.
  • National origin.
  • Non-job-related handicap or disability.
  • Use of a guide or support animal.
  • Familial status (in housing).
  • Relationship to or association with a person of a protected class.

The Pennsylvania CROWN Act

On November 25, 2025, Governor Shapiro signed the Create a Respectful and Open Workspace for Natural Hair Act. The law amends the PHRA to expressly include traits associated with race — including hair texture and protective hairstyles such as locs, braids, twists, coils, Bantu knots, afros, and extensions — within the definition of race. The amendment took effect January 24, 2026.

For religious creed, the amendment expressly includes head coverings and hairstyles historically associated with religious practice.

Employers with at least four Pennsylvania employees should review grooming, dress code, and uniform policies that could disproportionately burden protected hair traits or religious head coverings.

Filing windows under the PHRA

A PHRA charge must be filed with the PHRC within 180 days of the alleged discriminatory act. The PHRC has a workshare agreement with the EEOC, and most charges are dual-filed. PHRC investigation timelines are independent of EEOC timelines.

Sexual Harassment Training and Investigation in Pennsylvania

Pennsylvania does not currently mandate sexual harassment training by statute. But the PHRA's broad coverage — four employees — and its inclusion of harassment as a form of discrimination make documented training the strongest available defense.

Building an investigation methodology

Pennsylvania investigators routinely look for:

  • A documented intake process with date, time, and reporter information.
  • A separate investigator without a conflict of interest.
  • Interim measures (no-contact directives, schedule changes) when fact-finding will take time.
  • Contemporaneous interview notes signed or initialed by the witness.
  • A written finding using a preponderance-of-the-evidence standard.
  • A communication of outcome to the reporter and the subject in age-appropriate detail.

For a deeper look at structuring intake and investigations, see how a modern reporting platform compares to a legacy hotline and how to mitigate risk in employee litigation.

Pennsylvania Equal Pay Law

The Pennsylvania Equal Pay Law, 43 P.S. § 336.3, prohibits sex-based pay discrimination on jobs requiring equal skill, effort, and responsibility under similar working conditions. The Equal Pay Law was enacted in 1959.

Who does the Equal Pay Law cover?

A 1967 amendment narrowed coverage to exclude employees subject to the federal Fair Labor Standards Act. Most private employees in Pennsylvania are FLSA-covered, so the practical reach of the state Equal Pay Law is limited. The federal Equal Pay Act of 1963 (29 U.S.C. § 206(d)) provides the primary equal-pay protection for most workers in the state.

Allowed pay differentials

Both the state and federal equal pay laws recognize differentials based on:

  • A bona fide seniority system.
  • A bona fide merit system.
  • A system measuring earnings by quantity or quality of production.
  • Any factor other than sex.

A successful state Equal Pay Law plaintiff can recover unpaid wages plus an equal amount as liquidated damages, attorney's fees, and costs. The state statute of limitations is two years.

Pennsylvania Whistleblower Law

Pennsylvania's Whistleblower Law, 43 P.S. §§ 1421–1428, protects employees from retaliation for reporting wrongdoing or waste.

Who is covered?

The Whistleblower Law applies primarily to employees of a public body, but "public body" is defined broadly to include any organization "funded in any amount by or through Commonwealth or political subdivision authority." Many private organizations that receive state funding — hospitals taking Medicaid, social services agencies under state contract, school contractors — fall within the Act.

What does it prohibit?

No covered employer may discharge, threaten, or otherwise discriminate or retaliate against an employee regarding compensation, terms, conditions, location, or privileges of employment because the employee makes a good faith report of:

  • An instance of wrongdoing.
  • Waste of public funds.

Remedies

A prevailing complainant may recover reinstatement, back wages, fringe benefits, seniority, actual damages, attorney's fees, and costs.

Other state-law retaliation protections

Private employees outside the Whistleblower Law may have common-law wrongful discharge claims for terminations that violate a clear public policy. These claims are narrow but are increasingly recognized in cases involving reports of safety violations, refusal to commit perjury, and reports of criminal conduct.

Pennsylvania Medical Marijuana Act and Drug Testing

The Pennsylvania Medical Marijuana Act, 35 P.S. §§ 10231.101–10231.2110, includes employment protections for certified medical marijuana patients.

