As many are aware, starting on May 7, 2025, RealIDs will be required for certain activities, including flying domestically and accessing federal buildings that require identification. Although passport books and passport cards qualify, most people will be relying on enhanced state-issued driver licenses to comply with RealID requirements.
Employers with employees with job duties that require entry to federal buildings where RealID is required, or traveling domestically by airlines, should remind employees of the RealID requirements and ensure employees have valid identification. Employers could be left footing the bill for wasted time to and from federal buildings, or costs of domestic airline travel, if employees are not prepared with a RealID. In most states, employers will not be able to recover these costs from the ill-prepared employee.
Relatedly, employers may be asked to help with the costs of employees’ acquiring RealID valid identification. Federal law requires that employers reimburse employees when business expenses the employees incur would drop an employee’s pay below the federal minimum wage. Certain state and local governments, particularly California and Seattle, have enacted additional requirements that employers reimburse employees for business and remote expenses. Additionally, in California and Seattle, an employer must cover the costs incurred by employees in direct consequence of the discharge of the employees’ duties. Other state and local requirements may also apply that impact employer reimbursement of RealID costs.
Key Takeaways
- If an employee must obtain a RealID to perform job functions, and if the employee’s obtaining a RealID would drop the employee’s rate of pay below the federal minimum wage, $7.25 per hour, the employer must reimburse for the RealID.
- Employers should review applicable state and local laws to determine whether they must reimburse employees for the cost to obtain a RealID.
- Regardless whether an employer must or should pay for an employee obtaining RealID, each state has information and resources that employers can provide to employees to support employees obtaining RealID. Employers and employees can visit the links below to learn more about RealIDs in the following states:
Alaska
California
Idaho
Montana
Oregon
Washington
