Texas Employment and Labor Laws

Keeping up with state employment and labor laws can substantially complicate compliance efforts. Here’s what employers in Texas need to know.

Texas’ employment laws give employers wide latitude in shaping workplace policies while maintaining certain core protections. At the same time, businesses must navigate specific state standards on final pay, right-to-work, and anti-discrimination practices.

When it comes to talent and workforce management, Texas-based employers need to comply with the following state employment laws:

Pay equity and final paychecks
Work breaks
Anti-discrimination and harassment

The below information was last updated May 7, 2025. It is not intended as legal advice. Also, unless otherwise noted below, the following laws predominantly apply to the private sector.

Texas Labor Laws

A subset of employment law, labor law focuses on the relationships between employers, employees, and labor unions, particularly in the context of collective bargaining and workplace rights.

Central to US labor law is the National Labor Relations Act (NLRA), which protects employees’ rights to organize, join unions, and negotiate working conditions while restricting unfair labor practices. Still, states can enact additional laws, such as Right-to-Work statutes, that influence union membership and dues requirements.

Is Texas a Right-to-Work State?

Right-to-work states prohibit employers from requiring union membership or dues as a condition of employment (a.k.a. union security agreements).

Texas is one of 26 states that currently have a right-to-work law.

Texas Employment Laws

Employment law governs the individual rights of employees and their professional relationship with their employers, such as working hours, fair wages, anti-discrimination protections, and workplace safety.

Texas Wage Laws

Texas Minimum Wage	The state of Texas mirrors the federal minimum wage rate of $7.25, including the tipped minimum wage of $2.13 for employees who earn tips with their base pay.
Texas Overtime Pay Laws	Texas currently has no overtime pay laws or regulations other than industry-specific rules for nurses. Texas-based employers must still, however, comply with the Fair Labor Standards Act's (FLSA) requirement that nonexempt employees receive 1.5 times their normal pay rate when working over 40 hours a week.
Texas Pay Equity Law	The Texas Human Rights Commission Act (THRCA) prohibits employment practices that discriminate based on race, color, disability, religion, sex, national origin, or age. Enforced by the Texas Human Rights Commission, this act applies to employers with fifteen or more employees.
Texas Pay Transparency Law	Texas currently has no pay transparency laws or regulations.
Texas Final Paycheck Law	In Texas, employees who voluntarily resign from a job must receive their final paycheck by the next regular payday. However, if an employee in Texas is involuntarily terminated, they must receive their final paycheck within six days.
Texas PTO Payout Laws	Texas doesn’t have specific PTO payout requirements, as it bases such decisions on an employer's policy. It also has no regulations regarding the use of "use-it-or-lose-it" policies.

Texas Leave Laws

Texas Paid Sick Leave (PSL)	Texas currently has no paid sick leave laws or regulations.
Texas Paid Family and Medical Leave (PFML)	Texas currently has no PFML laws or regulations. Although, employers with 50 or more employees must still comply with the federal Family and Medical Leave Act (FMLA), which provides eligible employees with up to 12 weeks of unpaid leave every 12 months for various reasons.
Texas Maternity Leave	Texas doesn't have a maternity leave law, as this type of leave is an employer-provided benefit. Since the state also doesn’t have a mandated PFML program, employees must instead use FMLA leave or another type of employer-provided leave.
Texas Voting Leave Law	Under the state’s voting leave law, Texas-based employers must provide each employee with paid time off to vote in an election unless the employee has at least two consecutive hours to vote outside their working hours.

Texas Workplace Health and Safety Management

All states must comply with federal health and safety standards overseen by the Occupational Safety and Health Administration (OSHA).

While some states adopt additional health and safety regulations, Texas is an "OSHA plan" state, meaning it defers to OSHA's requirements when addressing health and safety matters, such as having an emergency action plan or providing medical and first aid supplies.

Texas Work Break Laws

Texas currently has no work break laws or regulations.

Texas Harassment and Workplace Discrimination Laws

As described by the Texas Labor Code Chapter 21 and enforced by the Texas Workforce Commission, employers in Texas are prohibited from discriminating against employees based on:

Race
Color
National Origin
Religion

Sex
Age (Over 40)
Disability

Texas also requires employers to comply with specific anti-harassment mandates, also outlined in Labor Code Chapter 21. An employer is liable for unlawful sexual harassment when both of the following occurs:

The employer knew about the unwelcome and offensive behavior
It failed to prevent or correct the behavior

Texas doesn’t, however, require employees to complete any harassment or discrimination training courses.

Other Texas Employment Laws

Texas Non-Compete Agreement Laws	Texas currently has no laws or regulations banning or limiting the use of non-compete agreements.
Texas Retirement Plan Laws	Texas currently has no mandatory retirement plan laws or regulations.

This information is provided as a courtesy and may be updated at any time. It is not intended as legal guidance. If you have questions or concerns, we encourage you to seek the advice of a qualified employment or labor attorney or advisor.

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