What does the Act prohibit?

No employer may discharge, threaten, refuse to hire, or otherwise discriminate or retaliate against an employee regarding compensation, terms, conditions, location, or privileges of employment solely on the basis of the employee's status as an individual certified to use medical marijuana.

There is no employee threshold. Even very small employers are subject to the Act.

What can an employer still do?

  • Discipline employees for use, possession, or being under the influence of medical marijuana while on the job.
  • Restrict performance of safety-sensitive duties (operating heavy machinery, working with hazardous chemicals or high-voltage electricity) by employees under the influence of marijuana.
  • Apply policies required by federal law, including USDOT testing rules.
  • Discharge or refuse to hire when failing to do so would violate federal law or cause loss of a federal monetary or licensing benefit.

Drug testing posture

Pennsylvania does not have a comprehensive drug testing statute akin to Minnesota's DATWA. Employer drug-testing programs are governed primarily by the Medical Marijuana Act, the federal ADA, the federal FCRA when third-party labs are used, and any applicable USDOT or industry-specific rules.

Recreational marijuana remains illegal in Pennsylvania as of May 2026. Off-duty recreational use is not protected by state law.

Fair Contracting for Health Care Practitioners Act

Act 74 of 2024, signed July 17, 2024 and effective January 1, 2025, was Pennsylvania's first statute restricting non-compete agreements.

Who is covered?

The Act covers "health care practitioners," defined as:

  • Medical doctors (MDs).
  • Doctors of osteopathy (DOs).
  • Certified registered nurse anesthetists (CRNAs).
  • Certified registered nurse practitioners (CRNPs).
  • Physician assistants (PAs).

What is restricted?

For agreements entered into on or after January 1, 2025, a non-compete covenant longer than one year is contrary to public policy and void and unenforceable. Even one-year non-competes are unenforceable when the practitioner is dismissed without cause.

What is still allowed?

  • Sale-of-business non-competes tied to the practitioner's sale of their ownership interest or substantially all of the assets of the practice.
  • Buy-out and ownership transfers.
  • Non-solicitation of customers, employees, and confidential information.

Patient notification requirement

When a covered practitioner with an ongoing outpatient relationship of two or more years departs an employer, the employer must notify the affected patients within 90 days of the departure. The notice must:

  • State that the practitioner has departed.
  • Explain how the patient may transfer their health records.
  • Explain that the patient may be assigned to a new practitioner if the patient chooses to remain with the employer.

For practitioners outside the five covered categories, Pennsylvania still applies common-law reasonableness analysis to non-compete enforceability.

Pennsylvania Construction Workplace Misclassification Act (Act 72)

Pennsylvania's Construction Workplace Misclassification Act, 43 P.S. §§ 933.1–933.17, was enacted in 2010 and went into effect February 10, 2011.

When is a construction worker an independent contractor?

A worker performing services in the construction industry is an independent contractor only if the worker satisfies three threshold criteria:

  • A written contract for the specific services.
  • Free from the hiring party's control or direction in performing the services.
  • Customarily engaged in an independently established trade.

What does "customarily engaged" mean?

To meet the third prong, the worker must:

  • Possess the essential tools to perform the services, independent of the hiring party.
  • Have the opportunity to realize a profit or loss.
  • Perform the services through a business the worker owns at least in part.
  • Maintain an independent business location.
  • Either perform similar services for other hiring parties or credibly hold themselves out as able to do so.
  • Maintain individual liability insurance of at least $50,000 during the term of the contract.

Penalties for misclassification

The Pennsylvania Secretary of Labor may seek a stop-work order and assess civil penalties of up to $1,000 for the first violation and up to $2,500 for each subsequent violation. Intentional violations may also result in criminal prosecution.

Classification outside construction

For non-construction roles, Pennsylvania uses the common-law right-to-control test for unemployment compensation, an analogous standard for workers' compensation, and the IRS's multifactor test for tax purposes. Pennsylvania has not adopted an ABC test for general employment classification.

Pennsylvania Pregnancy Accommodation

There is no comprehensive state-level pregnancy accommodation statute in Pennsylvania separate from the PHRA's general sex-discrimination protections (which include pregnancy, childbirth, breastfeeding, and related conditions per PHRC regulations adopted in 2023).

