Summary of September 2025 Labor Law Updates for Bozeman, Montana
Here’s your monthly roundup of labor and employment law developments in Montana (Sept. 2025), geared toward employees, HR teams, and employers. This is brought to you by HKM Employment Attorneys Bozeman.
Montana’s legislative and administrative activity in 2025 has ushered in meaningful changes for employment compliance, leave law, workers’ compensation, and enforcement tools. If your organization operates in Montana—or you represent workers there—and you want help assessing impact or ensuring compliance, please contact HKM Employment Attorneys (https://hkm.com).
Montanans at Work Statewide Tour — DLI Initiative / Administrative Update
Date: September 17, 2025
Summary:
The Montana Department of Labor & Industry (DLI) launched its Montanans at Work statewide tour, spotlighting a range of state workforce programs. The tour includes overviews of:
- Occupational licensing changes
- New registered apprenticeship pathways
- Implementation of the STARS Act (support for students to earn industry credentials in high school)
- The newly established Office of Reentry Programs
- Changes to workers’ compensation and unemployment insurance frameworks
Implications:
Employers and HR professionals should monitor these evolving state programs — especially apprenticeship expansions and licensing shifts — as they may influence recruitment, training, and compliance obligations in coming quarters.
Other Relevant Legislative & Policy Developments (Effective or in Motion)
While these items did not all originate in September, they remain highly relevant for Montana employers and should be on your radar in late 2025.
Legal Employment & Government Accountability Act (House Bill 226)
Effective Date: July 1, 2025
Summary:
Montana’s new “LEGAL Act” authorizes the DLI to conduct employer audits and investigations — both randomly and in response to complaints — to ensure compliance with work authorization rules (i.e., verifying lawful employee status).
Implications:
Employers need stronger processes to verify and document work eligibility (I-9 and related records). The state now has enhanced enforcement teeth. HR teams should ensure that audit readiness and internal compliance reviews are prioritized.
House Bill 667 — Expanded Unpaid Leave
Date Passed / Reported: August 2025 (practical relevance continuing through September)
Summary:
The new law requires Montana employers to allow eligible employees to take up to 180 days of unpaid leave in a calendar year under qualifying circumstances (e.g., serious health conditions or caregiving) under state statute.
Implications:
Employers must review and update leave policies. HR should determine eligibility criteria, notice requirements, and how this new leave interacts with FMLA (if applicable). Communication with employees is key to avoid disputes.
SB 394 — Workers’ Compensation & PTSD for First Responders
Effective Date: July 1, 2025
Summary:
This statute expands Montana’s workers’ compensation regime so that first responders (firefighters, law enforcement, emergency care providers) may file claims for post-traumatic stress disorder (PTSD), provided it arises in the scope of employment and meets DSM diagnostic criteria.
Implications:
First responder employers (public safety agencies, ambulance services, police departments) should revise WC protocols to account for mental health claims. Proper training, claims processing, and communication are critical. Employers outside that class should nonetheless monitor whether analogous expansions occur.
HB 128 — Protection for Volunteer Emergency Responders
Effective Date: October 1, 2025
Summary:
Under HB 128, employees who serve as volunteer emergency service providers (for example, volunteer firefighters) are protected from termination for absences associated with emergency service obligations.
Implications:
This change will soon impose a new duty on employers to accommodate volunteer service obligations. Employers should begin drafting or adjusting policies ahead of the October 1 effective date to ensure compliance, including scheduling accommodations and leave allowances.
HB 702 — Anti-Discrimination Based on Vaccination Status
Date Enacted / Poster Update: HB 702 prohibits discrimination in Montana on the basis of vaccination status or possession of an immunity passport.
Implications:
Employers must ensure that hiring, termination, or other adverse actions are not based on a person’s vaccination status (or lack thereof). Although not strictly “employment law,” the statute touches employer policies involving health or safety mandates.
Observations & Advice Going into Q4 2025
Many of the state’s newer laws (LEGAL Act, expanded leave rights, vaccination status protections) place fresh compliance burdens on employers. Invest now in policy audits, training, and documentation protocols.
The DLI’s audit authority under the LEGAL Act could bring increased scrutiny — being proactive is essential.
Interactions among state laws and federal regimes (e.g. FMLA, ADA, I-9) will need careful navigation.
Watch for further administrative rules or DLI guidance to flesh out implementation details.
Conclusion: Looking Back on Montana Labor Law Updates from September 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.
