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North Dakota Employer HR Compliance Guide

North Dakota is a relatively employer-friendly state with a light compliance burden compared to many others. The state follows federal minimums on minimum wage and largely defers to federal law on leave and overtime, with few state-specific mandates layered on top. A notable 2025 legislative change (H.B. 1170) adds a new hire leave requirement for state employers beginning May 1, 2026.

Key Facts — North Dakota

Minimum Wage: North Dakota's minimum wage is $7.25/hour, matching the federal floor, with no scheduled state increases. The tipped minimum wage is $4.86/hour. There are no major local minimum wage variations in North Dakota.
Pay Transparency: No state pay transparency law. North Dakota does not require employers to disclose salary ranges in job postings, and there are no restrictions on asking about salary history during hiring. Employers retain full discretion over compensation disclosures.
Paid Family & Medical Leave: No state PFML program. North Dakota does not operate a paid family and medical leave program. Employees must rely on federal FMLA (unpaid) or any voluntary employer-provided benefits.

Priority Compliance Actions

1Verify your posted wages meet the $7.25/hour minimum and $4.86/hour tipped minimum, and update payroll if federal rates change.
2Confirm FMLA compliance if you have 50 or more employees, including proper designation notices and policy documentation.
3If you are a state employer, update leave policies before May 1, 2026 to provide the new 40-hour new hire leave entitlement per H.B. 1170.
4Establish a written new hire reporting process to submit required information to the North Dakota New Hire Reporting Center within 20 days of each hire.
5Review any non-compete agreements with employment counsel to ensure they are reasonable in scope and enforceable under North Dakota law.

Leave Laws

Federal FMLA applies to private employers with 50 or more employees, providing eligible workers up to 12 weeks of unpaid, job-protected leave. State employers mirror FMLA requirements and must also provide annual leave (1–2 days/month based on tenure) and sick leave (1–1.5 days/month) to non-contract employees. Beginning May 1, 2026, state employers must provide 40 hours of new hire leave usable within the first year of employment (H.B. 1170). There is no mandatory paid sick leave law applicable to private employers.

Wage & Hour

North Dakota follows federal overtime rules under the FLSA, requiring time-and-a-half for hours over 40 in a workweek; there is no additional state overtime law. Employers may deduct uniform costs from pay as long as wages do not fall below minimum wage for that pay period. Final paychecks must be issued by the next regular payday. North Dakota does not have a notable state expense reimbursement statute beyond federal FLSA requirements.

Worker Classification

North Dakota is an at-will employment state, allowing termination by either party for any lawful reason. Worker classification generally follows federal common-law and economic reality tests; there is no North Dakota-specific ABC test for independent contractors. Non-compete agreements are enforceable but must be reasonable in scope, duration, and geography; courts scrutinize overly broad restrictions.

Hiring & Onboarding

North Dakota has no statewide ban-the-box law for private employers and no salary history ban. Background checks are permitted with standard FCRA compliance. New hire reporting to the North Dakota New Hire Reporting Center is required within 20 days of hire. Drug testing is permitted but employers should maintain a written policy; North Dakota has no specific state drug testing statute imposing strict procedural requirements.

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