Protections for Employers Under the New Mississippi Medical Cannabis Act
The Mississippi Medical Cannabis Act that was signed by Gov. Tate Reeves in February 2022 was written in a way to protect employers. Here are some protections that employers will see under the new law.
Insurance/Reimbursement
Employers are not required to pay for or reimburse any individual or entity for costs associated with the medical use of cannabis. What does that mean?
Insurance likely will not cover medical marijuana. Once an individual gets a medical cannabis certification, they will go to the dispensary to buy it. The estimated price will be $300 per ounce.
At-Will Status
Mississippi is an at-will state and in being so, under the new law, no employer is required to permit, accommodate or allow the medical use of cannabis or modify a job for anyone who engages in the medical use of cannabis.
This means that employers don’t have to make accommodations based on the use of medical marijuana. It does not prohibit any employer from refusing to hire, discharge, discipline, or otherwise take an adverse employment action against an individual with respect to hiring, discharging, tenure, terms condition or privilege of employment because of that individual’s use of medical cannabis. The best way to think about it is medical marijuana is not a protected category.
Lack of Right of Action
As you may be aware, employers cannot discipline or terminate based on sex, gender, race, age, or disability. Medical marijuana is not one of those. Having a certification to use the product does not prohibit or limit the ability of any employer from establishing or enforcing a drug testing policy. It also does not establish a private right of action for an employee to sue his or her employer for any adverse employment action.
What does that mean?
A private right of action is important because it provides the avenue for an employee to sue her employer. The Americans with Disabilities Act has a private right of action inside that statute. This doesn’t have that. If an employee wants to sue an employer, related to medical marijuana, they will have to do it under a different statute.
Other Items of Note Under the New Law
The act does not permit smoking of medical marijuana in public places or in a motor vehicle. But it does allow employers, if they wish, to allow any person to use medical marijuana on their premises. Employers also cannot be penalized for employing a card holder.
All in all, the law offers employers a great deal of protection.
Please contact Trey Clark or any member of Phelps’ Labor and Employment Team if you have questions or for advice and guidance.