Insights

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Category: Wage and Hour

Third Circuit Says FLSA Does Not Reach “Overtime Gap Time” Claims

Workers cannot use the Fair Labor Standards Act to recover unpaid straight-time from an overtime week, a federal appeals court has ruled. Such “overtime gap time” refers to straight-time hours in a week with overtime — for example, where an employee who is scheduled to work less than 40 hours actually works more than 40 hours but is not paid...
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Category: Labor Relations

House Passes Faster Labor Contracts Act

The House has passed legislation that would authorize third-party panels to set initial contract terms when negotiations fail between an employer and a new union. The Faster Labor Contracts Act (H.R. 5408), approved June 9 by all House Democrats and 20 House Republicans, would allow an arbitration panel to impose a two-year first contract on an employer and newly recognized...
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Category: Immigration

Federal Court Strikes Down $100,000 H-1B Fee

A federal court has vacated the Trump Administration’s $100,000 H-1B fee nationwide. In California v. Mullin, the U.S. District Court for Massachusetts on June 8 granted summary judgment for the states that challenged the fee. The court concluded that the $100,000 fee functioned as a tax rather than as a permissible user fee and that Congress had not delegated taxing authority...
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Category: Agency Enforcement

DOJ Opinion Letter Questions EEOC Disparate Impact Framework and Uniform Guidelines

A new Justice Department opinion letter that sharply criticizes the EEOC's disparate impact guidance sets the stage for significant policy shifts at the agency. The opinion letter, from the DOJ’s Office of Legal Counsel (OLC), concludes that the EEOC’s interpretations of Title VII disparate impact liability are unconstitutional because they “contemplate liability based on disparate effects alone, without regard to...
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Category: State and Local Compliance

Minimum Wage Increases Effective July 1, 2026

Several state and local jurisdictions are scheduled to increase their minimum wage rates on July 1. The Center for Workplace Compliance (CWC), our affiliated nonprofit membership association, has prepared a resource listing state and local minimum wage rate increases that will take effect then. CWC’s resource can help members confirm that their organization’s pay rates comply with the new minimum...
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Category: State and Local Compliance

CWC’s Colorado AI Law HR Compliance Desk Guide

Colorado’s new AI law will take effect January 1, 2027. The Center for Workplace Compliance (CWC), our affiliated nonprofit membership association, has prepared a resource to help employers comply. The new law (SB 26-189) replaces the state’s controversial 2024 AI law, which never went into effect. The new law eliminates many of the 2024 law’s more stringent requirements for employers...
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Category: Agency Enforcement

EEOC’s New Enforcement Plan Signals Shift In Priorities

The EEOC adopted a new National Enforcement Plan June 4 that signals a significant shift in its priorities toward intentional discrimination claims and away from disparate impact cases. The NEP confirms that the EEOC will devote greater attention to employers’ recruiting, hiring, promotion, and DEI-related practices. The NEP’s enforcement priorities include scrutiny of: job ads that refer to race or diverse...
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Category: State and Local Compliance

New Jersey Appeals Court Reinstates Recreational Cannabis User’s Lawsuit

New Jersey’s cannabis law allows job applicants and employees to sue over adverse employment actions tied to recreational cannabis use, New Jersey’s intermediate appellate court ruled May 26. In Sanders v. The Levari Group, the court reinstated a job applicant’s claim that she was denied employment after testing positive for cannabis. New Jersey’s Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act...
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Category: Arbitration and Dispute Resolution

Supreme Court Expands Scope Of FAA Transportation Exemption

Transportation workers need not cross state lines to qualify for the Federal Arbitration Act’s mandatory arbitration exemption if they are part of a continuous interstate flow of goods, the Supreme Court ruled May 28. In Flowers Foods v. Brock, the Supreme Court held that the FAA’s Section 1 exemption for workers “engaged in interstate commerce” can apply to workers who perform...
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Category: Agency Enforcement

EEOC Moves To Rescind 1979 Affirmative Action Interpretive Guidance

The Equal Employment Opportunity Commission has asked OMB to approve a measure that would rescind the agency’s 1979 guidance on when Title VII permits voluntary affirmative action. The guidance, codified at 29 CFR Part 1608, outlines when employers may adopt voluntary affirmative action plans for women and minorities. Most employers that adopted affirmative action plans for women and minorities did so...

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