Each year, new laws passed by the Virginia General Assembly bring important updates that can impact how businesses operate. From employment practices to civil liability and health regulations, it’s essential for employers and organizations to stay informed and prepared. Below, we’ve summarized several key changes taking effect in 2025 that may affect Chamber members. We would encourage you to review the full 21 page document titled In Due Course: 2025 Changes to Virginia’s Laws which is located on the Commonwealth of Virginia Division of Legislative Services’s website.
Most of these changes will take effect July 1, 2025.
Civil Procedures
HB 1730 – Employer Liability for Employee Misconduct
Employers may now be held vicariously liable for certain personal injuries or wrongful death caused by employees, particularly when a “vulnerable victim” is involved. Liability will be assessed based on the likelihood of employee contact with vulnerable individuals and whether the employer exercised reasonable care in supervision.
Health & Health Services
HB 2253 / SB 1383 – Nursing Home Sanctions
The State Health Commissioner is now authorized to impose sanctions, including civil penalties, on nursing homes that violate regulations. While these penalties do not apply to facilities already sanctioned by federal authorities, all licensed nursing homes should review the new compliance standards and procedures for potential enforcement actions.
Labor & Employment
HB 1766 / SB 1056 – Unemployment Benefits Increase
Beginning January 1, 2026, weekly unemployment benefits will increase by $52 per week. The law also requires a study on whether benefit amounts should be adjusted annually based on statewide average wages.
HB 2401 / SB 998 – Child Content Creation Protections
If your business produces online video content featuring children under 16, you are required to set aside earnings in a trust account for the child’s benefit. You must also maintain specific records and may be subject to a civil action if you do not comply.
SB 1218 – Non-Compete Agreements for Overtime-Eligible Workers
Virginia has expanded its ban on non-compete agreements to cover any employee entitled to overtime pay under federal law, regardless of income level. Employers using non-compete provisions should review contracts and policies to ensure compliance.