Overview of Hiring Laws in North Dakota

North Dakota employment laws combine state-level standards with federal protections, creating a clear framework for employers. The state’s minimum wage of $7.25 per hour matches the federal rate and has remained unchanged since 2009. The North Dakota Department of Labor and Human Rights (ND DOLHR), along with federal agencies like the Equal Employment Opportunity Commission (EEOC), oversees employment standards including wage and hour rules, anti-discrimination protections, new hire reporting, and workplace safety.

One of the most notable aspects of North Dakota employment law is its comprehensive anti-discrimination protections that cover employers of all sizes—even sole proprietors with just one employee must comply with the North Dakota Human Rights Act. This is among the broadest coverage in the nation, as most states require a minimum number of employees before anti-discrimination laws apply. Additionally, North Dakota’s unique meal break requirement mandates 30-minute breaks only when two or more employees are on duty—single-employee workplaces are exempt from this requirement.

These rules reflect North Dakota’s balanced approach, combining minimal state-level meal break regulation with comprehensive anti-discrimination protections and federal wage standards.

North Dakota Hiring Laws

Anti-Discrimination and Equal Opportunity Laws

The North Dakota Human Rights Act, codified in North Dakota Century Code Chapter 14-02.4, prohibits discrimination in employment based on race, color, religion, sex (including pregnancy), national origin, age (40 and older), disability, marital status, receipt of public assistance, and participation in lawful off-duty activities that do not conflict with essential business interests.

• Unprecedented breadth of coverage: The North Dakota Human Rights Act applies to all employers of any size—making North Dakota one of only a handful of states where even sole proprietors with one employee must comply with state anti-discrimination laws. This is significantly broader than federal Title VII of the Civil Rights Act of 1964, which requires 15 employees, or the federal Age Discrimination in Employment Act (ADEA), which requires 20 employees. Why does North Dakota have such broad coverage? The state legislature determined that workers in even the smallest businesses deserve protection from discrimination, ensuring that employees cannot be denied opportunities based on protected characteristics regardless of their employer’s size.
• Sexual orientation and gender identity: While not explicitly listed as protected classes under North Dakota state law, federal protections apply. The U.S. Supreme Court decision in Bostock v. Clayton County (June 2020) extended Title VII sex-based discrimination protections to include sexual orientation and gender identity for employers with 15+ employees under federal law.
• Unique protection for lawful off-duty activities: North Dakota law specifically prohibits discrimination based on participation in lawful activities off the employer’s premises during non-working hours, as long as these activities don’t conflict with essential business interests. This protects employees who engage in legal activities like smoking, drinking alcohol, or other lawful conduct outside of work, provided there is no direct conflict with job responsibilities.
• Retaliation protections: The Human Rights Act prohibits retaliation against employees for filing discrimination complaints, participating in investigations, or opposing discriminatory practices. This protection extends to employees in all workplaces, regardless of size.

Employers are required to maintain written policies addressing non-discrimination. Employers must provide reasonable accommodations for individuals with disabilities and pregnancy-related conditions unless it causes undue hardship.

Pay Equity and Minimum Wage

• State minimum wage: North Dakota’s minimum wage is $7.25 per hour, matching the federal rate and unchanged since 2009. This rate applies uniformly across all cities and counties in North Dakota—there are no local ordinances setting higher minimum wages, making compliance straightforward for multi-location employers.
• Why hasn’t North Dakota’s minimum wage changed?Unlike some states with automatic cost-of-living adjustments, North Dakota’s minimum wage can only be changed through legislative action. While proposals to increase the minimum wage to $9.00 or higher have been introduced, none have passed as of 2025. Any future increases would require approval from the North Dakota Legislature.
• Tipped employees: The minimum cash wage for tipped employees is $4.86 per hour (33% of the standard minimum wage). Employers may take a tip credit of up to $2.39 per hour if tips, combined with the base wage, reach at least $7.25 per hour. If an employee’s tips fall short, employers must make up the difference. Employers must inform tipped employees in advance that they will be paid the tipped wage rate.
• Unique tip pooling restrictions: Unlike most states, North Dakota prohibits employers (except certain gaming organizations) from requiring employees to participate in tip pooling or tip sharing arrangements. However, tipped employees may voluntarily agree to participate in a tip pool if 50% plus one of all tipped employees vote in favor. Employers must maintain written records of each vote, including employee names and vote totals. This protection ensures employees retain control over their tip earnings.
• Youth/Training wage: Employers may pay $4.25 per hour to workers under age 20 during their first 90 consecutive calendar days of employment, following federal standards.
• Student learners: Employers with a license from the North Dakota Department of Labor may pay student learners enrolled in career and technical education programs 85% of the minimum wage ($6.16 per hour). This applies to full-time students working part-time in approved programs.
• Overtime: North Dakota follows federal FLSA standards—overtime is due at 1.5 times the regular rate for hours worked over 40 per week. There are no daily overtime requirements in North Dakota.
• Exempt employee salary threshold: As of January 1, 2025, the federal salary threshold for exempt employees under the FLSA is $844 per week ($43,888 annually), adjusted periodically by the U.S. Department of Labor.
• Equal pay requirements: North Dakota law prohibits employers from paying different rates to members of different protected classes for equal work requiring comparable skill, effort, and responsibility. Employers should retain records demonstrating the basis for any wage differences between employees performing substantially equal work.

