Iowa employment law overview

Iowa has laws that provide greater protections to employees than federal law, including broader antidiscrimination protections and health care continuation coverage obligations for smaller employers, but generally follows federal law with respect to topics such as the minimum wage and occupational safety and health. 

Select Iowa employment requirements are summarized below to help an employer understand the range of employment laws affecting the employer-employee relationship in the state. An employer must comply with federal, state, and local law. Where there is overlap, complying with the law that offers the greatest rights or benefits to the employee will generally apply. 

Equal Employment Opportunity (EEO) and worker protections 

Iowa employers may be required to comply with requirements related to EEO and worker protections.   

Fair employment practices 

The Iowa Civil Rights Act (ICRA) prohibits certain employers from discriminating on the basis of protected characteristics, such as: 

• Race; 
• Creed; 
• Color; 
• Sex; 
• Pregnancy; 
• Religion; 
• Age (18 years and older); 
• National origin; 
• Sexual orientation; and 
• Disability. 

Harassment is a form of illegal discrimination and is prohibited under the ICRA. 

An employer may not retaliate against an individual who has: 

• Lawfully opposed a practice prohibited by the ICRA; 
• Followed the provisions of the ICRA; 
• Filed a complaint under the ICRA; or 
• Testified or assisted in any proceeding under the ICRA. 

Under the Non-English Speaking Employees Act, if an employer has 100 or more employees and more than 10 percent of the employees are non-English speaking and speak the same language, then the employer must provide an interpreter at the work site during any shift the employees are working. The employer must also employ an individual whose primary responsibility is to serve as a referral agent to community services. 

Equal pay 

The Iowa Civil Rights Act (ICRA) prohibits pay discrimination between employees within the same establishment performing equal work on jobs requiring equal skill, effort and responsibility and that are performed under similar working conditions.   

Pay transparency  

Iowa does not have a pay transparency law applicable to private employers.   

Salary history inquiry restrictions 

Iowa does not restrict an employer from inquiring into or relying upon an applicant’s salary history. 

Employee wage disclosure rights 

Iowa does not have a wage disclosure law applicable to private employers. 

Pregnancy accommodation 

Iowa does not have requirements for private employers related to pregnancy accommodation. 

Breastfeeding breaks 

Iowa does not have requirements for private employers related to breastfeeding breaks. 

Access to personnel files 

Employees may access and obtain a copy of their personnel records, including performance evaluations and disciplinary records, but not employment references. The employer may have a representative present and may charge a reasonable copying fee. The employer and employee must agree on the time the employee may access the records. 

Whistleblower protections 

Iowa does not have a whistleblower law applicable to private employers. 

Scheduling 

Iowa does not have a state scheduling law applicable to private employers. 

Recruiting and hiring 

Iowa employers may be required to comply with requirements related to recruiting and hiring.   

Credit checks 

Iowa does not have requirements for private employers related to credit checks. 

Ban the Box and Fair Chance 

Iowa does not have a ban the box, fair chance or similar law that restricts an employer’s ability to inquire into or rely on an applicant’s criminal history in making an employment decision. However, the use of such information in hiring decisions may violate antidiscrimination statutes such as the Iowa Civil Rights Act. Thus, a criminal record should not be an automatic bar to employment, and employers should consult with legal counsel before soliciting or using criminal history information in hiring decisions. 

E-Verify 

There are no state-specific requirements for private employers related to the use of E-Verify in Iowa. However, state agencies are required to use E-Verify to verify the US citizenship and immigration status of certain applicants. 

Wage and hour 

Iowa employers may be required to comply with certain wage and hour requirements.   

Minimum wage 

The hourly minimum wage in Iowa is $7.25, with certain exceptions with respect to tipped employees and employees within their first 90 calendar days of employment. 

In general, employers grossing $300,000 or more annually must pay the state minimum wage. The threshold for an employer to be covered by the federal minimum wage is $500,000. 

Overtime 

Iowa does not have a state overtime law applicable to private employers. 

Meal and rest breaks 

Iowa employers are required to provide a 30-minute break to employees younger than 16 who work five or more hours in one day. 

Child labor 

Child labor laws in Iowa restrict the occupations in which minors may be employed and the number of hours and times during which they may work. 

All minors are prohibited from working in hazardous occupations, and minors under the age of 16 are prohibited from working in a variety of other occupations, such as manufacturing and mining. Child labor laws also list many occupations in which minors are actively permitted to engage, such as office and clerical work. 

Minors under 16 generally may not work: 

• During regular school hours; 
• Before 7 a.m. or after 7 p.m. (after 9 p.m. from June 1 through Labor Day); 
• More than four hours per day and 28 hours per week during school times; and 
• More than eight hours per day and 40 hours per week during nonschool times. 

Pay and benefits 

Iowa employers may be required to follow certain requirements with respect to employee pay and benefits.   

