Iowa Employers Gain Flexibility Under Revised Drug and Alcohol Testing Law

As of July 1, 2025, Iowa employers experienced notable changes to the state’s private-sector drug and alcohol testing statute (Iowa Code § 730.5). These updates provide greater flexibility to employers, reduce administrative burdens and shift certain legal liabilities away from the employer.

However, the law remains one of the most technical drug testing statutes in the country, and non-compliance can still carry significant legal risk. At MyHRConcierge and MyHRScreens, we are here to help employers navigate these changes with clarity and compliance in mind.

Table of Contents

• Burden of Proof Shift

• Safety-Sensitive Designation Now at Employer Discretion

• Expanded Notification Options for Positive Test Results

  • Random Testing Pool Compliance Still Under Scrutiny

• MyHRConcierge and MyHRScreens: Your Partners in Compliance Navigating the Revised Iowa Drug Testing Law

Burden of Proof Shift

Previously, Iowa law placed the burden of proof on employers to demonstrate compliance with the drug testing statute when challenged. Under the new legislation, the burden of proof for any lawsuit claiming a violation shifts to the employee or prospective employee.

This is a significant change that may reduce the risk and complexity of litigation for employers, provided their policies and procedures are well-documented and consistent with statutory requirements.

Safety-Sensitive Designation Now at Employer Discretion

Due to new language in the law, employers may now designate positions as “safety-sensitive” for purposes of random drug testing pools. While prior case law required positions to meet a strict definition- such as posing a risk of serious injury or death- the updated statute allows employer discretion in identifying these roles.

Despite the increased flexibility, employers are advised to document the rationale behind their designations and ensure these roles still reasonably align with the law’s intent. Arbitrary or inconsistent classifications could still be challenged under broader employment law principles.

Expanded Notification Options for Positive Test Results

Previously, Iowa law required employers to notify employees of positive test results via certified mail, return receipt requested. The new law permits alternative delivery methods, such as electronic communication or in-person delivery, if the employee consents in writing.

This change reflects the modern workplace and reduces mailing costs and delays. Employers should update their consent forms and drug testing policies to include these delivery options and obtain documented employee authorization.

Random Testing Pool Compliance Still Under Scrutiny

Although the recent statutory changes are favorable to employers, Iowa’s Supreme Court continues to strictly interpret compliance with the random testing pool requirements.

In the April 2025 Hampe v. Charles Gabus Motors decision, the Iowa Supreme Court examined Hampe’s argument that Charles Gabus Motors violated Iowa Code § 730.5 by improperly composing its random drug testing pool. The Court determined that the employer did not substantially comply with statutory requirements, as the pool included employees who were not scheduled to work at the time of the test. This procedural flaw directly impacted Hampe, whose selection and termination were based on that noncompliant process. As a result, the Court partially reversed the district court’s ruling, affirmed other portions, and remanded the case to determine the appropriate relief for Hampe.

MyHRConcierge and MyHRScreens: Your Partners in Compliance Navigating the Revised Iowa Drug Testing Law

Amid newly granted Iowa employer flexibility in drug testing, it’s important to note that the new provisions do not eliminate the need for careful policy design and execution- especially regarding random testing protocols. Employers operating in Iowa should take this opportunity to review and revise their drug testing programs to ensure they are not only aligned with the updated law, but also structured to withstand legal scrutiny. With the right policies and partners in place, like MyHRConcierge and MyHRScreens, employers can navigate these changes confidently and compliantly.

MyHRScreens offers a comprehensive range of drug testing options, including 5, 9 and 10-panel tests, with customizable features that meet the specific needs of your organization. For more information on comprehensive drug testing options, please contact MyHRScreens at 866-899-8970 ext. 118, or klewis@myhrscreens.com. If your organization needs help reviewing its compliance efforts, or staying up-to-date with changing state and federal laws, reach out to the HR compliance experts at MyHRConcierge at ccooley@myhrconcierge.com, 855-538-6947 ext. 108. Or, schedule a free consultation below: