Labor & Employment

HB 1602 changes North Dakota's public employee retirement system by closing the traditional defined benefit plan to new hires starting January 1, 2025. Instead, new permanent employees (excluding those in specific exception roles like teachers, law enforcement, or university staff) must join a defined contribution retirement plan. Existing members who joined before 2025 remain in the defined benefit plan, and political subdivisions (like cities or counties) may choose whether to participate in the new defined contribution plan. The bill clarifies that local governments are not required to offer either retirement plan, and no fees apply if they withdraw from the defined contribution system.

HB 1393 would have created new licensing requirements for businesses offering "earned wage access" services in North Dakota - allowing workers to access part of their earned but unpaid wages before their regular payday. The bill would have required providers (excluding banks, payroll services, and employers offering early pay directly) to obtain a license from the Financial Institutions Commissioner, maintain $25,000 net worth, post a $50,000 bond, and pass background checks for fraud convictions. Key provisions defined terms like "earned income access transaction" and set rules for fees, consumer notices, and prohibited practices. This bill would have directly affected non-exempt companies seeking to offer early wage access, not workers or employers. (Note: The bill failed to pass in April 2025.)

HB 1608 would require North Dakota employers to grant employees at least 24 consecutive hours of leave for rest or religious observance on Sundays or recognized religious holidays, without restricting the duration. It prohibits employers from denying such leave and mandates that the labor commissioner investigate complaints, impose a $500 fine for violations, and may refer cases to a state attorney. Employers are exempt if leave denial results from an unavoidable emergency. The bill, which failed to pass the legislature in February 2025, is a proposed policy change affecting all North Dakota employees seeking religious leave.