Virginia rewrites labor laws on paid leave, wages, and pay transparency

Triple damages, salary history bans, and a mandatory paid leave program – all in one session

Virginia rewrites labor laws on paid leave, wages, and pay transparency

Virginia just rewrote the rules for employers – and HR teams across the Commonwealth are now on the clock. 

In its 2026 Reconvened Session, the Virginia General Assembly passed four labor and employment bills that together amount to one of the most significant overhauls of workplace law the state has seen in years. The package covers paid family and medical leave, pay transparency, wage enforcement, and overtime protections for domestic workers. For HR professionals, the message is clear: compliance expectations in Virginia have changed, and the timeline to adapt is tight. 

The centerpiece is HB 1207, which establishes a mandatory paid family and medical leave insurance program administered by the Virginia Employment Commission. Under the new law, the Commission must have the program running by January 1, 2028, with payroll contributions starting April 1, 2028, and benefit payments beginning December 1, 2028. Covered workers can receive up to 12 weeks of leave per year at 80 percent of their average weekly wages, capped at the state average. The qualifying reasons for leave are broad – caring for a new child, a family member with a serious health condition, the worker's own health condition, military family needs, and safety services related to domestic violence, sexual assault, harassment, or stalking. The definition of family member extends well beyond the federal standard to include domestic partners, adult children, grandparents, grandchildren, siblings, and even individuals living in the employee's home where a caregiving relationship exists. Employers with more than 10 workers split contributions with employees, while smaller employers pass through only the employee share. Job protection and anti-retaliation provisions apply, and employers must post notices in English, Spanish, and any language spoken by at least five percent of their workforce. Employers who prefer to go it alone can apply for approval to offer a private plan, provided it meets or exceeds the state program's benefits. 

HB 636 takes aim at how employers hire and post jobs. The law bans employers from asking about a prospective employee's salary history, relying on it in hiring decisions, or using it to set pay. Every job posting – internal and external, including promotions and transfers – must now include the wage, salary, or salary range. Ranges must be set in good faith, and overly broad ranges are subject to challenge. The Attorney General can enforce the law with penalties of up to $1,000 for a first violation and $5,000 for repeat offenses. Aggrieved applicants and employees can also bring their own claims within a year, though employers get 15 business days to fix a posting violation before a private action can proceed. 

HB 238 raises the stakes for getting wages wrong. The bill expands the definition of wages to include tips, bonuses, commissions, and damages from worker misclassification. Courts must now award triple the unpaid wages when an employer knowingly fails to pay. Employees can bring claims as collective actions under procedures modeled on the federal Fair Labor Standards Act. Upon referral from the Commissioner of Labor and Industry, the Virginia Attorney General gains new authority to investigate and sue employers for wage violations, minimum wage and overtime violations, and misclassification. A good-faith defense exists, but only if the employer cures the violation within 14 days of being notified. The bill also lowers the bar for criminal prosecution of wage theft – changing the standard from requiring both willfulness and intent to defraud to requiring either one – and extends felony liability to repeat offenders regardless of the dollar amount. 

Finally, HB 27 extends overtime protections to domestic workers, covering housekeepers, caregivers, cooks, gardeners, and others performing household services. Employers must pay time-and-a-half for hours over 40 in a workweek. That bill, however, comes with an asterisk – it does not take effect unless the 2027 Session reenacts it, so its future is not yet certain. 

The practical reality for HR teams is that the clock is already ticking. Parts of HB 238, including its new good-faith defense provision, apply to actions commenced on or after July 1, 2026. HB 636's pay transparency requirements carry no reenactment contingency. HB 1207 gives employers less than two years before contributions begin. Taken together, these four bills demand immediate attention from anyone managing people in Virginia – from updating payroll systems and job postings to rewriting leave policies and training managers on the new anti-retaliation rules. Virginia has made its expectations plain, and the cost of falling behind just got a lot steeper. 

LATEST NEWS