Substitute Senate Bill No. 414, File No. 355, titled "AN ACT CONCERNING EQUITY IN STATE EMPLOYMENT," is designed to enhance diversity, equity, and inclusion (DEI) within state departments, effective October 1, 2024. The bill requires the establishment of a DEI Division in each state department, led by a full-time, salaried director. This director will be responsible for coordinating equity initiatives, developing and publishing equity plans, evaluating policies and outcomes, and ensuring that underserved communities are considered in department activities. The bill defines terms such as "equity," "implicit bias," and "underserved community," and outlines the responsibilities of the DEI director, including overseeing community engagement, maintaining knowledge of equity-related issues, and providing guidance on DEI within the department. It also requires department heads to consult with the DEI director before implementing new policies or regulations and mandates the creation of annual equity action plans with specific goals and accountability mechanisms.

The bill also introduces requirements for the development of a standardized DEI training program, which new employees must complete within six months of their start date and existing employees must complete annually starting July 1, 2025. The training will address unconscious implicit biases and foster inclusive interactions within the department and the broader community. DEI directors are tasked with creating annual training and materials on DEI topics for all employees, covering cultural sensitivity, sexual orientation and gender identities, anti-racism, anti-sexism, and disability awareness. The bill includes a fiscal impact statement indicating costs of approximately $5 million in FY 25 and $5.3 million per year thereafter, primarily for the creation of director-level positions and associated expenses for programs, data collection, analysis, and training programs. The Labor and Public Employees Committee has given a Joint Favorable Substitute to the bill with a vote of 8 in favor and 4 against on March 21, 2024.