Federal protections that fill the gap

  • Pregnant Workers Fairness Act (PWFA), effective June 27, 2023 with EEOC final regulations effective June 18, 2024. Requires reasonable accommodation for known limitations related to pregnancy, childbirth, or related medical conditions absent undue hardship. Applies to employers with 15+ employees.
  • PUMP for Nursing Mothers Act, requiring reasonable break time and a private place (not a bathroom) for lactation for up to one year after the child's birth.
  • Pregnancy Discrimination Act and Title VII, covering employers with 15+ employees.
  • FMLA, providing up to 12 weeks of unpaid, job-protected leave for serious health conditions and bonding, for employers with 50+ employees within a 75-mile radius.

Pittsburgh's pregnancy accommodation requirement

Pittsburgh's Pregnancy Accommodation Ordinance requires Pittsburgh employers to provide reasonable accommodations for limitations related to pregnancy, childbirth, or related medical conditions, including:

  • Modifications to the work station.
  • Schedule modifications and additional breaks.
  • Modified job requirements or temporary reassignment.
  • Time off for medical appointments.
  • Leave to recover from childbirth.

Pennsylvania Background Checks and Clean Slate

Pennsylvania has a layered background check landscape: a state criminal-records statute, the federal FCRA, the Clean Slate Act, and city ban-the-box ordinances in Philadelphia and Pittsburgh.

Pennsylvania Criminal History Record Information Act (CHRIA)

Under 18 Pa. C.S. § 9125, employers may consider felony and misdemeanor convictions, but only to the extent the convictions relate to the applicant's suitability for the position. Employers must notify applicants in writing if their decision to deny employment was based in whole or in part on criminal history information.

Pennsylvania Clean Slate Act

Pennsylvania's Clean Slate Act, enacted in 2018, was the nation's first automated record-sealing law. Eligible records are sealed from public view and from most background checks:

  • Non-violent misdemeanors: automatically sealed after 10 years without a new conviction.
  • Summary offenses: automatically sealed after 10 years.
  • Arrests not resulting in conviction: automatically sealed.

Sealed records cannot generally be considered by employers in hiring decisions.

Federal FCRA

When using a third-party consumer reporting agency, employers must follow the federal Fair Credit Reporting Act:

  • Standalone written disclosure and authorization.
  • Pre-adverse action notice with a copy of the report and the federal Summary of Rights.
  • A reasonable waiting period (typically five to seven business days) before a final decision.
  • Adverse action notice with the consumer reporting agency's contact information and the consumer's right to dispute.

Philadelphia Employment Ordinances

Philadelphia operates one of the country's most extensive city-level labor enforcement regimes through the Department of Labor's Office of Worker Protections.

Philadelphia Promoting Healthy Families and Workplaces Ordinance (Paid Sick Leave)

As amended by Bill No. 250122, signed March 15, 2025 with key provisions effective May 27, 2025, the ordinance requires:

  • Employers with 50+ employees: up to 80 hours (10 days) of paid sick leave per year.
  • Employers with 10–49 employees: up to 56 hours (7 days) of paid sick leave per year.
  • Employers with fewer than 10 employees: up to 40 hours (5 days) of unpaid sick leave per year.

Sick time accrues at one hour per 30 hours worked and may be used for the employee's or a family member's illness, preventive care, domestic violence, or workplace closure for a public health emergency.

Philadelphia Fair Workweek Employment Standards Ordinance

Philadelphia's Fair Workweek law (Chapter 9-4600 of the Philadelphia Code) applies to retail, hospitality, and food services establishments with 250 or more employees worldwide and at least 30 locations worldwide, including franchises.

Required practices include:

  • 14-day advance written schedule. Employees must receive their work schedule in writing at least 14 days in advance.
  • Good-faith estimate at hire. A new hire must receive an estimate of the weekly hours and shift days/times the employee can typically expect.
  • Predictability pay for employer-initiated schedule changes after the schedule is posted.
  • Right to decline additional hours and shifts that begin fewer than nine hours after the employee's last shift ended (the "right to rest").
  • Offer of additional hours to existing employees before hiring new staff.

