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Category: CP Featured

Supreme Court Rejects Higher Evidentiary Standard for Proving FLSA Exemptions

The U.S. Supreme Court last week made it easier for employers to defend their decisions to apply the FLSA’s overtime and minimum wage exemptions. In E.M.D. Sales, Inc. v. Carrera, it unanimously rejected a lower court’s ruling that applied a tougher standard for employers to prove FLSA exemptions. In the January 15 ruling, the Justices held that an employer must...
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Category: Affirmative Action and Diversity

Federal Appeals Court Vacates Nasdaq’s Board Diversity Rules

A federal appeals court has vacated the Nasdaq stock market’s rule requiring Nasdaq-listed companies to disclose diversity data for their boards of directors. In 2021, the Securities and Exchange Commission approved Nasdaq’s proposal to require most Nasdaq-listed companies to have at least one female and one minority/LGBTQ board member or explain their lack of diversity. The rule also required covered companies to...
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Category: Affirmative Action and Diversity

Maryland District Court Allows Naval Academy To Consider Race in Admissions

The Naval Academy’s consideration of applicants’ race in admissions decisions does not violate the Constitution’s equal protection guarantee, a federal court ruled December 6 in Students for Fair Admissions v. U.S. Naval Academy. In upholding the Naval Academy’s practice, the U.S. District Court for the District of Maryland distinguished this case from last year’s Supreme Court Harvard decision, which rejected...
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Category: Executive Order

Ninth Circuit Rules Federal Contractor Minimum Wage Increase Exceeded Biden’s Authority

President Biden exceeded his authority by issuing Executive Order 14026 raising the federal contractor minimum wage to $15 per hour, a federal appeals court ruled November 5 in Nebraska v. Su. The U.S. Court of Appeals for the Ninth Circuit also held that the U.S. Department of Labor acted arbitrarily and capriciously when it published implementing regulations. The Ninth Circuit...
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Category: DOL

DOL’s Increase to Minimum Salary Threshold for White-Collar Overtime Exemption Blocked Nationwide

A federal court has vacated a Labor Department rule that increased the minimum salary level for the “white-collar” overtime exemption. Therefore, the prior minimum salary threshold of $684 weekly is back in effect. The opinion came November 15 by the U.S. District Court for the Eastern District of Texas in Texas v. U.S. Dep’t of Labor. The Biden Administration’s final...
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Category: Compliance Reporting and Recordkeeping

Religious Groups Seek To Block FCC Demographic Data Collection Similar to EEO-1 Report

A group of religious broadcasters has asked a federal appeals court to block the Federal Communications Commission (FCC) from collecting race and ethnicity data from broadcasters. The court’s ruling could have implications for similar data collections like the EEO-1 Report. Earlier this year, the Federal Communications Commission (FCC) voted to resume collecting race and ethnicity data from broadcasters, a practice...
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Category: Agency Enforcement

FTC Fines Employer Over Allegedly Misleading Job Ads

The Federal Trade Commission has agreed to a $2.1 million settlement with a rideshare company over advertising practices that the Commission deemed “misleading or deceptive,” the FTC announced October 25. Specifically, the FTC alleged that some of the company’s advertisements to recruit drivers featured unrealistic earnings potential and others included misleading promotions language. The settlement serves as a reminder that—in addition to...
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Category: Agency Enforcement

Labor Department Enjoined From Enforcing E.O. 11246 Claim Against Federal Contractor

A federal district court has temporarily blocked the Office of Federal Contract Compliance Programs from continuing enforcement proceedings against a  janitorial services company that allegedly violated Executive Order 11246 by engaging in racially discriminatory hiring. The September 9 ruling by the U.S. District Court for the Southern District of Texas came in ABM Industry Groups v. U.S. Department of Labor....
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Category: Disability, Accommodations, and Leaves

Third Circuit Confirms Chronic Serious Health Condition Must Be Established at the Time of Leave

To qualify as having a serious health condition under the Family and Medical Leave Act, an employee must have sought periodic treatment before requesting or taking leave for a chronic condition, a federal appeals court ruled October 18, 2024, in Rodriquez v. SEPTA. In a win for employers, the U.S. Court of Appeals for the Third Circuit denied a former...
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Category: Agency Enforcement

OFCCP Enforcement Regime Is Unconstitutional, Contractor Argues

A janitorial contractor has sued to challenge the enforcement process of the Labor Department’s Office of Federal Contract Compliance Programs. The U.S. District Court for the Southern District of Texas is expected to make an initial ruling by the end of the month. DOL’s administrative enforcement process would change significantly if ABM Industry Groups succeeds in getting the court to...

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