Employment Law Updates August 2026: 7 Changes for Employers

(Disclaimer: This article is for general informational purposes only and should not be considered legal advice.)

It's the first Monday in August, and Priya, the HR manager at a 140-person property management company, is planning her month. Her team is spread out: leasing staff and an on-site building manager in Denver, maintenance techs who drive between properties around New Orleans, and hybrid accountants who split the day between home and the office.

By 9 a.m., the questions are rolling in. An accountant asks why her drive to the office after lunch isn't on her timesheet. A tech mentions he returns tenant calls at his kitchen table before he starts the truck, and the Denver manager wants to know if the no-pets rule in her on-site staff apartment applies to her new emotional support dog.

Meanwhile, recruiting just printed a fresh stack of I-9s from a PDF someone saved in 2023. Nobody's sure which edition it is.

So what changed in employment law in August 2026, and what do you actually need to update? Here's the short answer. Employment law updates for August 2026 include the end of the old Form I-9 edition, two DOL opinion letters on travel time, two Colorado laws on assistance animals and EEO-1 reporting, and three Louisiana laws on the definition of sex, expunged records and worker safety.

Every one of Priya's questions maps to one of those changes. Below, you'll find each update with its official source and the handbook policy it affects, plus a checklist, key dates and answers to common questions.

August 2026 employment law updates at a glance

Here are all seven changes in date order. The handbook sections most affected are EEO and accommodation policies, hours worked and travel time, and hiring and employment eligibility. Dates are as stated in each official source, and some laws phase in by employer size, so read the details for every state where you have employees.

One more date to watch: public comments on the EEOC's proposal to eliminate annual EEO-1 reporting close August 24, 2026. It's a proposal, not a change, so it isn't one of the seven. It still matters if you have employees in Colorado, as you'll see below.

Federal changes for all employers

DOL opinion letters on travel time for hybrid and field employees

On July 22, 2026, the Department of Labor published two opinion letters on when travel counts as hours worked. They cover two situations that come up constantly with hybrid and field teams:

• Hybrid employees: A hybrid employee's mid-day travel between home and the office is noncompensable ordinary commuting. If someone works from home in the morning and drives in for an afternoon meeting, that drive is a commute, not work time.
• Field employees: A field employee's pre-drive client calls and scheduling work can start the compensable workday. If a technician returns customer calls and plans the day's schedule before leaving the house, the paid workday may already be underway.

Employers with hybrid or field employees should review timekeeping practices against this guidance. If your policy says the workday starts when employees reach their first job site, check whether that holds for people who do real work at home first.

Handbook impact: Hours worked and travel time. Review how you pay mid-day travel for hybrid and field employees.

Form I-9: only the 01/20/25 edition from August 1

Beginning August 1, 2026, employers must use the 01/20/25 edition of Form I-9 (expiration date 05/31/2027). The prior 08/01/23 edition may no longer be used.

The trouble usually isn't the current form. It's the old copies that never left circulation: a saved PDF on the shared drive, a printed stack in the onboarding binder, a link buried in a hiring manager's checklist. Employers using electronic I-9 systems should confirm their systems reflect the current edition.

Handbook impact: Hiring and employment eligibility. Update your hiring and onboarding steps so every new hire completes the 01/20/25 edition.

One federal proposal to watch: ending annual EEO-1 reports

The EEOC has proposed eliminating annual EEO-1 reporting, and the public comment period closes August 24, 2026. A proposal doesn't change your obligations, so there's nothing to edit in your handbook yet.

What you shouldn't do is scrap your EEO-1 data collection because of it. Colorado has its own reporting law that applies to covered employers whatever happens at the federal level.

Colorado: assistance animals and a new state EEO-1 report

HB 26-1045: assistance animals in housing

HB 26-1045, effective August 12, 2026, amends the Colorado Anti-Discrimination Act to define "assistance animals," including service and emotional support animals. It makes blanket bans presumptively discriminatory in housing and requires individualized assessments instead.

This is a housing rule, so it matters most if you provide employee housing, like Priya's on-site manager apartment, staff quarters at a mountain resort or seasonal housing on a ranch. Applying a flat "no animals" rule to an assistance animal in that housing is now presumptively discriminatory. Employers that provide employee housing should update their housing and accommodation practices accordingly.

Handbook impact: EEO and accommodation policies. If you house employees in Colorado, add an individualized review step for assistance animal requests.

HB 26-1207: a state EEO-1 report for employers with 100 or more employees

HB 26-1207, effective August 12, 2026, requires Colorado employers with 100 or more employees that were federal EEO-1 filers as of March 1, 2026, to submit EEO-1 demographic data to the Secretary of State beginning July 1, 2027. That applies even if the federal EEO-1 report is rescinded.

Given the EEOC proposal above, that last sentence is the one to underline. Covered employers should preserve their EEO-1 data collection processes regardless of the federal outcome, so the data is ready when state reporting begins.

Handbook impact: EEO reporting. Employers with 100 or more employees that file EEO-1: prepare the state demographic report.

See all Colorado employee handbook requirements.

Louisiana: definition of sex, expunged records and counter worker safety

HB 578: "sex" replaces "gender" in state law

Effective August 1, 2026, HB 578 replaces "gender" with "sex" throughout Louisiana statutes and defines sex based on biological sex observed at birth, including under the state employment discrimination law.

It imposes no new obligations on private employers, and federal Title VII protections for sexual orientation and gender identity are unchanged. So this isn't a reason to strip categories out of your EEO policy. And because the EEOC rescinded its 2024 harassment guidance in January 2026, look to Title VII and the case law interpreting it, not that guidance, when you review your EEO and anti-harassment language.

