Your 2026 Business Compliance Checklist: Are You Ready for What's Coming?

Florida's minimum wage hits $14 per hour in September 2025 and reaches $15 in 2026. Federal agencies continue proposing employment regulations that could reshape how you manage your workforce. Your employee handbook hasn't been updated since 2019. Your non-compete agreements might not comply with evolving legal standards. And if something goes wrong, outdated policies and agreements won't protect you.

Most Miami business owners know they should review their employment practices regularly. Few actually do it until they're already facing a problem. Smart businesses audit their compliance now, before changes take effect and before issues arise.

Watch: The 2026 Compliance Checklist for Your Business

Florida Minimum Wage: The Increases You Need to Plan For

Florida voters approved a constitutional amendment in 2020 establishing a path to a $15 minimum wage. That path continues through 2026, and every Miami business with employees needs to understand the timeline and prepare accordingly.

The schedule: Florida's minimum wage increased to $13.00 per hour on September 30, 2024. It increases to $14.00 per hour on September 30, 2025. The final increase to $15.00 per hour takes effect on September 30, 2026.

For tipped employees, Florida law allows a lower direct cash wage as long as tips bring total compensation to the full minimum wage. The tipped employee minimum cash wage is $8.98 per hour currently and will increase proportionally with the regular minimum wage increases.

What this means for your business: If you currently pay anyone at or near minimum wage, budget for these increases. If you pay slightly above minimum wage, consider whether your wage structure needs adjustment to maintain appropriate differentials between entry-level and experienced employees. Review your labor costs and pricing to ensure these increases don't eliminate your profit margins.

Some Miami businesses will see minimal impact because they already pay above these levels. Others, particularly in hospitality, retail, and service industries, face significant cost increases that require planning now to manage effectively.

Compliance requirements: Florida law requires posting the current minimum wage rate in a conspicuous place where employees can see it. The Florida Department of Commerce publishes annual minimum wage posters that employers must display. Ensure you update these postings as rates change.

Failure to pay minimum wage violates Florida's Minimum Wage Act (Article X, Section 24 of the Florida Constitution and Florida Statutes Section 448.110). Violations can result in back pay liability, fines, and private lawsuits by employees. The law allows employees to recover unpaid wages plus an equal amount in liquidated damages, meaning if you underpay someone $10,000 in wages, you could owe $20,000 plus attorney's fees.

The Non-Compete Situation: Uncertainty Requires Attention

The FTC issued a rule in April 2024 that would have banned most non-compete agreements nationwide. However, in August 2024, a federal district court in Texas blocked the rule from taking effect, finding that the FTC likely exceeded its statutory authority. As of early 2025, the FTC non-compete ban is not in effect and faces ongoing legal challenges.

What does this mean for your business? The regulatory landscape for non-compete agreements remains uncertain. Even without the FTC rule, non-compete agreements face increasing scrutiny from courts and changing state laws.

Florida's non-compete law: Florida Statutes Section 542.335 governs non-compete agreements in Florida. The statute makes non-compete agreements enforceable if they're reasonable in time, area, and line of business, and if they protect legitimate business interests.

Legitimate business interests under Florida law include trade secrets, confidential business information, substantial relationships with prospective or existing customers, customer goodwill associated with ongoing business relationships or specific geographic locations, and extraordinary or specialized training.

Florida law presumes that non-compete agreements are reasonable if they last no more than six months for ordinary employees or two years for employees who received confidential information or trade secrets. Longer durations may be enforceable but face greater scrutiny.

What you should do now: Review your existing non-compete agreements to ensure they comply with Florida law. Many agreements drafted years ago contain overly broad provisions that courts won't enforce. Terms prohibiting employees from working anywhere in the United States for five years likely won't hold up in Florida courts.

Consider whether you actually need non-compete agreements or whether non-disclosure and non-solicitation agreements would better protect your interests while being more likely to be enforced. Non-disclosure agreements protecting trade secrets and confidential information often provide sufficient protection without the enforceability challenges non-competes face.

If you use non-compete agreements, ensure you can demonstrate legitimate business interests under Florida law. Document what confidential information employees receive, what customer relationships they develop, and what specialized training you provide. Without this documentation, enforcing non-compete provisions becomes difficult.

Other Employment Law Changes on the Horizon

Beyond minimum wage and non-compete uncertainty, several other employment law developments require attention.

Salary thresholds for overtime exemptions under the Fair Labor Standards Act have been subject to regulatory changes. While specific requirements continue to evolve through federal rulemaking and court challenges, businesses should review whether employees currently classified as exempt (not entitled to overtime) meet applicable salary and duty tests.

Pay transparency requirements are expanding in various states, requiring employers to disclose salary ranges in job postings or upon request. While Florida doesn't currently mandate pay transparency, businesses operating in multiple states or competing nationally for talent may choose to adopt these practices voluntarily or may be required to comply based on where they recruit.

Independent contractor classification remains a focus of federal and state enforcement. The Department of Labor's economic reality test and the IRS's common law test both evaluate whether workers are properly classified as independent contractors or should be treated as employees. Misclassification creates liability for unpaid taxes, benefits, and wages.