Predictability pay rates: one extra hour at the regular rate for added time or schedule/location changes, and at least half-time for hours subtracted or shifts canceled.

Philadelphia Wage Equity Ordinance (Salary History Ban)

Philadelphia became one of the first major U.S. cities to ban salary-history inquiries when the Wage Equity Ordinance took full effect after the Third Circuit's 2020 ruling in Greater Philadelphia Chamber of Commerce v. City of Philadelphia.

Philadelphia employers may not:

  • Ask candidates about prior wages.
  • Rely on a candidate's salary history in setting pay.
  • Retaliate against applicants who refuse to disclose salary history.

Philadelphia Fair Criminal Record Screening Standards Ordinance (FCRSSO)

Philadelphia's ban-the-box law prohibits asking about criminal history on the initial application and before either the interview stage or a conditional offer of employment.

Major amendments effective January 6, 2026 tightened the rules:

  • Four-year lookback for misdemeanors.
  • Complete bar on consideration of summary offenses.
  • Enhanced individualized assessment requirements before adverse action.
  • Stronger anti-retaliation protections.
  • Pre-adverse and adverse action notices tied to the FCRSSO and the federal FCRA.

Philadelphia POWER Act (2025)

The Protect Our Workers, Enforce Rights (POWER) Act, signed May 27, 2025, dramatically strengthened enforcement of Philadelphia's worker protection ordinances:

  • $2,000 civil penalty per violation assessable by the Office of Worker Protections.
  • Subpoena authority for OWP investigations.
  • Pattern-or-practice investigation authority.
  • Public bad-actors database of employers with three or more violations.
  • Suspension or revocation of business licenses and city procurement contracts for repeat offenders.
  • 90-day rebuttable presumption of unlawful retaliation for adverse action following protected activity.

The POWER Act applies across the city's paid sick leave, wage theft, fair workweek, domestic worker, salary history, and ban-the-box ordinances.

Philadelphia Domestic Worker Bill of Rights

Philadelphia's 2019 Domestic Worker Bill of Rights provides written contracts, paid time off, advance notice of termination, and meal and rest break protections for domestic workers (housekeepers, nannies, in-home caregivers).

Pittsburgh Employment Ordinances

Pittsburgh's labor ordinances are enforced through the Office of Equal Protection.

Pittsburgh Paid Sick Days Act

As amended effective January 1, 2026, Pittsburgh's Paid Sick Days Act (Chapter 626 of the Pittsburgh Code) requires:

  • Employers with 15 or more employees: at least 72 hours of paid sick time per year.
  • Employers with fewer than 15 employees: at least 48 hours of paid sick time per year.
  • Accrual rate: at least one hour of paid sick leave per 30 hours worked in Pittsburgh.
  • Coverage: full-time and part-time employees who work more than 35 hours per year in the city.
  • Carryover: permitted to the following year, unless the employer with 15+ employees frontloads at least 72 hours at the start of the year.
  • Recordkeeping: two years for hours worked, sick leave taken, and the policy.

Pittsburgh Pregnancy Accommodation Ordinance

Pittsburgh requires city employers to provide reasonable accommodations for pregnancy, childbirth, and related medical conditions absent undue hardship.

Pittsburgh Background Check Ordinance

Pittsburgh's ban-the-box ordinance requires private employers to delay criminal-history inquiries until after a conditional offer of employment for most positions.

Allegheny County Paid Sick Leave

Allegheny County's Paid Sick Leave Ordinance applies to private employers with employees performing work in the county outside Pittsburgh city limits, with a 26-employee coverage threshold and a one-hour-per-35-hours accrual rate.

Employers with workers in Pittsburgh, Allegheny County (outside Pittsburgh), and Philadelphia should map each ordinance to the worksite, since accrual rates, caps, documentation triggers, and notice requirements differ.

Pennsylvania Mass Layoff Notification

Pennsylvania does not have a mini-WARN statute. The federal WARN Act applies through the Pennsylvania Department of Labor & Industry's Rapid Response Coordination Services.

Federal WARN coverage

Employers with 100 or more full-time employees must provide at least 60 days' written notice before:

  • A plant closing affecting 50 or more employees at a single site.
  • A mass layoff affecting 500 or more employees, or 50–499 employees if at least 33% of the active workforce.

