On Nov. 7, 2023, Ohio joined the growing list of states allowing adults to legally use recreational cannabis. If you have questions about how this change in public policy impacts your human resource processes, you’re not alone. Here, we offer some valuable insight into the nuances of Ohio’s new law and what it means for your organization.
Legalization Dynamics: Federal vs. State
One of the most important considerations your organization must keep in mind is this: Even though Ohio has legalized recreational cannabis use, it is still federally illegal. Unlike a few other states, Ohio’s legislation doesn’t include protections for employees related to cannabis use. This means clear HR policies and communication about cannabis from you, as their employer, are critically important.
Impact on Workplace Policies and Employee Perceptions
A common misconception among employees throughout Ohio is that this new law removes a company or organization’s ability to prohibit cannabis use. This law does nothing of the sort. You still maintain the authority to uphold drug-free workplace policies, explicitly prohibiting cannabis use should you choose to do so. It’s important to clearly communicate any such policies to employees to dispel potential misunderstandings.
Culture Shifts and Hiring Implications
Whether you feel that attracting or having employees that consume cannabis could benefit or hinder your workforce, make certain to re-assess your current hiring practices and policies to reflect that. Any decision you make to HR policies related to cannabis use should consider your workforce composition and turnover rates but ultimately align with your organization’s goals and values.
Talent Pool Dynamics and Employer Options
Be aware that your policies regarding testing employees for cannabis use will impact your potential talent pool. This dynamic is no secret, and your competitors are facing the same set of questions. Your — and their — decisions on drug-testing policies may attract or dissuade potential applicants.
With this law’s passage, you have one of three options available for your HR policies.
- Maintain your existing policies as they were before cannabis legalization.
- Wait and see how your existing policies are impacting your organization, then reassess after collecting data.
- Immediately eliminate cannabis testing from pre-employment screening.
You know your organization better than anyone else. Take time to reflect on the policies you know are best for the long-term success of your organization before enacting policies regarding cannabis use.
Other Considerations for Decision-Making
Other considerations you might need to weigh when developing HR policies related to cannabis use:
- Testing based upon reasonable suspicion remains available for employee behavioral concerns.
- Special provisions are mandated for job duties governed by the Department of Transportation and federal contracts.
A comprehensive review of your HR policies, testing procedures, and a clear communication plan are crucial to adequately account for these considerations.
Communication Strategy and Decision-Making Process
Effective HR policies that are not clearly communicated can cause misunderstandings among your employees. A communication strategy will help ensure policies are fully understood, address employee inquiries, and alleviate concerns.
As with the citizens of Ohio, opinions on cannabis legalization, use, and policies will vary among the people in your organization, and no decision you make will appease everyone. The best approach: Make decisions based on the best interests of the organization overall, monitor the impact of those decisions, and be prepared to pivot if necessary.
Testing Complexities and Parallels with Alcohol Policies
Current limitations in cannabis testing present unique challenges for employers. A good rule of thumb is to treat cannabis use among employees as you would alcohol, maintaining a policy that employees are prohibited from being under the influence of either substance while on the job.
The legalization of cannabis in Ohio creates a unique and complex challenge for all employers, one that demands a strategic and balanced approach to policies, communication, and talent management. As your organization navigates this uncharted territory, a thoughtful strategy that takes workplace culture, workforce dynamics, and legal implications into consideration will prove instrumental now — and as the legal landscape surrounding cannabis at the state level (and, potentially, federal) continues to evolve.
If you’re looking for additional information or guidance, view additional HR Solutions resources at https://www.rehmann.com/solutions/hr-solutions/. As firm well-versed in the intricacies of the cannabis industry and public policy, and their impact on organizations of all sizes, Rehmann is well-equipped to help ensure your organization remains protected, in compliance, and positioned to succeed no matter what the future of legalized recreational cannabis in Ohio brings.