Artificial intelligence in employment decisions is attracting regulatory attention. Using AI tools for hiring, firing, or other employment decisions raises concerns about potential discrimination and compliance with equal employment opportunity laws. The EEOC has issued guidance on AI and employment discrimination, and businesses using AI in HR processes should understand these considerations.

Your Employee Handbook: When Was It Last Updated?

Employee handbooks serve multiple purposes. They communicate policies and expectations to employees, demonstrate that you have established procedures for handling workplace issues, and provide documentation that can protect you in employment disputes.

Outdated handbooks create problems. They may reference policies you no longer follow, creating inconsistencies that undermine your positions in disputes. They may lack policies required by current law. They may include provisions that courts no longer enforce or that expose you to liability.

When to update your handbook: If your handbook is more than three years old, it needs review. If you've made significant business changes (new locations, new services, substantial growth) since your last update, you need a revised handbook. If employment laws have changed since your last revision, update accordingly.

What should be included: Current handbooks should address at-will employment status (unless you have employment contracts), equal employment opportunity and anti-discrimination policies, harassment and complaint procedures, wage and hour policies including overtime, leave policies (Florida doesn't require paid leave but federal FMLA may apply), confidentiality and data security expectations, acceptable use policies for technology and social media, workplace safety requirements, and disciplinary procedures.

For 2026, pay particular attention to wage policies that reflect current minimum wage rates, confidentiality and non-compete provisions that comply with current Florida law, and technology use policies that address AI tools and data security.

Implementation matters: Having a handbook means nothing if employees don't receive it and acknowledge receipt. Every employee should sign an acknowledgment form confirming they received the handbook, understand they're responsible for following it, and understand it doesn't create an employment contract.

Keep these signed acknowledgments in employee files. When you update your handbook, have all employees acknowledge the new version. If disputes arise, signed acknowledgments prove employees had notice of policies.

Employment Agreements: Beyond the Handbook

While handbooks establish general policies, individual employment agreements with key employees may include additional provisions. These agreements deserve separate attention during your compliance review.

Executive and key employee agreements often include detailed compensation structures, severance provisions, non-compete and non-solicitation covenants, intellectual property assignment clauses, and specific grounds for termination. Review these agreements for enforceability under current Florida law.

Commission and incentive agreements for sales employees should clearly define how commissions are calculated, when they're earned and payable, what happens to commissions if employment ends, and whether draws against commission create debt obligations. Ambiguous commission agreements lead to expensive disputes.

Independent contractor agreements should accurately reflect the working relationship and comply with IRS and DOL classification standards. Using an independent contractor agreement doesn't make someone a contractor if the actual relationship looks like employment. Courts and agencies look at the economic reality of the relationship, not just the label you use.

Vendor and Supplier Agreements: Often Overlooked

While focusing on employee compliance, many businesses overlook their agreements with vendors and suppliers. These relationships also merit review, particularly as economic conditions and regulatory requirements change.

Review terms addressing: Price adjustment mechanisms in light of economic volatility, force majeure provisions that address supply chain disruptions, data security requirements if vendors access your systems or customer information, insurance requirements and indemnification provisions, and termination rights if vendor performance becomes problematic.

Updated vendor agreements protect you from disputes and provide flexibility if circumstances change. Don't assume that agreements signed years ago adequately address current business realities.

Creating Your 2026 Compliance Action Plan

Systematic review prevents gaps and ensures you address all relevant areas. Start with an audit of your current employment practices, policies, and agreements.

Gather all relevant documents: Current employee handbook, form employment agreements and offer letters, non-compete and non-disclosure agreements, independent contractor agreements, commission plans and incentive structures, and any employee acknowledgment forms you currently use.

Identify what's missing or outdated: Compare your current documents against current Florida and federal requirements. Look for provisions that reference old laws or outdated practices. Note policies that you've informally changed but never updated in writing.

Prioritize updates: Some updates are legally required (like minimum wage postings). Others involve best practices that reduce risk. Focus first on compliance gaps that create immediate liability, then address policy improvements.

Implement changes systematically: Don't just draft new documents and file them away. Distribute updated handbooks to all employees with acknowledgment forms. Have key employees sign revised employment agreements. Update posting and notices. Train managers on new policies

Document everything: Keep records showing when each employee received policy updates, signed acknowledgments, and attended training. This documentation becomes critical if disputes arise.

Get Professional Compliance Review

Employment law compliance requires understanding both federal and Florida requirements. What worked in 2022 may not comply in 2026. Generic templates from the internet often don't address Florida-specific requirements or industry-specific issues your business faces.

J. Muir & Associates helps Miami businesses conduct comprehensive employment compliance reviews, update employee handbooks and agreements, ensure non-compete and confidentiality provisions comply with current law, and implement policies that protect businesses while treating employees fairly.

Whether you need a complete compliance audit or focused review of specific policies, we provide guidance tailored to your business and industry. Don't wait until you're facing an employee dispute or regulatory investigation to discover your policies are outdated or non-compliant.

Contact us to schedule your 2026 compliance review. The businesses that thrive are those that stay ahead of legal requirements rather than scrambling to catch up after problems develop.

Start your compliance review now while you have time to implement changes properly. Your future self will thank you.

Serving business owners in Miami, Coral Gables, Doral, Miami Beach, Aventura, Pinecrest, and throughout Florida.