Notice recipients

  • Affected employees or their union representative.
  • The Pennsylvania Department of Labor & Industry's Rapid Response Coordination Services.
  • The chief elected official of the local government where the layoff or closing occurs.

Failure to provide notice exposes the employer to back pay and benefits for each day of violation, capped at 60 days.

Pennsylvania Workers' Compensation

Pennsylvania requires nearly every employer to carry workers' compensation insurance. The Workers' Compensation Act, 77 P.S. § 1 et seq., is administered by the Pennsylvania Department of Labor & Industry.

  • Coverage required from the first employee.
  • First report of injury must be filed within 7 days of an injury that disables an employee for one day or more.
  • Retaliation prohibited. Discharging an employee in retaliation for filing a workers' comp claim violates the Act and may give rise to a wrongful discharge tort.
  • Healthcare provider lists. Employers may post a list of at least six approved providers, requiring the employee to use a panel provider for the first 90 days of treatment.

Pennsylvania Workplace Safety

Pennsylvania is a federal-OSHA jurisdiction, not a state-plan state. Federal OSHA enforces general industry standards through its Region III office.

Reporting requirements

  • Within 8 hours: any work-related death.
  • Within 24 hours: any work-related amputation, loss of an eye, or in-patient hospitalization.
  • OSHA 300 logs and 300A summaries for employers with 11+ employees outside of low-hazard industries.

Pennsylvania OSHA-equivalents for state and local employees

The Pennsylvania Public Employee Safety and Health Act (PennSafe) provides state and local government employees with safety protections analogous to federal OSHA.

Pennsylvania Smaller Leave Categories

Beyond city paid sick leave, Pennsylvania state law recognizes a handful of smaller leave entitlements.

  • Jury duty (42 Pa. C.S. § 4563): an employer may not deprive an employee of employment, threaten, or coerce the employee on account of jury service.
  • Voting leave: Pennsylvania does not require paid voting leave at the state level.
  • Military leave (51 Pa. C.S. § 7301 et seq.): protections for service in the Pennsylvania National Guard and reserves, with reinstatement rights mirroring USERRA.
  • Crime victim leave (18 P.S. § 11.1303): leave to attend criminal proceedings as a victim or witness.
  • Volunteer emergency responder leave: protection for volunteer firefighters and EMS personnel during declared emergencies.
  • Bereavement, family leave, or PTO: not required by Pennsylvania state law (Philadelphia and Pittsburgh sick-leave ordinances may cover certain bereavement situations).

FMLA, USERRA, the federal PWFA, and the federal Pump Act overlay all of the above.

Federal Laws That Overlay Pennsylvania Employment Law

Almost every Pennsylvania employer must comply with a stack of federal employment statutes alongside state and city law.

FLSA

The Fair Labor Standards Act sets the federal minimum wage, overtime, child labor, and recordkeeping floor. The PMWA layers higher requirements (e.g., the salaried-non-exempt regular-rate calculation) on top.

FMLA

The federal FMLA provides up to 12 weeks of unpaid, job-protected leave for qualifying conditions. Pennsylvania does not have a state PFML program.

Title VII, ADA, ADEA, GINA, PWFA

Federal civil rights statutes apply to employers with 15+ employees (Title VII, ADA, GINA, PWFA) or 20+ (ADEA). The PHRA covers many of the same protected categories at four employees, so most Pennsylvania discrimination charges are dual-filed with the EEOC and the PHRC.

NLRA

The National Labor Relations Act protects employees' Section 7 rights to engage in protected concerted activity. Pennsylvania's substantial unionized sector — healthcare, education, manufacturing, public services — makes NLRA compliance especially important.

OSHA

Federal OSHA directly enforces in Pennsylvania for private employers.

Other federal statutes

  • USERRA: protects military service members' employment rights.
  • FCRA: governs background checks performed by third-party consumer reporting agencies.
  • IRCA: requires Form I-9 work authorization verification within three business days of hire.
  • ERISA: governs employee benefit plans.
  • COBRA: requires continuation coverage for group health plans on qualifying events.
  • HIPAA: protects medical information collected in connection with group health coverage.