Wage payment methods 

In Iowa, wages must be paid in cash or by check. An employer may pay wages by direct deposit or electronic paycards if certain conditions are met. 

Pay frequency and lag time 

An Iowa employer must pay employees on a monthly, semimonthly or biweekly basis on regular paydays at consistent intervals designated in advance. Wages must be paid within 12 days after the end of the pay period. An employee who is absent on payday must be paid within seven days after he or she demands payment. 

Pay deductions 

An employer may make deductions from employees’ wages for: 

• Federal and state taxes; 
• Child support; 
• Creditor garnishments; 
• Any lawful purpose that benefits the employee, with the employee’s written authorization; and 
• Losses that are attributable to the employee’s willful or intentional disregard of the employer’s interests. 

Deductions generally may not be made for most shortages or losses, tips, personal protective equipment and moving costs greater than $20. 

Pay statements 

An Iowa employer must provide a pay statement to each employee on each regular payday, or within 10 working days of an employee’s request. Pay statements for nonexempt employees must contain the following information: 

• Hours worked; 
• Wages earned; and 
• Deductions made. 

Pay statements reflecting payments made or hours worked must be provided to exempt employees for whom the employer has a policy or practice of paying overtime, bonuses or payments based on hours worked. 

Wage theft 

Iowa does not have a wage theft law applicable to private employers. 

Health care continuation 

Under Iowa law, employees have the right to continue health care coverage if their group health coverage would otherwise end upon the termination of their employment (e.g., permanent layoff, temporary layoff, approved leave of absence). In addition, an employee’s eligible dependents have the right to continue coverage upon the employee’s death or upon dissolution or annulment of marriage. Continuation coverage may last for up to nine months. 

Temporary disability insurance 

Iowa does not have requirements for private employers related to temporary disability insurance. 

Time off and leaves of absence 

Iowa employers may be required to follow certain requirements with respect to time off and leaves of absence.   

Family and medical leave 

Iowa does not have a state family and medical leave law applicable to private employers. 

Paid sick leave 

Iowa does not have a state paid sick leave law applicable to private employers. 

Other time off requirements 

Iowa has laws related to time off and leaves of absence, including but not limited to:

• Pregnancy disability leave; 
• Jury duty leave; 
• Witness leave; 
• Elected officials leave; 
• Emergency responder leave; 
• Voting leave; 
• Drinking and driving class leave; 
• Military leave; and 
• Time off on Veterans Day. 

Health and safety 

Iowa employers may be required to follow certain requirements with respect to employee health and safety.   

Occupational safety and health 

Iowa is a State Plan State. The Iowa Occupational Safety and Health Act (IOSHA) is administered by Iowa OSHA and the Labor Commissioner. For the most part, IOSHA follows the federal regulations of OSHA; however, there are some differences. 

Drug and alcohol testing 

Under state law, an employer may require job applicants to submit to drug or alcohol testing as a condition of employment. An employer may refuse to hire an applicant based on a confirmed positive test result or on a refusal to provide a testing sample. An employer that chooses to conduct preemployment drug or alcohol testing must follow the law’s requirements, including, but not limited to: 

• Establishing a written testing policy that contains specific mandatory content; 
• Conducting testing in accordance with the policy; 
• Training supervisory personnel who are involved with the testing; and 
• Providing written notice to applicants of a confirmed positive test result. 

Smoke-free workplace 

Iowa’s Smokefree Air Act generally prohibits smoking in public places and all enclosed areas within places of employment, including: 

• Work areas; 
• Private offices; 
• Conference and meeting rooms; 
• Classrooms; 
• Lounges and cafeterias; 
• Restrooms; and 
• Vehicles owned, leased or provided by the employer. 

An employer must communicate to employees that smoking is prohibited in the workplace and must post appropriate signage. 

Weapons in the workplace 

Iowa does not restrict employers’ rights to prohibit guns in the workplace. 

Safe driving practices 

Drivers in Iowa are prohibited from using an electronic device, unless it is in voice-activated or hands-free mode, with certain exceptions. 

Organizational exit 

Iowa employers may be required to follow certain requirements when employees exit the organization.   

Final pay 

Employees who quit or are fired must be paid by the next regular payday. 

Unused vacation time does not need to be paid unless there is an agreement between the employer and employee stating otherwise. 

Mass layoffs 

The Iowa Worker Adjustment and Retraining Notification (WARN) Act applies to employers with 25 or more full-time employees. A covered employer must provide 30 days’ notice to affected employees, their representatives (if any) and the state if: 

• A business closing results in employment loss of 25 or more full-time employees; or 
• A mass layoff results in an employment loss of 25 or more full-time employees at a single employment site during any 30-day period. 

An employer may pay severance or an employee’s regular wages in lieu of providing notice. 

AI in employment 

Iowa does not have a law related to AI in employment applicable to private employers.