On July 16, the Maine Department of Labor (DOL) presented a webinar addressing several newly enacted workplace laws and amendments, along with clarifications to existing laws that have created uncertainty for employers. This article explores some of the information shared during the webinar; the entire webinar can be viewed on the DOL website.
The DOL’s interpretations provide useful guidance for employers now, but those interpretations are also subject to potential changes during the formal rulemaking process.
Earned paid leave: significant takeaways
The DOL clarified that, following the September 2025 amendments to the law, Maine’s Earned Paid Leave law is properly interpreted as follows:
- No cap on accrual. Although there had been some suggestions that EPL could be capped at 80 hours, the DOL’s position is that there is no cap on EPL accrual. Employees may carry over and continue to accrue EPL leave from year to year without limit.
- No limit on annual usage. Employers cannot cap the number of EPL hours an employee uses during a year if the leave has been accrued. Note that this differs from non-EPL Paid Time Off (PTO) policies, under which employers are free to limit usage.
- “Use it or lose it” policies do not apply. In addition to being able to carryover unused EPL from year to year, employers cannot enforce a “use it or lose it” policy at year end. Termination payout policies are different: employers may enforce a clearly written and communicated policy that unused accrued EPL is not paid out at end of employment.
Employers should review their EPL and PTO policies to ensure that accrual, carryover, use, and termination payout language is clear and compliant. Although it is now more complicated to be clear about how EPL and PTO interact, payroll and HR systems need to account for when leave is concurrent and how to determine when EPL is exhausted.
Pay transparency law: clarifications
The DOL also answered several questions about Maine’s new pay transparency law and indicated that additional clarifications through FAQ are expected. Some of the takeaways were:
- Posting minimum and maximum salary ranges remains acceptable
- Employers may reference collective bargaining agreements for additional compensation information
- Employees are entitled to the pay range for their own position, but not for positions they do not hold
- The law applies equally to internal and external job postings
- No official DOL workplace poster has been issued yet
Employee surveillance law: clarifications
Similarly, the DOL provided some answers to questions posed during the session about the employee surveillance law, and have promised additional clarifications through FAQ. Some of the takeaways were:
- Certain security authorization tools, including multifactor authentication, may qualify as surveillance
- Monitoring employee internet usage on work devices may fall within the law
- The DOL will not provide model language for employee handbooks
- Simply requiring an employee to sign a handbook acknowledgment each year may not be sufficient for the annual notice requirement if the actual policy isn’t provided
- Employers remain responsible for developing compliance notices and policies
- The DOL has not yet determined whether surveillance conducted for workers’ compensation fraud investigations falls within the statute
Employers should not define surveillance too narrowly while additional guidance is pending. Employers that use monitoring tools, device tracking, internet-use monitoring, cameras, security software, or similar technologies may want to err on the side of caution in determining whether they are providing the required interview notice and annual employee notice.
What employers should do now
Employers do not need to wait for final rulemaking to continue preparing for implementation of the newer laws, and to account for the clarification provided about the EPL. Based on the DOL’s guidance, they should consider these steps:
- Review EPL and PTO policies for proper accrual, carryover, annual use, year-end forfeiture, and termination payout language
- Confirm that payroll and HR systems can account for EPL use
- Update job posting workflows so internal and external postings include required pay information when the law applies
- Prepare a process for responding to employee requests for the pay range of their own position
- Inventory workplace monitoring practices and technologies
- Review applicant disclosures, annual employee notices, and handbook language related to monitoring
- Monitor additional DOL FAQs and formal rulemaking
Bureau of Labor Standards’ investigatory and enforcement authority
The DOL has the authority, through the Bureau of Labor Standards (BLS), to investigate labor standards violations, such as unpaid wages. Generally, the BLS can examine business records, issue subpoenas, compel testimony, and impose penalties or notices of levy for non-compliance. Violations discovered during investigations may result in demands for unpaid wages and other relief, fines, and penalties.
Recent amendments strengthen the Bureau’s authority to do that in several ways, including:
- If an employer refuses to comply with BLS requests for relevant information, cannot be located, or a third party has relevant evidence, the BLS may compel production of information from other sources, such as payroll companies or financial institutions.
- Employers ordered to pay wages, damages, or interest to employees must notify the BLS when payment is made within the required time period.
- If required payments are not made on time, additional civil penalties may apply.
- Once amounts due under a citation are finally established and remain unpaid, the BLS may place a lien on certain third parties that control or possess an employer’s financial accounts or personal property, subject to exceptions.
- Employers must post any BLS notice of violation in a prominent conspicuous place, such as a staff breakroom. If no such place exists (including when employees are remote), the employer must deliver copies of the violation notice to employees. Employers must also send a copy of the notice of violation (by mail, email or text) to all employees who worked during the period covered by the notice.
Employers should treat BLS requests, citations, payment deadlines, and notice requirements as time-sensitive compliance matters and are advised to contact legal counsel.
The takeaway
The DOL’s guidance clarifies some of the burning questions that remain about several new laws, as well as the EPL. We are anticipating formal rulemaking, but employers should not wait for that process before reviewing their policies and practices to ensure compliance with the DOL’s current interpretations.
Taking proactive steps now can help minimize compliance risk while additional guidance is developed.
Anne-Marie L. Storey is a leading Labor and Employment attorney with more than two decades of experience who advises Maine employers on all aspects of workplace law, including compliance, risk management, employee relations, investigations, and litigation. She can be reached at [email protected].
Bernstein Shur’s Labor & Employment Group helps businesses of all sizes build compliant, productive workplaces through practical, real-world solutions. The group provides full-spectrum support on issues ranging from hiring and discipline to investigations, union relations, and employment litigation.