(a) The state and its political subdivisions shall not compel or require an employee to refer to another employee using that employee's preferred pronouns: (i) As a condition of continuing or commencing employment or contracting with the state or a political subdivision; (ii) As a condition to receive a grant, contract, license or other benefit afforded by the state or a political subdivision; (iii) Under threat of adverse action by the state or a political subdivision, including but not limited to an adverse employment action, exclusion, sanction or punishment.