Employees’ Rights in Maryland: 2025 Update

January 10, 2025
The Law Firm of J.W. Stafford

Employees in Maryland have clear legal rights—and these rights have recently gotten stronger as a result of changes to the law that took effect in late 2024 and at the start of 2025. Some additional changes are slated to take effect later in the year as well. Here is an overview of some of the most notable developments from a Maryland employment attorney at The Law Firm of J.W. Stafford.

Wage Transparency Under the Equal Pay for Equal Work Act

The Maryland legislature amended the state’s Equal Pay for Equal Work Act last year to add provisions that specifically address wage transparency. Under the amendments, employees in Maryland now have the right to:

  • Ask about other employees’ wages during the hiring process or during employment;
  • Discuss salaries with other employees; and,
  • Learn the wage range for open positions.

Crucially, employers must disclose wage range information proactively—not solely upon an employee’s or job applicant’s request. The amendments also provide that employers can ask about employees’ and job applicants’ compensation histories only after making an offer and only for purposes of deciding whether to provide compensation above the posted wage range.

Protected Characteristics Under the Equal Pay for Equal Work Act

The amendments to Maryland’s Equal Pay for Equal Work Act also expand the statute’s applicability. While the law used to mirror the federal Equal Pay Act in applying exclusively to sex-based pay discrimination, Maryland’s law now prohibits pay disparities “based on . . . race, religious beliefs, sex, gender identity, or sexual orientation.”

Maryland’s Minimum Wage for 2025

The minimum wage for non-tipped employees in Maryland remains at $15.00 per hour at the start of 2025. While the increase to $15.00 was originally supposed to happen in 2025, the Maryland legislature decided to speed up the minimum wage increase last year. For tipped employees, the minimum wage is $3.63 per hour.

A proposal that would require voter approval seeks to increase Maryland’s minimum wage to $20 by 2030. The proposal also seeks to eliminate state income tax on tips.

Non-Compete Restrictions for Healthcare Workers

New restrictions on non-competes for healthcare workers in Maryland will take effect on July 1, 2025. These restrictions will apply specifically to healthcare workers who are licensed under Maryland’s Health Occupations Article and earn less than $350,000 per year. Once the new restrictions take effect, employers will not be allowed to enforce non-compete clauses against covered healthcare workers for more than one year, and non-compete clauses for covered workers must be limited geographically to 10 miles from the workers’ primary place of employment.

Federal Overtime Pay Eligibility

While a new federal rule would have increased the annual salary threshold for overtime eligibility to $58,656 on January 1, 2025, a federal court struck down the rule late last year. As a result, the overtime eligibility threshold currently remains at  $35,568. However, the U.S. Department of Labor has indicated that it plans to challenge the court’s decision, so we could still potentially see an increase in the federal overtime eligibility threshold later this year.

Other Employee Protections Remain in Effect for 2025

Along with these updates (and potential updates), long-standing protections for employees in Maryland remain in effect for 2025. These include (but are not limited to):

  • Protections against numerous forms of discrimination and harassment in the workplace;
  • County-level minimum wage requirements in some jurisdictions;
  • The right to job-protected leave under the Family and Medical Leave Act (FMLA) for qualifying absences;
  • Existing restrictions on non-compete clauses outside of the healthcare sector; and,
  • The ability to seek appropriate remedies for violations through the Maryland Commission on Civil Rights (MCCR), U.S. Equal Employment Opportunity Commission (EEOC) and the courts.

If you have any questions about your legal rights as an employee in Maryland, you can—and should—consult with an experienced Maryland employment attorney in confidence. Whether you need to protect your job or you need to seek financial compensation or other remedies, asserting your legal rights is important. Companies that violate the law need to be accountable, and if your employer has violated your rights, you do not deserve to face unnecessary consequences.

Speak with a Maryland Employment Attorney in Confidence

Do you need to know more about protecting your legal rights as an employee in Maryland? If so, we invite you to get in touch. To speak with an experienced Maryland employment attorney at The Law Firm of J.W. Stafford in confidence, give us a call at 410-514-6099 or tell us how we can reach you online today.