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The Coming Regulatory Avalanche: Engineering Practical Employment and Labor Law Compliance Solutions

The focus of this 2011 Littler Report is to provide employers with information to prepare and plan for regulations recently passed and those currently making their way through the agency rulemaking process. Part One of this Littler Report will set the stage and define the challenge employers will face in the coming years as the Obama Administration enters the second half of its term.




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The Virginia Supreme Court on Damages, Equity Valuation, and the Significance of Delaware Corporations Law in the Termination and Removal of a Chairman and CEO

The Virginia Supreme Court has spoken again on the calculation of damages in a complex employment contract case. In Online Resources Corp. v. Lawlor, No. 120208 (Va. Jan. 10, 2013), the court addressed the expert qualifications required for the valuation of equity following the termination of the chairman and chief executive officer (CEO) ("executive") of a publicly-traded company, as well as the applicability of Delaware Corporations Law to related change in control (CIC) provisions. 

Background




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Timely Talk About Wage and Hour Law: Sales-Based Incentives (aka Commissions)




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15 Key Developments in Canadian Labour & Employment Law in 2019

Canada saw significant developments in labour and employment law in 2019.  As we embark on a new decade, we will undoubtedly see the landscape in this ever-changing area of law continue to evolve.   Here is our Littler LLP overview of 15 key developments in 2019 with links to more detailed articles and commentary:




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Publicly Traded Employers Will Need to Claw Back Incentive Pay from Former and Current Executive Officers

  • An SEC final rule governing clawback policies takes effect on January 27, 2023.
  • The rule requires that national securities exchanges and associations listing securities issue new listing standards with clawback requirements, which must take effect no later than November 28, 2023.
  • Employers with stock listed on a national security exchange will need to implement a policy that provides for the recovery of erroneous payments to current and former executive officers.




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Is a Bonus Clawback Provision a Restraint of Trade in the UK?

In a reassuring decision for employers, the UK High Court has confirmed that an employer’s use of a contractual provision to claw back an employee’s bonus was lawful. The ruling in Steel v Spencer Road LLP provides helpful guidance on the circumstances in which a bonus clawback will not constitute a restraint of trade, though employers should be mindful that not all such provisions will be enforceable.




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Does Modern Labor Law Violate the Fifth Amendment?

Alexander Thomas MacDonald provides insight into the new regulations under theH-2A visa program. 

The Federalist Society

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Employment Law And Geopolitics: Key Considerations For The C-Suite

Stephan Swinkels and Michael Lotito discuss the intersection of employment and geopolitics and offer key considerations for the C-suite of global companies. 

Chief Executive

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Illinois Passes State Law Offering Protection to Employees from Unfair Enforcement of Employment Verification Practices

On August 9, 2024, Illinois Governor JB Pritzker signed Senate Bill 0508 (“SB0508”) into law. This new law provides additional employment protections for individuals flagged by an employment eligibility verification system, including federal E-Verify, as having identification discrepancies. The new rights and protections created by SB0508 will take effect on January 1, 2025. This evaluation does not address whether the state law directly restricts or curtails the use of E Verify.




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The Accidental Success of the NLRA: How a Law about Unions Achieved Its Goals by Giving Us Fewer Unions

Alexander Thomas MacDonald explains how, through a century of trial and error, labor law has been wildly successful in giving us the most peaceful labor market in history. 

The Federalist Society

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New Calif. Laws Employers Should Have On Their Radar

Joy Rosenquist talks about some of the 30 new California laws she thinks are particularly significant for employers, including rules addressing pay transparency and off-duty cannabis use.

Law360 Employment Authority

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SEC Continues to Attack Non-Disclosure Agreements and Personnel Policy Provisions that Could Impede Employees from Reporting Potential Violations of U.S. Securities Law

  • Recent SEC cease-and-desist Orders indicate how publicly traded and other SEC-regulated employers should be on alert to the agency’s ongoing attention to enforcement actions under Rule 21F-17.
  • The SEC has been examining whether non-disclosure agreements and other confidential business information provisions could impede whistleblowers from communicating with the SEC.




