Summary of August 2025 Labor Law Updates for Bozeman, Montana
Here is your monthly roundup of Montana labor & employment law developments for August 2025, aimed at employees, HR professionals, and compliance leaders. This summary by HKM Employment Attorneys covers recent court rulings, interpretations of statutes , and what these mean for the state’s workplaces.
These developments in August 2025 signal that Montana is expanding protections (leave laws), improving workforce development via its new initiative, and enhancing regulatory clarity in insurance and administrative deadlines. If you’re an employer in Montana, now is a good time to review and possibly update your leave policies, insurance-contracting practices, and compliance procedures. Employees and HR professionals alike should watch for implementing rules, notices, and guidance clarifying how these laws will operate in practice.
406 JOBS Initiative — Executive Order
Date: August 11, 2025
Summary:
Governor Greg Gianforte signed Executive Order 5-2025, establishing the 406 JOBS Initiative. The initiative is intended to align Montana’s workforce development with broader federal goals. It focuses on improving alignment in six high-demand sectors:
- health care
- construction
- hospitality and recreation
- advanced manufacturing and computing education
- child care
- financial and professional services
The framework under the EO calls for the Department of Labor and Industry’s State Workforce Innovation Board to implement strategies toward “four pathways to employment, zero barriers to work.”
Implications:
Employers in affected sectors may anticipate new training-program funding, partnership opportunities, or requirements to collaborate with state workforce programs. Workers may see expanded training, apprenticeship, or upskilling programs. HR / Talent acquisition teams should monitor implementation to understand how “zero barriers” may affect eligibility, funding, or program design.
Montana Expands Workplace Leave Protections — HB 667
Date: Early August 2025 (effective date per HB text; reported August 8, 2025)
Summary:
Montana passed House Bill 667, which amends state law concerning unpaid leave. Under the new law, employers must provide unpaid leave not to exceed 180 days per year to employees under certain conditions.
Implications:
Affects employers’ leave policies: they will need to revise or adopt leave policies that accommodate up to 180 days of unpaid leave per year under the qualifying conditions described in the legislation. Employees will benefit from greater predictability and broader protections when needing long-term unpaid leave (e.g., for medical, caregiving, or other qualifying circumstances). HR must ensure compliance (documentation, job protection, reinstatement rights, etc.) once the law’s full text and regulations are in effect.
Supreme Court Decision: Victory Ins. Co. v. State of Montana — Workers’ Compensation / Assignment & Cancellation
Date: August 12, 2025
Summary:
In Victory Insurance v. State of Montana (2025 MT 180), the Court addressed whether certain policy “assignments” could be used to mask or transform aspects of policy cancellations in workers’ compensation insurance. An insurer entered into a reinsurance agreement under which it sold its workers’ compensation policies to another insurer. The insurer claimed to have notified insured entities of this “sale,” but the Commissioner of Securities and Insurance alleged that the insurer had effectively cancelled the policies without proper legal basis. The Court held that casting or labeling actions as “assignments” does not necessarily prevent the entity from treating them as cancellations when appropriate under law. So, attempts to use assignments to avoid cancellation rules or regulatory scrutiny were rejected.
Implications:
Insurers must be careful: they cannot simply re-label or structure transfers/assignments of insurance products to evade regulatory obligations associated with cancellations. Employers depending on workers’ compensation coverage should ensure that assignments or transfers are legally sound and documented, and that insured parties are properly notified. The decision strengthens oversight and may expose insurers to penalties if they try to circumvent cancellation rules via reinsurance or assignment structures.
Montana MAR Notice 2025-29.1 — Appeals / Due Date Clarification
Date: August 22, 2025
Summary:
Notice “MAR Notice 2025-29.1” clarifies how Montana law handles due dates that fall on holidays or weekends, especially with respect to appeals. The notice cleans up ambiguity in statute language about when the deadline moves if the date is not a business day.
Implications:
For employers, employees, or any party with statutory timelines (e.g. for unemployment appeals, agency hearings, licensing actions, etc.), this notice affects how deadlines are calculated. HR / legal departments should check whether ongoing appeals or deadlines need adjustment under this clarification. Ensures fewer grounds for procedural dismissals based on misunderstanding of when a deadline truly “falls” when not on a business day.
Conclusion: Looking Back on Montana Labor Law Updates from August 2025
With Montana courts and legislature addressing a wide range of employment and labor issues, it’s more important than ever to have local legal support. At HKM Employment Attorneys in Bozeman, we represent employees in all industries, and at all employment levels, and we have the experience, the resources, and the skill to help you against any company, large or small. Our services include taking on Breach of Contract cases, a wide range of Discrimination cases, Non-compete clauses and more. We take great pride in our work and fighting against any company. Our Bozeman team is known for walking clients through sensitive investigations, negotiation, and litigation with compassion and clarity. If recent court decisions hit close to home, reach out to our Bozeman office to see how we can be your ally in the aftermath.
