Overview of Hiring Laws in Mississippi

Mississippi employment laws largely align with federal standards while maintaining a unique regulatory environment characterized by minimal state-level anti-discrimination protections combined with pending minimum wage legislation that could transform the state’s wage landscape. The state’s Mississippi Department of Employment Security (MDES), Mississippi Department of Human Services, and the Equal Employment Opportunity Commission (EEOC) oversee most employment standards, including wage and hour rules, new hire reporting, and workplace safety.

One of the most notable aspects of Mississippi employment law is the absence of a comprehensive state anti-discrimination statute—unlike most U.S. states, Mississippi relies primarily on federal law for employment discrimination protections. Additionally, three pending bills (SB2440, SB2441, and HB1550) would establish Mississippi’s first independent state minimum wage, marking a dramatic shift from the state’s current reliance on the federal minimum wage since 2009.

These rules reflect Mississippi’s conservative regulatory approach combined with pending transformational changes to the state’s minimum wage landscape.

Mississippi Hiring Laws

Anti-Discrimination and Equal Opportunity Laws

• Important distinction: Unlike most U.S. states, Mississippi does not have a comprehensive state anti-discrimination statute. Instead, Mississippi relies primarily on federal employment discrimination laws. The state has only limited employment-related protections: the Mississippi Equal Pay for Equal Work Act (effective July 1, 2022, protecting against sex-based pay discrimination for employers with 5+ employees) and protections for public employees and breastfeeding mothers.
• Federal law applies by default: Employees in Mississippi receive anti-discrimination protections through federal law:
  • Title VII of the Civil Rights Act of 1964: Prohibits discrimination based on race, color, religion, sex (including pregnancy, sexual orientation, and gender identity under Bostock v. Clayton County), or national origin. Applies to employers with 15+ employees.
  • Age Discrimination in Employment Act (ADEA): Prohibits discrimination based on age (40+). Applies to employers with 20+ employees.
  • Americans with Disabilities Act (ADA): Prohibits discrimination based on disability. Applies to employers with 15+ employees.
  • Genetic Information Nondiscrimination Act (GINA): Prohibits discrimination based on genetic information. Applies to employers with 15+ employees.
  • Equal Pay Act: Requires equal pay for substantially equal work regardless of sex. Applies to employers with 15+ employees.
• No state agency for discrimination enforcement: Mississippi does not have a state employment discrimination agency. Employees must file complaints directly with the EEOC’s Jackson Area Office at (601) 965-4537.

Why no comprehensive state law?

Mississippi has determined that federal employment laws provide adequate protection and has not enacted independent state-level anti-discrimination statutes, reflecting a conservative regulatory philosophy.

Pay Equity and Minimum Wage

• Current minimum wage: Mississippi’s minimum wage is $7.25 per hour, matching the federal minimum wage. The state has maintained this rate since July 24, 2009—16 years with no increase. Mississippi is one of only five states without an independent state minimum wage.
• Transformational pending legislation: Three bills introduced in the 2025 Mississippi Legislature would establish the state’s first independent minimum wage.
   SB2440 and SB2441 propose:
  • $8.50-$9.00 per hour effective July 1, 2025
  • $9.50-$10.00 per hour in 2026
  • $10.50-$11.00 per hour in 2027
  • Annual CPI-U adjustments thereafter
  • Elimination of separate youth training wage
  • Both bills would authorize municipalities and counties to mandate local minimum wages higher than the state rate

           HB1550 proposes:

• • Exemption for tipped employees (they can be paid $2.13)
  • $8.50 per hour minimum wage for all employers (public and private)
  • No annual adjustments; static rate unless legislatively changed
  • Preempts local

• Tipped employees (current law): The minimum cash wage for tipped employees is $2.13 per hour. Employers may take a tip credit of up to $5.12 per hour if tips, combined with the base wage, reach at least $7.25 per hour. Employers must ensure tipped workers always earn at least the minimum wage.
• Youth/Training wages (current law):
  • Training wage (workers under 20): $4.25 per hour for their first 90 consecutive calendar days of employment.
  • Workers with disabilities: Employers may pay subminimum wages with U.S. Department of Labor certification.
• Overtime: Mississippi follows federal Fair Labor Standards Act standards—overtime is due at 1.5 times the regular rate for hours worked over 40 per week.
• Exempt employee salary threshold: As of January 1, 2025, the federal salary threshold for exempt employees is $58,656 per year, adjusted every three years thereafter.

