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The first session of the 132nd Maine Legislature has commenced and as usual, a number of proposed laws could have an impact on Maine businesses if passed.
While things in the Legislature are still very much in flux and additional bills are likely to emerge as the session progresses and the proposed text is fully drafted, several bills currently in circulation may be of interest to Maine’s business owners, investors, and workers alike.
Worker protections are a notable theme among bills proposed this session. LD 61 seeks to regulate “employer surveillance” including outright prohibiting the use of “audiovisual monitoring” of employees by employers when the employee is working from home. A federal statute, the Electronic Communications Privacy Act (“ECPA”) of 1986, already exists and sets some restrictions on workplace surveillance of electronic communications, but a handful of other states have implemented their own laws to expand on these workplace privacy protections. Note that the bill excludes some practices and devices used for safety and security purposes.
In another bill that could affect the workplace, LD 60, “An Act to Allow Employees to Request Flexible Work Schedules,” would require employers to consider employee requests to work partially or completely at a location other than the place of employment or to work hours different than those typically expected for that position. The bill ultimately remains quite employer friendly, as employers are not required to approve such requests if it is “inconsistent with employer operations.” The bill lists a number of situations in which a flexible work schedule would not be consistent with employer operations, including additional cost to the employer, insufficiency of work, and detrimental effect on aggregate employee morale. Employers are not limited to these grounds to deny employee requests.
A number of states have recently enacted bills aimed at addressing gender and racial pay gaps by encouraging salary transparency. Following this trend, LD 54 would require employers to include a “prospective range of pay” in their job postings. It would also require employers to disclose to employees, upon request, the “range of pay the employer offers for the position the employee holds.” Businesses with less than 10 employees would not be subject to these requirements.
Aside from bills aimed at adding worker protections, there is one other bill that could be particularly of interest to Maine businesses. Maine’s Seed Capital Tax Credit Program encourages equity investments in Maine businesses, directly and through private venture capital funds. The program provides financial incentives for investors by issuing tax credits for such investments. But there are caps to the amount of credits the Finance Authority of Maine may issue. LD 125 would increase the seed capital tax credit cap from $5 million to $10 million for investments made in calendar years beginning with 2027.
While these proposed legislative changes may not drastically alter the landscape for most businesses in Maine, they are worth watching. Many of the bills reflect ongoing shifts in workplace culture and broader economic trends, such as the evolving nature of remote work and the growing emphasis on pay transparency.
These bills signal the Legislature’s attention to these issues, and business owners and investors should stay informed as these proposals move forward to ensure they are prepared for any changes that may arise.
Kristin Hebert-Grande is an associate with Murray Plumb & Murray's business and corporate law group. She can be reached at kgrande@mpmlaw.com.
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