Labor & Employment

Under current Delaware law, if a labor dispute constitutes a lockout, employees who meet all other eligibility requirements qualify for unemployment benefits from the date they file their claim. However, if a labor dispute does not constitute a lockout, employees do not qualify for (i.e. are disqualified from receiving) unemployment benefits. This Act changes the law to allow an employee who is subject to a labor dispute, other than a lockout, to collect unemployment benefits after a 2-week waiting period, if the employee meets all the eligibility requirements for unemployment benefits, including being able and available for work and completing weekly job requirements. This Act provides that the 2-week waiting period established by this Act is waived if one or both of the following apply: (1) The labor dispute is caused by the failure or refusal of the employer to comply with an agreement or contract between the employer and the individual, including a collective bargaining agreement with a union representing the individual, or a State or federal law pertaining to hours, wages, or other conditions of work. (2) The employer hires a permanent replacement worker for the individual's position. The Department of Labor may impose a penalty on an employer who fraudulently certifies the ability of an employee to return to the employee’s prior position on conclusion of the labor dispute. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.

This resolution recognizes April 28, 2025, as Workers Memorial Day in the State of Delaware and calls upon all Delawareans to remember those who have died on the job, to support policies that protect the living, and to advance the cause of safe and just workplaces for all.

This Act is the first leg of a constitutional amendment that would establish a fundamental right for all employees to organize and to bargain collectively through representatives of their own choosing for the purpose of negotiating wages, hours, and working conditions, and to protect their economic welfare and safety at work. This Act requires a greater than majority vote for passage because § 1 of Article XVI of the Delaware Constitution requires the affirmative vote of two-thirds of the members elected to each house of the General Assembly to amend the Delaware Constitution. In addition, as the first leg of a constitutional amendment, the next General Assembly must pass an act concurring with this Act for it to become part of the Delaware Constitution.

Chapter 35 of Title 19 prohibits an employer from improperly classifying an individual who is an employee as an independent contractor. Not only is this improper classification unfair to employees because it violates state and federal laws related to income tax withholding, unemployment insurance, wage laws, and workers’ compensation, it is also unfair to contractors who comply with Chapter 35 and these other employment laws. When employers who violate Chapter 35 are subcontractors who have not registered as contractors as required under Chapter 36 of Title 19, the Department of Labor (Department) has no recourse for enforcing compliance with Chapter 35. This Act makes a general contractor responsible for a subcontractor’s compliance with Chapter 35 by making the general contractor jointly and severally liable for restitution and penalties assessed against the subcontractor. This Act also allows the Department to deny, suspend, or revoke the certificate of registration of a contractor who contracts with a subcontractor who has not registered on any project. In addition, Section 3 of this Act makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.

Pay range transparency empowers job applicants with crucial information to negotiate salaries and make informed career decisions. It also encourages businesses to proactively review compensation practices, address unjustified pay disparities, and strengthen their ability to attract and retain top talent. This Act requires that employers include salary or wage range information and a general description of benefits in all postings for job opportunities, and ensures that applicants have access to that information prior to any offer or discussion of compensation. Employers are required to maintain records relating to job descriptions and wage rates for employees for at least 3 years. The Department of Labor may bring an administrative action to enforce the pay transparency provision. This Act does not apply to employers with 25 or fewer employees. The Act takes effect 2 years after its enactment. House Substitute No. 2 to House Bill No. 105 differs from House Substitute No. 1 to House Bill No. 105 as follows: It provides that where a job opportunity is covered by a collective bargaining agreement (CBA), the compensation or compensation range disclosed in a notification should be one that has been agreed upon for disclosure in the CBA itself. It provides that the pay transparency provision becomes applicable to postings for opportunities covered by a CBA only when the CBA is amended, modified, or renewed after the effective date of the Act, to give the parties opportunity to consider the disclosed range in the course of negotiating a CBA. It provides that an employer is not liable for job postings that are digitally replicated and published without the employer’s consent. It specifies that the pay transparency provisions in this section apply to Delaware-based jobs or non-international remote positions offered by an employer based in Delaware. It makes the record preservation requirement consistent with § 907 of Title 19.