Search form

What Vermont’s Legalization of Recreational Marijuana Means for Employers

By Kathryn J. Russo, Martha Van Oot and Ashley C. Zangara
  • June 21, 2018

Vermont’s recreational marijuana law, which goes into effect on July 1, 2018, lifts penalties for individuals possessing limited amounts of marijuana. However, the new law does not require employers to tolerate marijuana possession or use in the workplace. Further, employers may continue to test for marijuana, though any adverse employment actions must be considered carefully for the risk of disability discrimination claims.

To assist employers, the Vermont Office of the Attorney General has released its Guide to Vermont’s Laws on Marijuana in the Workplace. The Guide provides employers an overview of the changes to Vermont’s marijuana laws and summarizes existing employment laws relating to drug testing in the workplace. It also reminds employers that they must comply with Vermont’s strict limitations on drug testing.

Recreational Marijuana

Under the recreational marijuana law, individuals will no longer face criminal penalties for possessing: (i) up to an ounce of marijuana or five grams of hashish; and (ii) two mature and four immature marijuana plants.

Employer rights are unchanged. Employers in Vermont:

  • Are not required to permit or accommodate the use, consumption, possession, transfer, display, transportation, sale, or growing of marijuana in the workplace;
  • May prohibit or otherwise regulate the use, consumption, possession, transfer, display, transportation, sale, or growing of marijuana on their premises; and
  • May adopt policies prohibiting the use of marijuana in the workplace.

Moreover, the law does not create a legal cause of action against an employer that discharges an employee for violating a policy that restricts or prohibits employees’ use of marijuana.

For more on the new law, see Vermont’s Governor Signs Recreational Marijuana Law.

Medical Marijuana

Vermont’s medical marijuana law permits individuals with certain debilitating medical conditions to use and possess medical marijuana. However, it prohibits medical marijuana users from being under the influence of marijuana in a workplace or place of employment, or while driving a motor vehicle, operating heavy machinery, or handling a dangerous instrumentality. Therefore, employers may maintain policies banning the use or possession of medical marijuana at work or for being under the influence of medical marijuana at work.

Users Protected as Disabled

The Guide reminds employers that under Vermont’s Fair Employment Practices Act (VFEPA), it is unlawful for an employer, employment agency, or labor organization to discriminate against a “qualified individual with a disability.” Similar to the federal Americans with Disabilities Act, VFEPA protects recovering and recovered substance abusers. According to the Guide, however, VFEPA differs from the ADA with regard to current illegal drug use. The ADA does not protect current users of illegal drugs. Under VFEPA, an employee’s current illegal drug use does not automatically disqualify the employee from protection under Vermont’s disability laws, unless that use: (i) prevents him or her from performing the duties of the job, or (ii) constitutes a “direct threat to the property and safety of others.” Thus, Vermont law protects workers who can safely do their jobs, even if they are struggling to overcome addiction.

Additionally, if an employer becomes aware that an employee or applicant is a medical marijuana cardholder, the employer may be deemed to be on notice that the employee or applicant has a disability. Even if the employer does not learn of the specific debilitating condition, the employer will gain an understanding that the employee has a sufficiently debilitating medical condition to grant the employee the right to obtain marijuana from a state medical marijuana dispensary. Employers must be careful that employment decisions are not based on any actual or perceived underlying disability that may be related to the medical marijuana use.

Conflict with Recreational Marijuana Law?

Vermont’s disability law may appear to conflict with the recreational marijuana law. The recreational marijuana law states that employers cannot be sued for enforcing a no-marijuana policy, even with regard to off-duty use. There is no conflict between the two laws, the Guide explains, because the recreational marijuana law states that it does not create a new legal claim for employees who are fired for violating a policy prohibiting marijuana use. An applicant or employee with a valid claim of disability discrimination related to medical use of marijuana is not barred by the recreational marijuana law from making such a claim.

Drug Testing Law

The Guide reminds employers of Vermont’s restrictive drug testing law, which permits pre-employment testing and probable cause testing only. Automatic post-accident testing and random testing are prohibited. Employers must have a written drug testing policy, use laboratories approved by the Vermont Department of Health, have all drug test results reviewed by a Medical Review Officer, and comply with many other technical requirements. In addition, employees may not be terminated for a first-time positive test result; rather, the employee must be offered an opportunity to participate in an Employee Assistance Program and may be discharged only if he or she refuses to participate or subsequently tests positive after completing rehabilitation.


Vermont is one of nine states to have legalized recreational marijuana. More than a dozen states have legalized medical marijuana. Employers with multistate operations should continue to monitor developments across the nation and consult experienced counsel to address their specific circumstances. Please contact Jackson Lewis if you have any questions.

©2018 Jackson Lewis P.C. This material is provided for informational purposes only. It is not intended to constitute legal advice nor does it create a client-lawyer relationship between Jackson Lewis and any recipient. Recipients should consult with counsel before taking any actions based on the information contained within this material. This material may be considered attorney advertising in some jurisdictions. Prior results do not guarantee a similar outcome.

Reproduction of this material in whole or in part is prohibited without the express prior written consent of Jackson Lewis P.C., a law firm that built its reputation on providing workplace law representation to management. Founded in 1958, the firm has grown to more than 900 attorneys in major cities nationwide serving clients across a wide range of practices and industries including government relations, healthcare and sports law. More information about Jackson Lewis can be found at

See AllRelated Articles You May Like

October 4, 2019

New Connecticut Law Requires Policy on Opioid Antagonists at Colleges, Universities

October 4, 2019

Connecticut has enacted changes to its opioid laws that include requiring institutions of higher education to implement a policy on the availability and use of opioid antagonists for students and staff. Public Act No. 19-191, “An Act Addressing Opioid Use,” makes various other revisions to the state’s opioid use prevention and... Read More

October 1, 2019

Retail Industry Workplace Law Update – Fall 2019

October 1, 2019

DOL Issues New Overtime Rule, Sets Minimum Annual Salary at $35,568 The U.S. Department of Labor has issued a new Final Rule updating the minimum salary requirements for the “white collar” overtime exemptions. Read full article … California Supreme Court Rejects Claim for Unpaid Wages under PAGA Putting an end to employees’... Read More

September 26, 2019

An Aging Construction Workforce: Recognition and Response

September 26, 2019

The number of workers aged 55 and over is increasing, while the number of workers under the age of 25 is decreasing, according to the 2018 Current Population Survey. The construction industry may feel this more acutely than other industries, as workers in the construction industry tend to be older than those in other industries, the... Read More