Indiana lawmakers loosen child labor limits and wipe employer tracking

State lawmakers have eroded multiple child labor safeguards, enabling younger teens to work later and removing a state database that tracked teen employment. Senate Bill 146, signed into law and cited by official notices as SB 146, allows 14-, 15- and 16-year-olds to work past 7 p.m. on a school night and removes restrictions previously placed on 16- to 18-year-olds. Separate legislation, identified as House Bill 1302, deletes statutory references to the Youth Employment System, effectively ending the state's employer reporting of where minors work.

The changes have immediate consequences for employers, schools and enforcement agents. Under the repeal of the Youth Employment System, employers with five or more teenagers on payroll will no longer be required to register businesses in a state database or self-report the number and status of minor employees. The law also eliminates the Department of Labor’s duty to maintain the database and scraps reporting deadlines and monetary penalties tied to documenting when teen workers start and leave jobs. A fiscal note attached to the repeal warned that the change would reduce employers’ administrative workload but would also decrease the efficiency of on-site inspections for compliance with child labor laws.

Timing and statutory details differ across official and advisory materials. A business advisory cites March 12, 2024 as the signing date for SB 146 and lists July 1, 2024 as the effective date for those hour changes. The separate repeal of the Youth Employment System was signed into law on March 4, according to legislative notices, with the changes described as taking effect July 1. A law-firm advisory, citing amendments to Indiana’s Child Labor Statute, Indiana Code § 22-2-18.1, says certain rollbacks allowing older teens to work longer and later begin January 1, 2025. Those discrepancies in effective dates and statutory references underscore the need for employers and schools to consult the enacted bill texts and official guidance.

Supporters defended the changes as aligning state rules with federal standards and reducing regulatory complexity, arguing the bills "simply brings Indiana’s child labor laws in line with the rules at the federal level in the name of consistency." Opponents warned of immediate risks to minors and the integrity of enforcement, calling the shift “irresponsible and dystopian” and arguing the repeal of tracking provisions "further weakens Indiana child labor laws and protections for minor workers." One critic warned, "I don’t think lawmakers should be in the business of enacting legislation that makes it as easy as possible for employers to hire children."

Policy analysts say the reforms come amid broader debates over labor shortages and teen work and will change how inspections and compliance are carried out on the ground. For now, employers and school officials face a new compliance landscape: teens aged 14 to 16 may work later into school nights, and fewer state-managed records will be available to identify where minors are employed. Employment advisers recommend that businesses seek legal guidance to interpret the enacted statutes and to prepare for operational and liability questions as the new rules take hold.