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Compliance & Risk 3 min read 25 February 2026

Virginia labor law guide: Key considerations for employers (2026)

Author: Marketing Team

Virginia labor law guide: Key considerations for employers (2026)

Virginia’s labor framework combines federal employment standards with a growing set of state-specific protections. While the state has traditionally favored limited regulation, recent legislative updates have expanded employee safeguards, particularly around wage transparency, anti-retaliation measures, worker classification, and final wage payments.

For organizations relocating or onboarding employees in Virginia, staying informed about these requirements helps support smooth transitions and consistent compliance practices.

Minimum wage in Virginia

Virginia operates under a state-level minimum wage, rather than relying solely on the federal rate.

Virginia Minimum Wage (2025) is $12.77 per hour. 

The rate is scheduled to increase to $15.00 per hour, subject to legislative and budget approval.

  • Applies to most employees unless exempt under the federal Fair Labor Standards Act (FLSA)
  • Tipped employees must receive at least the full minimum wage when tips are included

    Virginia labor law guide

Meal and rest breaks

Virginia does not mandate meal or rest breaks for adult employees.

However, Minors under the age of 16 must receive a 30-minute meal break after working five consecutive hours

Many employers choose to offer breaks voluntarily as part of workplace wellness and safety practices.

Overtime requirements

Virginia follows federal FLSA overtime standards. Overtime pay is required at 1.5 times the regular rate for hours worked over 40 in a workweek.

Exemptions align with federal classifications, including executive, administrative, professional, outside sales, and highly compensated employees.

Paid sick leave

Virginia does not currently require statewide paid sick leave. Exceptions include Certain home health workers, who are entitled to paid sick leave.

Many employers offer paid time off through internal policies or benefit programs.

Final paycheck requirements

Virginia has clear guidelines on final wage payments:

  • Final pay must be issued by the next regular payday following separation
  • All earned wages must be included, including commissions when they are calculable

Employers may not withhold final wages for unreturned equipment unless the employee has provided written authorization.

Termination and at-will employment

Virginia is an at-will employment state, allowing either party to end employment at any time.

Employers are still expected to comply with:

  • Anti-retaliation requirements
  • Anti-discrimination protections under the Virginia Human Rights Act
  • Whistleblower safeguards
  • Wage payment and recordkeeping standards

Written termination notices are not required, though accurate wage documentation remains essential.

Independent contractor classification

Virginia places strong emphasis on proper worker classification.

Key considerations:

  • Workers are generally presumed to be employees unless the employer can demonstrate independent contractor status using IRS guidelines

Potential outcomes of misclassification may include:

  • Civil penalties
  • Contracting restrictions with the state
  • Liability for unpaid wages and tax obligations

Employees cannot be required to waive statutory rights through signed agreements.

Workers’ compensation coverage

Most Virginia employers with three or more employees are required to carry workers’ compensation insurance.

Coverage typically includes:

  • Workplace injuries
  • Occupational illnesses
  • Medical expenses
  • Lost wage benefits

When structuring compensation for international assignees, organisations should consider  compliance across jurisdictions by aligning salary frameworks with the prevailing wage requirements of the worksite location, rather than relying on home country or headquarters benchmarks. 

Our MOVEPLUS™ Platform centralizes mobility information, documents decisions, and supports coordination with specialist legal, tax, and immigration partners as requirements change by location and move type. 

Marketing Team

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