Yesterday, a federal court in Texas issued a nationwide injunction preventing the Federal Trade Commission’s rule banning nearly all employee non-compete agreements from taking effect on September 4, 2024. The case, Ryan LLC et al. v. Federal Trade Commission, Case No. 3:24-cv-00986 (N.D. Tex.), was brought by a Texas tax preparation company and the U.S.
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Employers Take Note: Michigan Supreme Court Imposes a February 2025 Deadline to Drastically Overhaul Key Employment Policies Statewide
On Wednesday, July 31, 2024, the Michigan Supreme Court handed down its opinion in Mothering Justice et al. v. Attorney General et al. In this case, community organizations challenged the State Attorney General’s determination that the Michigan Legislature could adopt a citizen initiative ballot proposal and later amend it in the same legislative session. The…
Judge Preliminarily Pauses FTC Noncompete Ban as Applied to the Texas Challengers; Ruling on the Merits Expected in August
On July 3, 2024, Judge Ada E. Brown of the United States District Court for the Northern District of Texas issued a preliminary injunction in Ryan et al. v. Federal Trade Commission, preventing the FTC’s rule banning most noncompetes from going into effect, but only for the party who brought the litigation challenging the rule,…
The Equal Employment Opportunity Commission Issues New Guidance Regarding In-Office and Virtual Harassment in the Workplace
Last month, the U.S. Equal Employment Opportunity Commission (“EEOC’) unveiled its highly anticipated Enforcement Guidance on Workplace Harassment.
After almost a decade of efforts to update its harassment guidelines, the EEOC’s new guidance delves into topics that are most relevant to the modern workforce. The guidance sets forth the EEOC’s position on its definition…
EEOC Unveils its Final Rule Implementing the Pregnant Workers Fairness Act
On April 19, 2024, the EEOC unveiled its final rule implementing the Pregnant Workers Fairness Act (PWFA). This regulation goes into effect June 18, 2024. This final rule requires covered employers to provide reasonable accommodations to qualified employees for known limitations related to pregnancy, childbirth, or related medical conditions.
What You Need to Know…
Federal Trade Commission Approves Final Rule Banning Nearly All Worker Non-Competes
In an open commission meeting on Tuesday, April 23, 2024, the Federal Trade Commission (FTC) voted 3-to-2 to ban nearly all non-compete agreements between employers and workers (broadly defined to include employees, independent contractors, and others, whether paid or unpaid). The effective date of the final rule could be on or about August 23, 2024,…
New Overtime Exemption Rules Announced: What Employers Need to Know and Do
On April 23, the U.S. Department of Labor (“DOL”) published a set of final regulations dramatically increasing the salary level most executive, professional, and administrative employees must be paid to retain their overtime exempt status under the Fair Labor Standards Act. In most respects, and after considering 33,000 comments, the final regulations are similar to…
Supreme Court Issues Landmark Decision Rejecting “Significant Harm” Requirement in Title VII Cases – Opening the Door to More Employment Discrimination Claims
On April 17, 2024, the United States Supreme Court delivered a pivotal ruling in Muldrow v. City of St. Louis, fundamentally reshaping the landscape of Title VII litigation. This landmark decision dismantled the longstanding requirement, upheld by several Circuit Courts, requiring plaintiffs to demonstrate “significant harm” to seek recourse for alleged discriminatory acts by their…
Immediate Action Required by California Employers to Avoid AB 1076 Fines
Effective January 1, 2024, AB 1076 amended California law to codify existing California case law holding most noncompete agreements void and making it unlawful to include a noncompete clause in an employment contract or to require an employee to enter a noncompete contract that does not satisfy specified exceptions. That new law, in and of…
To Be or Not to Be (An Independent Contractor): U.S. Department of Labor Issues Final Rules for Employers
On January 9, 2024, the U.S. Department of Labor issued final rules for employers to determine if a worker is an independent contractor or employee. Workers who do not meet the new criteria under the rule must be classified as employees and subject to the Fair Labor Standards Act (“FLSA”) protections and requirements. If misclassified,…