In March 2026, a Connecticut bill was signed into law which sets new compliance standards for large warehouse employers that use production quotas and related metrics in assessing worker performance. Once the law goes into effect on July 1, 2026, Connecticut will become the sixth state in the country to have enacted such a law, joining California, Minnesota, New York, Oregon, and Washington. For large manufacturers, the new law will significantly impact how employee performance is tracked.
The law defines “employer” as any commercial entity that, at any time in the prior 12 months:
Notably, the employee headcount thresholds include workers who are employed indirectly, such as through a third-party employer or temporary staffing service or agency. Covered employees are those workers who are non-exempt from the minimum wage and overtime requirements of the Fair Labor Standards Act of 1938, as amended.
The law applies only to employers that operate “warehouse distribution centers,” which is defined as a warehouse or warehouse complex as contained within certain North American Industry Classification Systems Codes related to warehousing and storage, merchant wholesalers, e-commerce and mail-order merchants, couriers and delivery services, and warehouse retail establishments.
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