| Update Applicable to: | Effective Date |
| All Employers with at least 50 Employees | See Details Below |
What happened?
On June 14, 2025, the Maryland Department of Labor (MDOL) reissued proposed regulations to implement the Maryland Economic Stabilization Act, which requires employers to provide 60 days’ written notice before certain mass layoffs or reductions in force (RIFs).
Overview:
Updates in the Proposed Regulations: the updates aim to clarify employer obligations, expand protections for remote workers, and strengthen enforcement tools. The public comment period closed on July 14, 2025, and final regulations are expected following review.
- Expanded Definitions for Virtual Work:
- Remote Worker: Employees with a permanent arrangement to work from an approved location outside the assigned workplace.
- Telework: Flexible agreements allowing work from alternative sites. The entire State of Maryland is treated as a single workplace for remote workers.
- MDOL Assistance Mechanisms:
- Removes the requirement for phone contact with employers.
- Updates confidentiality language to focus on the nature of shared information.
- Enforcement Process:
- If a violation is suspected, MDOL must issue a written order detailing the issue and proposed penalties.
- Employers have 15 business days to contest the order.
- Contested cases are referred to the Office of Administrative Hearings.
- Other Regulatory Changes:
- A new provision formalizes the 60-day notice requirement.
- Previously voluntary employer guidelines are now mandatory.
- No changes to MDOL’s Rapid Response Program or workforce support services.
Source References
- Maryland DOL – Proposed Regulation – Subtitle 33 JOB SERVICE – 09.33.02 Economic Stabilization
Resources
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