Employment Laws in South Dakota.

Prohibits employment discrimination based on race, color, creed, religion, sex, ancestry, disability, or national origin. Does not include sexual orientation or gender identity as protected classes.

The minimum wage is $11.85/hour as of January 1, 2026 (adjusted annually based on cost of living). Tipped employees must be paid at least $5.925/hour.

The right to work cannot be denied based on union membership or nonmembership. Employees cannot be required to join a union or pay union dues as a condition of employment. Violation is a Class 2 misdemeanor.

Employment contracts signed after July 1, 2023 involving healthcare practitioners may not include noncompete clauses, except for agreements related to the sale of a practice or non-solicitation of current patients.

It is a discriminatory practice to fire an employee for tobacco use off-site during nonworking hours, unless nonsmoking is a bona fide occupational requirement or necessary to avoid a conflict of interest.