Recordkeeping Requirements in Pennsylvania

Pennsylvania employers should keep, at minimum, the following records:

  • Three years: payroll records under the PMWA, including hours worked, rate of pay, gross and net wages, and deductions.
  • Three years: independent contractor classification documentation under Act 72 (construction).
  • Two years: Pittsburgh PSDA hours worked, sick leave taken, and policy.
  • Two years: Philadelphia paid sick leave records.
  • One year: applications, resumes, hiring records (per EEOC).
  • One year after termination: personnel and termination records (per EEOC).

Federal recordkeeping under the FLSA, FMLA, OSHA, and ERISA runs alongside the state and city requirements. Always keep records for the longer applicable period.

Building a Pennsylvania Employee Handbook

A Pennsylvania-compliant handbook in 2026 should cover:

  • At-will employment statement with carve-outs for the PHRA, Whistleblower Law, Medical Marijuana Act, USERRA, and workers' compensation retaliation.
  • Equal Employment Opportunity policy reflecting all PHRA-protected categories, including the new CROWN Act protections for hair texture, protective hairstyles, and religious head coverings.
  • Anti-harassment policy covering harassment based on every protected characteristic, with multiple reporting channels and a clear non-retaliation pledge.
  • City-specific paid sick leave policies for Philadelphia, Pittsburgh, and Allegheny County employees.
  • Fair Workweek policy for Philadelphia retail, hospitality, and food services employers.
  • Salary history and pay practices statement reflecting Philadelphia's Wage Equity Ordinance and the Pennsylvania Equal Pay Law.
  • Background check disclosure compliant with the FCRA, CHRIA, Clean Slate, and city ban-the-box ordinances (including the January 6, 2026 Philadelphia FCRSSO amendments).
  • Medical marijuana policy recognizing the Medical Marijuana Act's status-based protection.
  • Pregnancy and parental policy integrated with the federal PWFA, FMLA, and (for Pittsburgh employers) the Pittsburgh Pregnancy Accommodation Ordinance.
  • Lactation accommodation policy reflecting the federal PUMP Act.
  • Whistleblower and complaint procedure.
  • Wage and hour policies covering pay periods, overtime, and the WPCL pay-stub explanation.
  • Confidentiality and IP assignment language reviewed against the Health Care Practitioners Act and the Defend Trade Secrets Act notice requirements.
  • Social media and electronic monitoring policy calibrated to NLRA Section 7 limits.

For more on policy structure, see examples of strong employee handbooks.

Common Compliance Pitfalls for Pennsylvania Employers

Investigators see the same patterns of error across the Commonwealth.

Treating PHRA the same as Title VII

The PHRA covers employers at four employees, includes broader race and sex definitions after the 2023 PHRC regulations and the 2025 CROWN Act, and has its own 180-day filing window. A federal Title VII analysis often understates Pennsylvania exposure.

Stale handbooks

A handbook last revised in 2022 will be missing the CROWN Act, the Health Care Practitioners non-compete law, the expanded Philadelphia paid sick leave, the POWER Act, the Pittsburgh PSDA amendments, and the new FCRSSO criminal-history rules. Plan for at least two handbook reviews per year through 2027.

Misclassifying construction workers

Act 72's three-prong test plus the six-factor "customarily engaged" requirements are stricter than the IRS test. Most informal subcontractor relationships will fail without a written contract, $50,000 of liability insurance, and a clean independent business presence.

Ignoring city ordinance triggers for remote workers

A remote employee living in Philadelphia or Pittsburgh likely triggers city sick-leave coverage even if the employer has no city office. Map the worksite by the employee's actual location, not the employer's HQ.

Pre-2025 healthcare non-competes

Many health systems carried over standard non-compete language into post-January 1, 2025 employment agreements. Any non-compete with a covered practitioner that runs longer than one year is now void; a separation without cause makes even a one-year covenant unenforceable.

Industry Snapshots

Several industries carry additional Pennsylvania-specific obligations.

Healthcare

Hospitals, ambulatory surgery centers, and physician practices face the Health Care Practitioners non-compete restriction, the Medical Marijuana Act, the Patient Safety Authority's incident reporting rules, and standard CMS conditions of participation. Whistleblower exposure is heightened given the PHRA's broad funded-by-Commonwealth definition.

