O-high-O — What you need to know about legal marijuana in the Buckeye State
Ohio voters passed a recreational marijuana ballot initiative in early November, making it the 24th state to legalize the drug.
The state’s approach to legalization is more conservative than that of many states with new or updated marijuana laws. While states such as Minnesota, New York, and California protect off-duty use, Ohio went in the opposite direction with a law that emphasizes the rights of employers.
What employers can do
Ohio employers can continue to establish their own hiring and employment practices with regard to marijuana.
The law does not require any accommodations for marijuana use and does not protect off-duty use. As a result, employers may have drug testing policies that include marijuana and may take action under company policy when a test is positive.
The state’s law allows employers to:
- Establish and enforce a drug testing policy, drug-free workplace policy, or zero-tolerance drug policy,
- Refuse to hire an individual because of cannabis use, and
- Discharge, discipline, or otherwise take adverse employment action against an employee because of use, possession, or distribution of cannabis.
No legal action for employees
An applicant who doesn’t get hired because of a positive marijuana test, or an employee who is demoted or terminated because of marijuana use, cannot bring legal action against an employer for these adverse employment actions.
Ohio’s law states that workers cannot bring legal action against employers for refusing to hire them or for:
- Discharging,
- Disciplining,
- Discriminating,
- Retaliating, or
- Taking an adverse employment action against them related to cannabis use.
Workers’ compensation discounts still in place
Ohio has a Drug-Free Safety Program that offers a discount on workers’ compensation insurance premiums to participating employers. The law makes it clear that employers may continue to participate in the program and receive rebates and discounts.
The program’s testing panel mirrors the requirements for employees who must be tested under federal law. This includes marijuana.
Employers that are part of the program should continue to abide by its requirements in order to receive the premium discount.
No unemployment insurance leeway
An employee fired because of a marijuana use or positive marijuana test is considered to have been discharged for just cause under Ohio law due to a violation of a
- Drug-free workplace policy,
- Zero-tolerance policy, or
- Another formal program or policy regarding cannabis use.
Because of this, an employee terminated for one of these reasons may have their unemployment insurance claim denied.
This is not the case in every state. In Michigan, for example, an employee terminated for using marijuana on personal time could qualify for unemployment benefits.
Medical marijuana law also allows testing
Ohio also has a medical marijuana law that has similar protections for employers. Businesses don’t need to permit or accommodate an employee's use, possession, or distribution of medical marijuana and may:
- Enforce a drug testing policy.
- Enforce a drug-free workplace or zero-tolerance drug policy.
- Refuse to hire, discharge, discipline, or otherwise take an adverse employment action against someone because of that person's use, possession, or distribution of medical marijuana.
- Establish and enforce a drug testing policy, drug-free workplace policy, or zero-tolerance drug policy.
- Receive a discount on workers' compensation premiums for participating in a drug-free workplace program.
Effective in December
The state’s law takes effect on December 7, and the Division of Cannabis Control within the Ohio Department of Commerce is working on the rulemaking and licensing processes.
The measure passed by voters may be amended by the state legislature.
Other state laws differ
The employer protections under Ohio’s marijuana laws only apply to employers in that state. Marijuana laws differ significantly nationwide, and some state laws are much more protective of employee off-duty use of cannabis.
Key to remember: Ohio’s new recreational marijuana law allows employers to establish policies restricting marijuana use at work and when employees are off-duty. Laws in other states are more protective of employee rights relating to cannabis use. Employers should always check state laws before taking adverse action against an employee for marijuana use or a positive test for marijuana.