Handbook impact: EEO and accommodation policies. Review how your EEO policy describes Louisiana law.

SB 288: limits on expunged criminal records

Effective August 1, 2026, SB 288 prohibits private qualified entities from receiving expunged criminal history record information from the state. Employers that rely on state record sources for screening should make sure hiring and adverse action decisions don't rely on expunged history.

A practical first step: ask your background check provider how it sources Louisiana records. Then remind hiring managers that an expunged record they hear about informally doesn't belong in the decision either.

Handbook impact: Background checks and hiring. Update your background check steps.

Act 342: the Behind the Counter Protection Act

Effective August 1, 2026, Louisiana's Behind the Counter Protection Act (Act 342) creates enhanced criminal penalties for assault and battery against employees serving customers at points of transaction. It also allows employers to display state-issued deterrence signage.

Retail, food service and hospitality employers should consider updating workplace violence policies and incident reporting procedures. Cashiers, baristas and front desk staff should know exactly how to report an incident, who to tell and what happens next.

Handbook impact: Workplace safety policies. Update safety policies and training.

See all Louisiana employee handbook requirements.

What to update in your handbook for August 2026

Start by checking which updates apply to the states and cities where you have employees, including remote workers. Laws can be amended or delayed, so confirm the details with the linked official source or an employment attorney before you finalize a policy. Then work through the items that fit:

1. Travel time (federal): Review how you pay mid-day travel for hybrid employees and pre-drive work for field employees.
2. Form I-9 (federal): Update hiring and onboarding steps to the 01/20/25 edition, and confirm your electronic I-9 system matches.
3. Assistance animals (Colorado): Update EEO and accommodation policies, including individualized review for assistance animals in employee housing.
4. EEO reporting (Colorado): If you have 100 or more employees and file EEO-1, prepare the state demographic report.
5. EEO policy (Louisiana): Review EEO and accommodation policies in light of HB 578.
6. Background checks (Louisiana): Update background check steps so decisions don't rely on expunged history.
7. Workplace safety (Louisiana): Update safety policies, incident reporting and training for customer-facing staff.
8. Posters and notices: Replace required posters and send any required notices.
9. Everyone affected: Re-issue the updated handbook or an addendum, and collect signed employee handbook acknowledgment forms.

Dates to watch

• August 24, 2026: Public comments close on the EEOC's proposal to eliminate annual EEO-1 reporting.
• May 31, 2027: Expiration date for the 01/20/25 edition of Form I-9. Watch for USCIS updates before then.
• July 1, 2027: Covered Colorado employers begin submitting EEO-1 demographic data to the Secretary of State.

August 2026 employment law updates FAQs

What employment laws changed in August 2026?

Seven changes affected employers in August 2026. At the federal level, the DOL's July 22 opinion letters clarified travel time for hybrid and field employees, and only the 01/20/25 Form I-9 edition may be used starting August 1. Louisiana's HB 578, SB 288 and Act 342 took effect August 1, and Colorado's HB 26-1045 and HB 26-1207 took effect August 12.

What are the new FLSA overtime rules for 2026?

The federal salary threshold for overtime exemptions has not changed for 2026. The U.S. Department of Labor lists it as $684 a week ($35,568 a year) for the executive, administrative and professional exemptions, and $107,432 a year for highly compensated employees (DOL salary levels). Some states set higher thresholds, so check state law too.

What are the key New York employment law updates?

None of the seven August 2026 changes on this page are New York laws. The New York item to watch is the minimum wage: there's no increase on January 1, 2027, because an off-ramp was triggered. A bill from the Governor would raise it to $17.60 an hour in New York City, Long Island and Westchester and $16.55 in the rest of the state on March 1, 2027, if it passes (New York State minimum wage). For everything else, see New York employee handbook requirements.

Which Form I-9 edition do employers have to use?

Starting August 1, 2026, employers must use the 01/20/25 edition of Form I-9, which lists an expiration date of 05/31/2027. The prior 08/01/23 edition may no longer be used. If you use an electronic I-9 system, confirm it reflects the current edition.

Do you have to pay hybrid employees for mid-day travel?

Generally not for a mid-day trip between home and the office. The DOL's July 22, 2026 opinion letter treats that travel as noncompensable ordinary commuting. Field employees are different: client calls and scheduling work done before the drive can start the compensable workday.

Do Colorado employers have to file a state EEO-1 report?

Some do. Under HB 26-1207, Colorado employers with 100 or more employees that were federal EEO-1 filers as of March 1, 2026, must submit EEO-1 demographic data to the Secretary of State beginning July 1, 2027. That applies even if the federal EEO-1 report is rescinded.

Do you have to re-issue your whole handbook when the law changes?

Not always. For a few targeted changes, an addendum that replaces the affected policies can work, as long as employees receive it and sign an acknowledgment. If changes have piled up across several months or states, re-issuing the full handbook is usually cleaner.

How can Handbooks.io help you keep your handbook up to date?

A monthly roundup tells you what changed. Keeping up with it, month after month and state after state, is the hard part. Handbooks.io gives you a complete employee handbook with federal, state and local policies developed and reviewed by U.S. labor attorneys, including state-specific policies for every location where you have employees. It handles multi-state handbooks too, so a team like Priya's gets the right policies for both Colorado and Louisiana.

When the law changes, your federal, state and local policies get updated, and built-in e-signatures and acknowledgment tracking let you collect signatures on the new version without chasing paper. More than 25,000 companies trust Handbooks.io, and you can start for free with no credit card.

Already have a handbook? We can update your existing employee handbook, or our HR team can write a custom employee handbook for you. And if you're catching up, read our July 2026 employment law updates next.