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Whistle(Blowing) While You Work: An Update on Federal and Virginia State Whistleblower Retaliation Laws




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Costa Rica Passes First “Whistleblower Law” to Protect Complainants and Witnesses of Possible Acts of Corruption

UPDATE: This law took effect on February 8, 2024.

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Keys to Successful and Lawful Diversity Programs




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Supreme Court’s 2024 Term Could Transform Labor and Employment Law

  • The Supreme Court issued four decisions narrowing agencies’ power to make policy through formal rulemaking and adjudication.
  • In the short term, these decisions could make it harder for agencies to defend major rules on overtime, joint employment, prevailing wages, pregnancy accommodation and noncompete agreements.




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11th Circuit Finds Race and Gender-Based Grant Program Likely Unlawful

On June 3, 2024, the U.S. Court of Appeals for the Eleventh Circuit granted a preliminary injunction prohibiting a venture capital fund from awarding grants based on race and gender. In reversal of the district court, the majority found the grant contest “substantially likely to violate” 42 USC Section 1981, a federal statute enacted as part of the Civil Rights Act of 1866 prohibiting private parties from racial discrimination in contracts.




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After Chevron: Various Paths For Labor And Employment Law

Alexander MacDonald talks about how the Supreme Court’s decision to overturn Chevron will likely impact rulemaking across the federal government.

Law360




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Supreme Court's 2024 term could transform labor and employment law

Alexander T. MacDonald and Michael J. Lotito review four decisions in the U.S. Supreme Court's recently completed term and discuss how the rulings may affect employment law.

Westlaw Today

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High Court’s Administrative Law Transformation and Its Impact on Federal Wage-and-Hour Law

Andrea M. Kirshenbaum discusses the 2023-24 SCOTUS opinions that promise to reshape administrative law in the United States for decades to come.

The Legal Intelligencer

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Maryland WARN Act does not Provide a Private Right of Action to Workers Terminated in Violation of the Law

Kerry Notestine, Chad Kaldor, Shawn Matthew Clark and Garrick Josephs discuss a court’s decision that the Maryland WARN Act does not give individuals the right to file suit in their personal capacity to enforce a legal claim under the Act.

Wolters Kluwer

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UK Employment Law: Step into 2024

2023 has undoubtedly been a busy year in the UK employment law space. But, as we bid adieu to this year, it is time to look to what 2024 will bring. In this Christmas pun-filled article (apologies in advance), we explore some of the key anticipated legislation to be implemented next year, grouped into four key categories below.

Spoiler alert – if the government plans continue as expected, then get ready to unwrap a gift of employment law changes in the coming year as the legal landscape gears up for a merry makeover!




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Hot Topics in Labor Law




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D.C.’s Pay Transparency Law Aims to Close Severe Gaps

As Washington, D.C., prepares to join a growing group of state and local jurisdictions requiring pay transparency in job postings and recruiting practices, Joy Rosenquist comments on how the D.C. law is different. 

WorldatWork

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law

These Denver law firms employ the highest percentage of women lawyers

Erin Webber talks about the importance of networks, mentors and benefits for women and working moms in law firms.

Denver Business Journal

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Preliminary Injunction Against Illinois Equivalent Benefits Law for Temporary Workers

In November 2023, soon after Illinois Governor JB Pritzker signed amendments to the Illinois Day and Temporary Labor Services Act (the “Act”), several staffing agencies and associations sued for an injunction against enforcement of certain provisions of the Act.  In Staffing Services Association of Illinois v. Flanagan, Case No. 23-CV-16208, these parties claimed that Sections 11, 42, and 67 of the Act were preempted by the National Labor Relations Act (NLRA), the Employee Retirement Income Security Act of 1974 (ERISA) and the due process clauses of the U.S.




