Maryland Labor Laws: A Complete Guide to Wages, Breaks, Overtime, and More (2025)

Under federal law, employees are entitled to 12 weeks of unpaid leave for personal or family medical reasons.

In Maryland, starting July 1, 2026, a new paid family and medical leave system will allow workers to take up to 12 weeks of paid leave, with benefits of up to $1,000 per week. Payroll deductions to fund this benefit will begin on July 1, 2025.

Maryland’s Healthy Working Families Act mandates that employers with 15 or more employees must provide paid sick leave, accruing at the rate of 1 hour for every 30 hours worked.

Employers with fewer than 15 employees are required to provide unpaid sick leave.

Maryland law does not require employers to provide paid or unpaid vacation leave. However, employers can establish their own vacation leave policies according to company rules or contracts.

The federal Family and Medical Leave Act (FMLA) allows up to 12 weeks of unpaid leave for maternity and paternity purposes.

Maryland’s Parental Leave Act provides up to 6 weeks of unpaid leave for employers with 15 to 49 employees, specifically for the birth or adoption of a child.

Employers in Maryland are required to offer the same leave for adoption as they do for the birth of a child, ensuring equal treatment for adoptive parents.

While there is no state-mandated bereavement leave in Maryland, the Maryland Flexible Leave Act allows employees to use accrued leave to grieve the death of an immediate family member.

Maryland employers are required to provide unpaid leave for employees called to serve on jury duty. Employers are prohibited from penalizing employees for fulfilling their civic duty.

The federal Uniformed Services Employment and Reemployment Rights Act (USERRA) protects the employment rights of military members.

In Maryland, National Guard and Maryland Defense Force members are entitled to 15 days of paid leave for military training or deployment. Additionally, employers with 50 or more employees must provide leave to employees whose family members are deployed on active duty outside the United States.

Maryland law entitles employees to up to 2 hours of paid leave to vote if they do not have two consecutive off-duty hours while polls are open.

Employees, as well as their immediate family members, who are victims of domestic violence, sexual assault, or stalking, may take leave to receive medical attention, seek protective services, attend legal proceedings, or relocate temporarily for safety reasons.

State employees are entitled to up to 30 days of paid leave for organ donation and up to 7 days for bone marrow donation. Private sector employees are granted up to 60 days of unpaid leave for organ donation and 30 days for bone marrow donation.

State employees involved in emergency response organizations, such as the Civil Air Patrol or volunteer fire departments, can take up to 15 days of leave per year during emergencies declared by the Governor, provided they have the appropriate certification from their organization.

Montgomery County (as of July 1, 2024)

• 51 or more employees: $17.15/hour
• 11 to 50 employees: $15.50/hour
• 10 or fewer employees: $15/hour

Howard County (as of January 1, 2024)

• 15 or more employees: $15/hour (increases to $16/hour on 1/1/25).
• Less than 15 employees: $15.50/hour (effective 1/1/26), increases to $16/hour on 7/1/26.

In Maryland, apart from tipped employees, the following  workers can receive sub-minimum wages under specific conditions:

• Employees Under 20: Can be paid $4.25 per hour for the first 90 days of employment.
• Minors (16-17 years old): May be paid 85% of the minimum wage (currently $12.75 per hour).
• Full-Time Students: Can earn $10.63 per hour if they work no more than 20 hours per week.
• Workers with Disabilities: Eligible for sub-minimum wages under the Fair Labor Standards Act (FLSA).
• Student Learners: In vocational programs, they may receive sub-minimum wages.

These wage structures aim to support employment opportunities for young workers and those in training programs, while ensuring compliance with state and federal laws.

In Maryland, certain roles are exempt from overtime pay under state and federal laws. Key exemptions include:

• Executive Employees: Must earn at least $455 per week, manage an enterprise, supervise two or more employees, and participate in hiring/firing decisions.
• Administrative Employees: Earn at least $455 per week, perform non-manual tasks related to business operations, and exercise discretion in decision-making.
• Professional Employees: Require a minimum salary of $455 per week, typically perform duties requiring advanced knowledge (e.g., certified teachers, IT professionals).
• Outside Salespersons: Primarily engage in sales outside the employer’s business and are exempt from overtime.
• Commissioned Employees: Those earning commissions may be exempt from overtime.
• Agricultural Workers: Exempt from overtime until they work over 60 hours per week.
• Employees Over 62: Exempt if they work less than 25 hours per week.
• Volunteers: Exempt if working for charitable, educational, or religious organizations.
• Service Industry Workers: Employees in establishments like bowling alleys and hotels may be exempt if they work less than 48 hours per week.
• Trainees: Public school program trainees may also be exempt.

Employers must ensure proper classification based on duties and salary to avoid legal issues. Misclassification may lead to legal challenges.

Maryland is an “at-will” employment state, meaning employers or employees can terminate the employment relationship at any time, for any reason, except for illegal reasons. This offers flexibility but may create job insecurity for employees.

Maryland does not have right-to-work laws. In unionized workplaces, employees may be required to join a union or pay dues as a condition of employment, unlike right-to-work states.

Employers may conduct background checks compliant with the Fair Credit Reporting Act (FCRA). Drug testing is allowed, but policies must be clearly communicated and must consider medical marijuana accommodations for non-impaired employees.

Maryland law prohibits employment discrimination based on race, color, religion, sex, age, national origin, marital status, sexual orientation, gender identity, or disability. Complaints can be filed with the Maryland Commission on Civil Rights.