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Sunday, May 17, 2026

Marijuana reclassification: What are the most immediate employer impacts? - HR Executive

In a major policy shift last month, the Trump administration reclassified some forms of marijuana as less dangerous, significantly easing restrictions while creating new questions around compliance for employers.

The April order from Acting Attorney General Todd Blanche downgraded state-licensed medical marijuana and FDA-approved products containing marijuana from Schedule I—a drug category reserved for substances considered to have no medical use, like heroin and LSD—to Schedule III. While the order does not legalize the drug for recreational use or expand medical marijuana to any states where it is not currently legal, experts say the shift will bring significant tax benefits for manufacturers, and it is expected to fuel research on the drug, which could ultimately prompt more states to legalize marijuana for medical purposes.

The order does not specify potential workplace impacts, note Littler attorneys Nancy North Delogu and Jen Chierek Znosko in a post about the move.

“As a practical matter, however,” they write, “impacts may be substantial, at least in states with medical marijuana programs with broad application.”

Marijuana reclassification: ‘More questions than answers’

Specifically, they say, “many more individuals will be authorized to use marijuana for medical reasons in a manner that complies with federal law than do now”—to the tune of 6 million Americans, who have state-issued certifications from one of the 40 states where the drug is approved for medical...



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