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New Oregon Law (Mostly) Aligns OFLA and Paid Leave Oregon to Prevent Employees from Stacking Leave Benefits

  • SB 1515, which the governor is expected to sign, provides some relief to employers under the state’s various leave laws by amending Paid Leave Oregon and the Oregon Family Leave Act (OFLA) to better align.
  • Bill amends Oregon leave laws to mitigate employee leave stacking by eliminating some state leave law concurrency.
  • Bill amends OFLA bereavement leave to a maximum of four weeks in a leave year.




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What’s New on the Employment Law Front for In-House Leaders




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The Playbook for Law Firm Leadership Has Been Rewritten During the Crisis

Erin Webber explains how a remote environment requires more leadership responsibility, skills and choices.

The American Lawyer

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law

Protection for Criminal Antitrust Whistleblowers Signed into Law

Largely overshadowed by the rise in COVID-19 deaths and the January 6, 2021, siege on the Capitol, the Criminal Antitrust Anti-Retaliation Act of 2019 (“the Act”) became law on December 23, 2020. See 15 U.S.C. § 7a-3. The Act, which Senator Chuck Grassley sponsored, prohibits employers from retaliating against individuals who report criminal antitrust violations to their employer or the federal government, or who participate in a federal governmental criminal antitrust investigation or proceeding.  

Background




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Employment Law Implications of the New Anti-Money Laundering Act

When Congress overrode President Trump’s veto of the National Defense Authorization Act on January 1, 2021, it enacted the Anti-Money Laundering Act (AMLA), which was part of the defense authorization bill.  In doing so, Congress implemented the most sweeping anti-money-laundering statute since the USA PATRIOT Act.  In addition to a number of regulatory reforms and new disclosure requirements, the AMLA has put into place new whistleblower protections, adding to the range of statutes that have effectively created anti-retaliation provisions for virtually every activity regulated by federal




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Oregon Employment Law Update: Legislators Debate Big New Changes




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New Whistleblowing Law Applies to Internal Complaints

Philip Berkowitz weighs in on the Anti-Money Laundering Act’s whistleblower protections that took effect this year.

SHRM Online

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Arizona Employers Should Note Expanded State and Local Anti-Bias Laws

Steve Biddle examines the recently expanded Arizona Civil Rights Act (ACRA) as well as new ordinances passed by Arizona cities that expand protected categories and coverage.

SHRM Online

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Employer Hiring Tips As 'Ban The Box' Laws Proliferate

Stephanie Chavez offers advice to employers who are considering hiring individuals who have a criminal record.

Law360 Employment Authority

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U.S. Enacts Law Barring Products Made With Forced Labor in China

On December 23, 2021, President Joe Biden signed into law the Uyghur Forced Labor Prevention Act (the “Act”),1 which bars the importation into the United States of products made from forced labor in the Xinjiang region of China.  This Act will significantly impact many multinational employers’ supply chains because raw materials from this region – such as cotton, coal, chemicals, sugar, tomatoes and polysilicon (a component in solar panels) – have found their way into many global supply chains.  Indeed, these materials arrive on U.S.




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Navigating New Nevada Laws: What to Know and How to Prepare




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Corporate Board Diversity: Next Steps for Employers After Court Strikes Down California Board Diversity Law

On April 1, 2022, a Los Angeles County Superior Court ruled that California Assembly Bill 979—a bill designed to increase diversity and improve the persistently low number of underrepresented groups on corporate boards—violated the Equal Protection Clause of the California Constitution and was therefore unenforceable. In its ruling, the court acknowledged the pitfalls of homogeneity in business and communities, but it cautioned against quotas and specific number requirements.




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New Maryland Wage Laws Take Effect

On October 1, 2024, Maryland’s Pay Stub/Pay Statement and Pay Transparency laws went into effect. The laws were passed during the General Assembly’s 2024 legislative session and amended the state’s Wage Payment and Collection Law and Equal Pay for Equal Work law, respectively.

Pay Stub/Pay Statement Law Requirements




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UK: The Employment Rights Bill – Phase One of Employment Law Reform

  • UK Employment Rights Bill includes 28 individual employment law reforms.
  • The Bill will now make its way through Parliament and may be amended along the way.
  • This Insight summarizes key provisions of the Bill, when they would take effect, and what proposals did not make it into the 158-page document.




