Every legitimate business must prioritize compliance. But where to start? Between long-standing federal requirements and emerging state laws, HR has to understand both — and more — to shield its organization from:
- fines
- audits
- penalties
- other risks associated with noncompliance
This need doesn’t stick to just one area of HR administration, either. Hiring, training, benefits administration and even separation impact a company’s approach to compliance.
Luckily, you don’t have to face these challenges alone. Knowledge of the most widespread laws can help you lay a foundation. Plus, a comprehensive government and compliance tool lets you stay proactive by automating the tedious, yet nonetheless important tasks.
Which recent laws will employers face in 2026 and beyond?
In summer 2025, sweeping changes to pay from a budget reconciliation bill known as the “One Big Beautiful Bill” included the elimination of:
- federal taxes on tips
- employee taxes on overtime hours worked
Meanwhile, employers also must account for enhanced child care benefits, alterations to reporting requirements and new employee retirement contribution options. In addition to federal regulatory updates, employers must remain vigilant of the legislative landscape in the state — or states — in which they do business.
What should businesses look for in HR software to boost compliance?
Regardless of your company’s size or specific needs, the ideal HR software for compliance should help you:
- manage changing regulations and requirements
- find and address areas of potential risk
- mitigate exposure and lighten your team’s administrative burden
- become a dependable compliance resource for the C-suite
- empower employees to easily enter and manage their own data in a truly single software
Remember, even during rampant regulatory shifts, the right HR tech helps you become a compliance champion for your organization.