Summary of August 2025 Labor Law Updates for Charlotte, North Carolina
August 2025 in North Carolina saw important legal clarifications and enforcement activity: The Savage v. NCDOT ruling shifts how courts will review agency interpretations of state labor/statutory law, potentially affecting many pending or future disputes over employer/agency discipline or regulation. The State’s active wage recovery enforcement is substantial, showing both the prevalence of wage violations and the Dept. of Labor’s willingness to act across many sectors and counties. This update is brought to you by HKM Employment Attorneys — committed to keeping employees, HR professionals, and employers informed on North Carolina labor law.
Savage v. N.C. Department of Transportation — Court Ruling (Supreme Court of NC)
Date: August 22, 2025
Summary:
Thurman Crofton Savage, an employee with NCDOT, was terminated after recertifying school bus drivers without required ride-along observations. NCDOT asserted that this violated N.C. statute § 20-34.1, which makes it a felony to knowingly enter false information concerning a driver’s license or special identification card, and the statute mandates dismissal if violated. Savage argued that the statute did not apply to school bus driver certificates (distinct from driver’s licenses), and further that courts should not defer to state agencies’ interpretations of the law. The North Carolina Supreme Court held that § 20-34.1 does not apply to false information relating to school bus driver certificates, as those are separate from the “driver’s license” or “special identification card” covered by the statute. Importantly, the Court also clarified that courts must apply de novo review when interpreting state statutes, rejecting earlier practice of deferring to agency interpretations of statutes (i.e. rejecting any implied “agency deference” standard).
Implications:
State employees and employers should recognize that statutory interpretation will now be examined independently by courts without giving controlling weight to agency interpretations. Agencies’ interpretation still may be considered, but not binding. For employees whose terminations or disciplinary actions were justified solely on agency interpretations of statutes, this opens possible challenges. For employers and state agencies, internal policies and disciplinary practices will need to ensure that the legal basis for actions doesn’t rely on overbroad or overly generous interpretations of statutes that wouldn’t stand under de novo review.
NC Department of Labor Wage Recoveries & Complaint Breakdown — Agency Action / Enforcement
Date: August 13, 2025
Summary:
The NCDOL announced that over the fiscal year (July 2024-June 2025), it had recovered more than $2.5 million in unpaid wages for workers across North Carolina. These recoveries arose from over 1,600 complaints, across 87 counties and 31 industries, including retail, restaurants/eating establishments, construction, medical, and transportation. The announcement included a detailed breakdown: Wake County had 270 complaints and the largest recovered amount (~$787,000), Mecklenburg second, etc.
Implications:
This demonstrates active enforcement of wage & hour laws in NC; workers across many counties are finding recourse. Employers in industries with frequent complaints should audit their wage, paycheck, and overtime practices to ensure compliance. For HR departments, this signals that NCDOL is paying attention not just to large employers or certain sectors – many smaller, more dispersed complaints are being investigated and addressed.
Conclusion: Looking Back on North Carolina Labor Law Updates from August 2025
With North Carolina courts increasingly addressing discrimination, breach of contract, unpaid wages, and retaliatory employer conduct, having a dedicated employment lawyer in Charlotte is more critical than ever. At HKM Employment Attorneys in Charlotte, our all-plaintiff team—including managing partner Sunny Panyanouvong‑Rubeck and experienced litigator Taylor Adams—specializes in representing employees on issues from non-competes and harassment to wage and hour disputes with zero upfront fees . We bring trial-tested advocacy, local insight, and a no‑fee‑unless‑we‑win promise to every case. If recent court rulings in the Charlotte area have you reviewing your rights at work, reach out to our Charlotte office and let us help you take action.
