During vacation periods or times of high project workloads and tight deadlines, working overtime may be necessary to cover for absent colleagues or manage increased workload. These situations can lead to legal challenges, especially when disputes arise regarding overtime performance and compensation. Such conflicts are often the result of uncertainties in employment contracts.
Employment Law Watch
Analysis and commentary by Reed Smith attorneys on developments in employment and labor law
Federal judge requires state of Texas to file new lawsuit to challenge recent EEOC guidance on gender identity discrimination
In July of this year, a Texas federal district court judge denied the state of Texas’ request to vacate the Equal Employment Opportunity Commission’s (EEOC) most recent guidance relating to gender identity discrimination. In doing so, the federal court held that the state could not bring the challenge in a previously filed lawsuit regarding prior…
New SRA requirements for dealing with NDAs: Impact on settlement agreements
Earlier this month, the Solicitors Regulation Authority (SRA) updated its warning notice on the appropriate use of non-disclosure agreements (NDA), creating increased regulatory obligations for lawyers advising on, drafting and negotiating settlement agreements.
The updated warning notice reflects principles set out in existing Acas guidance which applies to anyone involved in settlement agreements. Whilst the…
Employers beware: AI-based workplace discrimination laws are coming to the U.S.
As the use of artificial intelligence (AI) systems rapidly spreads throughout society, legislators across the U.S. are hustling to try and ensure that these systems are created and implemented in a safe and fair manner everywhere they are being used. The workplace is one such area that is starting to gain interest in this regard.…
Texas federal court strikes down FTC non-compete rule
On August 20, 2024, Northern District of Texas Judge Ada Brown barred the U.S. Federal Trade Commission’s (FTC) rule banning non-competes from taking effect. The rule, which proposed to ban virtually all existing and future non-compete agreements across the U.S., and was scheduled to go into effect on September 4, 2024, is now effectively blocked.…
Illinois becomes second state to regulate employers’ use of Artificial Intelligence in employment decisions
By Jill Vorobiev & Amanda Witt
On August 9, 2024, Illinois Governor J.B. Pritzker signed HB 3773 into law, amending the Illinois Human Rights Act (IHRA) to regulate the use of artificial intelligence (AI), including generative AI, in employment decisions by employers with operations in Illinois. Following Colorado, which passed a similar bill in May 2024, Illinois is the second state…
How to prepare for New York State’s Freelance Isn’t Free Act
On August 28, 2024, New York State’s new law governing workplace-related contracts with freelancer workers – known as the Freelance Isn’t Free Act (FIFA) – will take effect. FIFA is designed to protect freelancers, i.e., independent contractors, from non-payment, late payment, and retaliation by hiring parties. It also imposes new requirements on hiring parties to…
What should U.S. businesses be doing right now concerning the FTC’s non-compete rule?
On May 7, 2024, the Federal Trade Commission (FTC) published a final regulatory rule that, if it takes effect as planned, which is currently scheduled for September 4, 2024, would invalidate and ban virtually all non-compete agreements in the U.S. Following publication of the rule in the Federal Register, legal challenges were promptly filed in…
Maryland joins the growing list of states requiring pay disclosure in job postings
Beginning October 1, 2024, Maryland will require employers to disclose wage ranges and “other compensation” in job postings and upon the request of an applicant in an effort to promote greater wage transparency in the hiring process. The Maryland Wage Range Transparency Act amends the state’s existing law prohibiting employers from making salary history inquiries…
California Supreme Court upholds Prop 22: California gig drivers to remain contractors
By Garrett Parks & Claudia Ren
On July 25, 2024, the California Supreme Court ruled in the case of Castellanos v. State of California that Proposition 22, also known as App-Based Drivers as Contractors and Labor Policies Initiative, is constitutional. The statewide ballot measure from 2020 exempts certain app-based drivers from California’s independent contractor classification law. This decision will significantly impact…