The Hawaii Legislature’s 2025 session saw the introduction of 3,172 bills, with the National Federation of Independent Business (NFIB) closely monitoring 47 pieces of legislation. These were tracked for either support or opposition due to their potential impact on small businesses in Hawaii.
Among these, eight bills were identified by NFIB as particularly challenging for small business operations. Notably, HB 158/HB 722 aimed to allow striking workers to qualify for unemployment benefits but failed to pass the Finance Committee. HB 202 sought changes in the calculation of “adequate reserve fund” amounts and was deferred in conference committee. HB 325 intended to prevent employment discrimination against medical cannabis registry cardholders but did not progress past the Consumer Protection & Commerce Committee.
Additionally, HB 555/SB 638 proposed mandatory paid rest periods for employees, which did not advance beyond the Finance Committee. HB 755 aimed at establishing a family and medical leave insurance program by January 1, 2028, also stalled in the Finance Committee. SB 358 required advance notice of work schedules but was not scheduled for a hearing. SB 674 called for a statewide needs assessment on waste management but was halted by the House Ways and Means Committee. Lastly, SB 718 mandated universal changing accommodations in new public constructions post-July 31, 2026, yet it too was not scheduled for a hearing.
Despite NFIB’s efforts to block certain measures, three bills passed through the Legislature and reached Governor Josh Green’s desk. Two were signed into law: HB 750 and SB 1396. HB 750 mandates a statewide needs assessment by the Department of Health on waste reduction strategies and became Act 103. SB 1396 increases the Transient Accommodations Tax rate starting January 1, 2026, with provisions related to climate change mitigation projects; it is now Act 96.
HB 477 awaits further action from Governor Green after being transmitted for his signature. This bill amends definitions under Hawaiʻi Employment Security Law and introduces electronic notifications for unemployment claims determinations starting April 1, 2027.
For more information on other legislative activities monitored by NFIB during this session or insights from NFIB Hawaii State Director Michael Iosua regarding the session outcomes, additional resources are available online.