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New Federal Labour Law Issued in the UAE

In mid-November, the UAE Cabinet approved a new Labour Law, Federal Law Number 33 of 2021 (the New Labour Law) which will come into force on 2 February 2022 and repeals Law Number 8 of 1980 (the Old Law), replacing it entirely. The New Labour Law consolidates many of the changes which have been introduced by the Ministry of Human Resources and Emiratisation (MHRE) through various regulations over the past five years and also introduces significant new changes, thus amounting to a radical overhaul of labour relations in the UAE.




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An Overview of the Employment Law Issues Posed by Generative AI in the Workplace

Generative AI, which is a type of artificial intelligence that can produce or create new content, has already started to impact the workplace in various ways. On the positive side, it can automate repetitive and time-consuming tasks, leading to increased efficiency and productivity. For example, it can assist with data entry, customer service, and content creation. Additionally, it can help businesses to analyze and make sense of large amounts of data, leading to better decision-making.




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Wisconsin Supreme Court Eases the Burden for Employers Defending Arrest and Conviction Record Discrimination Claims Under State Law

The Wisconsin Fair Employment Act (WFEA) prohibits employers from discriminating against applicants and employees on the basis of their arrest and conviction records.1  Generally, an employer cannot make decisions on the basis of an arrest or conviction record unless the crimes “substantially relate” to the circumstances of the job at issue.2  For many years, the state agencies responsible for enforcing this law—the Wisconsin Department of Workforce Development (DWD) and the Labor and Industry Review Commission (LIRC)—have taken the view that crimes of domestic violen




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July is the New January – New State Laws Do Not Take the Summer Off

It used to be that employers had the luxury of waiting until January 1 to be vigilant for new employment laws and compliance challenges.  For the past several years, we have reported on employment and labor laws taking effect mid-year.  The trend is increasing, with states and cities passing a multitude of new workplace regulations throughout the calendar year. 




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No Rest for California Employers in 2022! Here are the Latest Employment Laws in the Golden State

California state and local governmental bodies—our state legislature, and counties and cities—were active again this year in their efforts to regulate the workplace. Littler Workplace Policy Institute has been tracking these bills as they worked their way through the legislature. Some were signed into law by Governor Newsom earlier this year and have already gone into effect.




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Implementation of Connecticut’s Clean Slate Law Set to Begin January 1, 2023

Earlier this month, Governor Ned Lamont announced the long-awaited implementation of the state’s so-called “Clean Slate Act” – sort of.  According to a recent press release, January 1, 2023 will see the full or partial erasure in some 44,000 cases involving convictions for cannabis possession.  Individuals with eligible convictions for other crimes, including most misdemeanors and certain lesser felonies, will have to wait until the second half of 2023 as a result of implementation delays.

The Clean Slate Law & How it Works




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Upcoming Changes in California’s Law Regarding Criminal Background Checks

Updated July 31, 2023: The Council’s Modifications to Employment Regulations Regarding Criminal History discussed in this Insight have just been approved by the Office of Administrative Law, and the modified regulations will go into effect on October 1, 2023. Key changes from the initial proposal include:




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Upcoming Changes in California’s Law Regarding Criminal Background Checks

Rod M. Fliegel and Alice H. Wang discuss the Civil Rights Council of the California Civil Rights Department’s latest revisions to the Fair Employment and Housing Act (FEHA) regulations that govern employers' use and consideration of criminal history in employment decisions.

SHRM Online

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Gainesville First City in Florida to Pass Fair Chance Hiring Law Restricting Private Employers’ Use of Criminal History

  • The city of Gainesville has passed a Fair Chance Hiring law governing an employer’s use and consideration of a job applicant’s criminal history in making employment decisions.
  • In light of these changes, covered employers with operations in Gainesville that use criminal records to vet candidates should consider a privileged review of their policies, procedures, and other documents related to the screening process.