Mississippi follows federal equal pay requirements. The Mississippi Equal Pay for Equal Work Act (effective July 1, 2022) provides additional state protection against sex-based pay discrimination for employers with 5+ employees.

Background Checks and Criminal History Rules

Mississippi does not have a statewide ban-the-box law for private employers. Employers may inquire about an applicant’s criminal history at any point during the hiring process. However, expunged or sealed records require special handling—if an applicant’s criminal record has been expunged or sealed, the applicant may truthfully state that the conviction did not occur.

When using third-party background screening services, the Fair Credit Reporting Act (FCRA) applies. Employers must obtain written consent before running a background check and provide adverse action notices if denying employment.

I-9 and Employment Eligibility Requirements

Like all U.S. states, Mississippi employers are required to verify the identity and employment eligibility of new hires using Form I-9. The employee must complete Section 1 by their first day of employment. Employers must complete Section 2 within three business days of hire. Forms must be retained for three years after hire or one year after termination, whichever is later.

• E-Verify: Unlike some states, Mississippi does not require private employers to use the federal E-Verify system, though employers may voluntarily use it.

State-Specific Hiring Rules

Mississippi enforces additional hiring-related requirements that employers should be aware of:

Penalties for Non-Compliance in Mississippi

Mississippi takes non-compliance seriously. Employers who fail to follow federal and state hiring laws can face significant financial and legal consequences.

• Wage and Hour Violations: Employers who violate minimum wage, overtime, and wage payment laws are subject to penalties enforced by the U.S. Department of Labor. Violations can result in back wages, liquidated damages (double the unpaid wages), and attorney fees.
• Discrimination Violations: Since Mississippi has no state anti-discrimination agency, employees must file complaints with the federal EEOC’s Jackson Area Office at (601) 965-4537. If discrimination is found, remedies include back pay, compensatory damages, front pay, and attorney fees. To preserve claims, employees must file within 180 or 300 days depending on the specific statute.
• Employee Lawsuits: Employees can file complaints with the EEOC or pursue civil lawsuits for discrimination or retaliation (using federal law).
• FCRA Violations: Improper background check procedures can result in fines of $1,000+ per applicant, with significantly higher exposure in class-action lawsuits.
• Form I-9 Violations: USCIS fines can range from $281 to $2,789 per form for paperwork errors, and $678 to $27,894 per violation for knowingly hiring unauthorized workers (as of 2025).
• New Hire Reporting Non-Compliance: Employers who fail to report or file false reports face civil penalties of up to $25 per case; up to $500 if the failure results from a conspiracy between employer and employee.

Notice and Documentation HR Professionals Need to Know

HR professionals must maintain the following key documents to stay compliant:

• Completed Form I-9s for All New Hires- Federal law requires all employers to verify an employee’s identity and eligibility to work in the U.S. via Form I-9. These forms must be completed within three business days of hire and stored securely for the required retention period: either three years after the hire date or one year after termination, whichever is later. For additional guidance, consult the USCIS I-9 Handbook.
• New Hire Reporting to Mississippi State Directory of New Hires- All new hires and rehires must be reported to the Mississippi State Directory of New Hires within 15 days of their hire date (stricter than federal 20-day requirement). Submit Form W-4 or equivalent online, by mail, or by fax to (601) 359-4885. Reports should include the employee’s name, address, Social Security number, date of birth, and employer’s FEIN. Employers hired within the past 180 days should be reported immediately upon starting this reporting process.
• Background Check Documentation- Employers must retain written consent forms, background check reports, and copies of any adverse action notices provided to applicants. These records should be kept for at least one year and demonstrate compliance with FCRA requirements.
• Retention of Job Applications and Interview Notes- Mississippi employers are advised to retain job applications, interview notes, and hiring records for a minimum of two years. This documentation can be critical if hiring decisions are later questioned.
• Wage and Hour Records- Employers must maintain accurate records of hours worked, wages paid, and deductions for each employee. Records should be kept for at least three years and made available during audits or investigations by the U.S. Department of Labor.
• Posters and Workplace Notices- Certain notices must be displayed prominently in the workplace, including those covering minimum wage, workers’ compensation, unemployment insurance, occupational safety, and employee rights. HR should routinely verify that all federal posters are up-to-date and clearly visible to employees.