Construction

Act 72's misclassification regime, the Pennsylvania Prevailing Wage Act for state-funded projects, and federal Davis-Bacon obligations all apply. OSHA fall protection, scaffolding, and trenching standards are heavily enforced.

Hospitality and retail

Philadelphia Fair Workweek applies to chains with 250+ employees and 30+ locations worldwide. Pittsburgh PSDA and Allegheny County PSL apply across smaller employers. Tipped-wage compliance under the PMWA is a recurring focus area.

Public sector and Commonwealth contractors

The Whistleblower Law, the Right to Know Law, and Pennsylvania ethics rules expand exposure for organizations receiving Commonwealth funding. A disciplined intake-and-investigations program is the most effective insulation.

Enforcement Agencies in Pennsylvania

Different statutes are enforced by different agencies, and a single workplace incident often triggers more than one.

  • Pennsylvania Department of Labor & Industry (DLI): wage and hour, child labor, prevailing wage, workers' compensation, unemployment compensation, mass layoff coordination.
  • Pennsylvania Human Relations Commission (PHRC): PHRA discrimination, harassment, and retaliation; CROWN Act.
  • Office of the Attorney General: wage theft, worker misclassification, civil rights enforcement.
  • Office of State Inspector General (OSIG): Whistleblower Law administration for state agencies.
  • Philadelphia Department of Labor, Office of Worker Protections (OWP): paid sick leave, Fair Workweek, Wage Equity, FCRSSO, Domestic Worker Bill of Rights, POWER Act enforcement.
  • Pittsburgh Office of Equal Protection: Paid Sick Days Act, Pregnancy Accommodation Ordinance, ban-the-box ordinance.

Federal agencies (EEOC, U.S. DOL, OSHA, NLRB) overlay all of the above with parallel jurisdiction.

How AllVoices Helps Pennsylvania Employers Stay Compliant

Pennsylvania's framework is unusually demanding because of the city overlay: state law sets the floor, but Philadelphia and Pittsburgh ordinances add layered paid leave, predictive scheduling, ban-the-box, and aggressive enforcement on top.

AllVoices is an HR case management platform built for People teams operating across multiple jurisdictions:

  • Anonymous and named intake: a single front door for harassment, discrimination, retaliation, wage concerns, and safety reports across every Pennsylvania worksite — with separate tagging for Philadelphia and Pittsburgh ordinance categories.
  • Investigation workflows: templated for PHRA-protected categories and Whistleblower Law disclosures, with chain-of-custody timestamps that hold up in front of the PHRC, OWP, or Office of Equal Protection.
  • Vera AI: classifies incoming reports, flags possible PHRA, paid sick leave, Fair Workweek, or wage-theft issues, and routes the most sensitive cases to senior reviewers automatically.
  • Audit-ready exports: generate complete case histories with evidence, communications, and outcomes when a state agency or city Office of Worker Protections requests them.
  • HRIS integrations: sync with Workday, Rippling, Paylocity, BambooHR, and ADP so paid leave, scheduling, and discipline data line up against active employment status.

For more on our approach, see why employee relations matters and how AI is changing the practice. Teams ready to evaluate the platform can schedule a demo of AllVoices.

Multi-State and Remote Workforce Considerations

Pennsylvania's framework does not stop at the state border. People teams running distributed workforces should map a few specific questions early.

When does Pennsylvania law apply to a remote employee?

Generally, Pennsylvania employment law applies to work performed in Pennsylvania. A fully remote employee whose work is performed from a Pennsylvania address is covered by:

  • PMWA minimum wage and overtime.
  • WPCL pay-frequency and final-paycheck rules.
  • PHRA discrimination, harassment, and retaliation protections (including the CROWN Act).
  • Medical Marijuana Act protections if certified.
  • Workers' compensation coverage.

City coverage for remote workers

A remote worker physically based in Philadelphia or Pittsburgh likely triggers city ordinance coverage, including paid sick leave and (for some employers) Fair Workweek. Coverage typically follows the location where the work is performed, not the employer's HQ.

Choice-of-law clauses

Choice-of-law clauses cannot be used to override the WPCL, the PHRA, or the Health Care Practitioners non-compete restriction for Pennsylvania employees. Pennsylvania courts apply Pennsylvania law to most employment claims arising out of work in the Commonwealth, regardless of contractual selection of another state's law.