Background Checks and Criminal History Rules

• North Dakota’s unique ban-the-box law: North Dakota enacted a ban-the-box law in 2019 (N.D. Century Code § 12.1-33-05.1) that applies to public sector employers. Under this law, public employers cannot ask about an applicant’s criminal history on the initial job application. Employers may inquire about criminal history only after the candidate has been selected for an interview or receives a conditional job offer.
• Private employers: The ban-the-box law does not apply to private employers in North Dakota. Private employers may ask about criminal history at any point during the hiring process. However, employers should follow EEOC guidance on using criminal records fairly, considering factors like the nature of the offense, time elapsed since the conviction, and relevance to the job.
• Exceptions to ban-the-box: The ban-the-box restrictions do not apply if federal, state, or local law prohibits hiring an individual with a specific conviction for a particular job. Employers hiring for these positions may ask about criminal history earlier in the process but must be prepared to justify the business necessity.
• Sealed and expunged records: Applicants with expunged or sealed criminal records may legally state that the conviction did not occur. Employers cannot access or inquire about sealed records. Under North Dakota law, misdemeanor convictions can be sealed after three years, and felony convictions after five years, provided the individual has not committed new crimes and the original conviction was not for serious violent or sex crimes.
  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 based on background check results. The FCRA limits reporting of non-conviction records (arrests without convictions) to seven years, though criminal convictions can be reported indefinitely unless sealed or expunged.
• I-9 and Employment Eligibility Requirements: Like all U.S. states, North Dakota 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, examining original documents from List A or a combination of List B and List C. Forms must be retained for three years after hire or one year after termination, whichever is later.
• Penalties for non-compliance: As of 2025, USCIS fines range from $281 to $2,789 per form for paperwork errors, and $678 to $27,894 per violation for knowingly hiring unauthorized workers.

State-Specific Hiring Rules

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

Penalties for Non-Compliance in North Dakota

North Dakota 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 civil penalties. Violations can result in back wages, liquidated damages (double the unpaid wages), and attorney fees. If an employer fails to provide a final paycheck on time, the employee is entitled to collect wages for each day of delay, up to 30 days’ additional wages. Complaints should be filed with the North Dakota Department of Labor and Human Rights at (701) 328-2660 or labor@nd.gov.
• Discrimination Violations: The North Dakota Human Rights Act provides comprehensive remedies for discrimination. If discrimination is found, remedies include reinstatement, back pay, compensatory damages (including emotional distress), front pay, and attorney fees. North Dakota law does not cap compensatory damages, potentially resulting in substantial awards.
• Filing timeline: Employees should file discrimination complaints with the North Dakota Department of Labor and Human Rights or federal EEOC within 300 days of the alleged discriminatory act. The agencies have a work-sharing agreement, so filing with one automatically cross-files with the other if requested.
• FCRA Violations: Improper background check procedures can result in fines of $1,000+ per applicant, with significantly higher exposure in class-action lawsuits. Employers must follow the adverse action process, including providing pre-adverse action notices, giving applicants time to dispute information, and issuing final adverse action notices.
• Form I-9 Violations: As of 2025, USCIS fines range from $281 to $2,789 per form for paperwork errors (missing signatures, incomplete fields, failure to timely complete Section 2), and $678 to $27,894 per violation for knowingly hiring unauthorized workers. Repeated violations result in higher penalties.
• New Hire Reporting Non-Compliance: Employers who fail to report new hires within 20 days face civil penalties. Intentional failure to comply is a petty offense with penalties of $25 per violation. If there is a conspiracy between employer and employee to avoid reporting, penalties may reach $500 per newly hired employee.
• Child Labor Violations: Under N.D. Century Code Chapter 34-07, employers found guilty of child labor violations face civil penalties including fines of up to $10,000 per infraction. In severe or repeated cases, criminal penalties apply—employers can be charged with a Class B misdemeanor, carrying additional fines and potential imprisonment of up to 30 days.
• Retaliation and Whistleblower Violations: Employers who retaliate against employees for reporting violations, filing discrimination complaints, or exercising protected rights under N.D. Cent. Code § 34-01-20 may face misdemeanor charges, reinstatement orders, back pay awards, and compensatory damages.

Notice and Documentation HR Professionals Need to Know

• Completed Form I-9s for All New Hires- Federal law requires all employers to verify an employee’s identity and eligibility to work via Form I-9. For additional guidance, consult the USCIS I-9 Handbook.
• New Hire Reporting to North Dakota- Report to the North Dakota New Hire Reporting Center within 20 days. Phone: (800) 755-8530. Reports should include employee name, address, Social Security number, start date, and employer FEIN. Electronic reporting is required; employers may request a waiver for paper reporting if electronic submission causes difficulty.
• Posters and Workplace Notices- Display required federal and state labor law posters prominently in the workplace. Free posters are available at nd.gov/labor/education-and-other-resources. The “ND Minimum Wage & Work Conditions Summary Poster” is an excellent resource summarizing state law.