Frequently Asked Questions

Is Pennsylvania an at-will employment state?

Yes. Pennsylvania follows the at-will doctrine, but the PHRA, the Whistleblower Law, the Medical Marijuana Act, the WPCL, workers' compensation retaliation protections, and Pennsylvania's narrow common-law public-policy exception all carve significant pieces out of at-will discharge.

What is Pennsylvania's minimum wage in 2026?

$7.25 per hour, the same as the federal minimum. The tipped minimum cash wage is $2.83 per hour. Bills to raise the rate to $15 by 2029 have advanced but not been enacted.

What is the PHRA employer threshold?

Four employees — broader than Title VII (15) and ADA (15).

When is a Pennsylvania final paycheck due?

By the next regular payday on which wages would otherwise be due, regardless of whether the employee was discharged or resigned.

Are non-compete agreements enforceable in Pennsylvania?

For non-healthcare practitioners, common-law reasonableness analysis still applies. For physicians, DOs, CRNAs, CRNPs, and PAs, agreements entered into on or after January 1, 2025 are limited to one year and are unenforceable when the practitioner is dismissed without cause.

Does Pennsylvania have a state paid sick leave law?

No, but Philadelphia, Pittsburgh, and Allegheny County (outside Pittsburgh) all have city or county ordinances. Allegheny County's covers most private employers in the county outside Pittsburgh; Philadelphia and Pittsburgh apply within their respective city limits.

Does Pennsylvania mandate sexual harassment training?

Not by statute, but the PHRA's broad coverage and the strong affirmative defense available to employers with documented training make annual training the practical standard.

Can a Pennsylvania employer ask about salary history?

Yes at the state level, but Philadelphia's Wage Equity Ordinance prohibits salary history inquiries and reliance for any position based in or performed in Philadelphia.

Does Pennsylvania have a state CROWN Act?

Yes, effective January 24, 2026. The Pennsylvania CROWN Act amends the PHRA's definition of race to expressly include traits historically associated with race (hair texture and protective hairstyles) and amends religious creed to include head coverings and hairstyles historically associated with religious practice.

What is Pennsylvania's exempt salary threshold for 2026?

$684 per week ($35,568 per year), the same as the current federal threshold. The 2024 federal increase was vacated in November 2024 and Pennsylvania did not implement a higher state-specific threshold.

What's the deadline for a PHRA charge?

180 days from the alleged discriminatory act. Charges are typically dual-filed with the EEOC.

What's the WPCL liquidated damages rule?

25% of unpaid wages or $500, whichever is greater, if wages remain unpaid 30 days after the regular payday or 60 days after a written demand.

The Bottom Line

Pennsylvania's 2026 framework is split-personality. State wage-and-hour rules remain at the federal floor, while Philadelphia and Pittsburgh push the boundaries on paid sick leave, Fair Workweek, predictability pay, ban-the-box, and worker-protection enforcement. The PHRA covers employers at four employees and now expressly protects hair, while the Health Care Practitioners non-compete law has reshaped the medical employment landscape.

The 2026 priorities for Pennsylvania HR teams:

  • By Q2 2026: update grooming, dress code, and uniform policies to align with the January 24, 2026 PHRA CROWN Act amendment.
  • By Q2 2026: audit the Philadelphia FCRSSO criminal-history process for the four-year misdemeanor lookback and summary-offense exclusion that took effect January 6, 2026.
  • By Q2 2026: confirm Pittsburgh paid sick leave compliance with the new 72-hour and 48-hour tiers effective January 1, 2026.
  • Throughout 2026: retire any healthcare practitioner non-competes signed on or after January 1, 2025 that exceed one year.
  • Ongoing: track POWER Act enforcement actions and retaliation presumption to recalibrate intake-and-investigations responsiveness for Philadelphia worksites.

Pennsylvania compliance rewards People teams that invest now in city-by-city policy mapping, clean wage-statement practices under the WPCL, and a defensible intake-to-investigation workflow that meets PHRC and OWP expectations. To see how a modern intake-and-investigations workflow handles all of this in one place, schedule a walkthrough of AllVoices.

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