Compliance Stuff

  The Transportation Security Administration (TSA) has proposed delaying enforcement of the REAL ID requirement for passengers of domestic airlines to give travelers two more years to update to REAL ID-compliant identifications. The proposal is   open for comments   until Oct. 15, 2024. The REAL ID Act was passed by Congress based on the 9/11 Commission’s recommendations. Full enforcement for domestic air travelers was scheduled to go into effect in May 2025. That date  likely will be pushed to 2027 . Under REAL ID security regulations, all passengers 18 years and over on domestic airlines would need a REAL ID-compliant identification to board. Although various documents are REAL ID-compliant, the key document became state-issued REAL ID-compliant driver’s licenses. Approximately 53 percent of the U.S. population had REAL ID-compliant identifications in 2023 when the deadline was pushed to May 2025. As of now, only 56 percent of the population have REAL ID-compliant ...

  On August 26, 2024, the U.S. District Court for the District of Maryland decided in   Teamsters Local Union No. 355 v. Total Distribution Services, Inc.,  that the Maryland Economic Stabilization Act (“Maryland WARN Act” or “Act”) does not provide individuals with the right to file suit in their personal capacity to enforce a legal claim under the Act. The Maryland WARN Act still may be enforced by the Maryland Department of Labor.  The Act is based, in part, on its federal counterpart, the Worker Adjustment and Retraining Notification (WARN) Act, with important differences.  Background The individual plaintiff formerly worked for defendants at an automobile distribution facility in Jessup, Maryland, known as the Annapolis Junction . During this time, Teamsters Local Union 355 represented employees, including the plaintiff, working at the Annapolis Junction in negotiations to establish an updated collective bargaining agreement for the bargaining unit. On May...

  The Maryland Department of Labor (MDDOL) has issued FAQs and template forms that are deemed to comply with the employer mandates of the Maryland Wage Transparency Law and the Paystub Notice Requirement. The laws are scheduled to go into effect Oct. 1, 2024. Wage Transparency Law Maryland’s Wage Transparency Law requires all employers — both public and private — to disclose in both internal and external job postings, including those posted through third parties: Wage ranges (including the minimum and maximum wage);  A general description of benefits; and  Any additional compensation. If this information is not included in the original job posting, i t must be disclosed to the applicant before any discussions about compensation and at any time upon the applicant’s request. This requirement applies to work that is physically performed, “at least in part,” in Maryland. According to MDDOL, this includes jobs seeking workers in Maryland for remote work, although the company m...

On September 11, 2024, the U.S. Court of Appeals for the Fifth Circuit joined four other federal courts and held that the U.S. Department of Labor (DOL) has statutory authority to impose a minimum salary threshold to qualify for the executive, administrative, and professional overtime exemptions (EAP Exemption) under the Fair Labor Standards Act (FLSA ).  Mayfield and R.U.M. Enterprises, Inc. v. U.S. Dep’t of Labor , No. 23-507-24 (5th Cir. Sept. 11, 2024) . The Fifth Circuit’s decision was in response to a legal challenge related to the 2019 DOL Final Rule on overtime pay, which increased the minimum salary requirement for the EAP Exemption . While seen as a win for the DOL in its effort to enforce its more recent 2024 Final Rule, the ruling does not address the validity of the 2024 Final Rule, and leaves open other possible challenges to the 2024 Final Rule. Overview of the DOL Minimum Salary Rules In 2019, the DOL promulgated a new version of its “Minimum Salary Rule,” raising t...

  The Maine Department of Labor (DOL) announced revised  proposed rulemaking   for the Maine Paid Family and Medical Leave Program. This comes on the heels of the first draft of   proposed rules   issued on May 20, 2024. Public comment is open through Sept. 30, 2024. Comments can be submitted  here . Maine DOL’s rulemaking follows the  Maine Legislature’s passage of the new law in 2023 . Employees can begin receiving paid leave benefits effective on May 1, 2026, and employer contributions to the plan funding those benefits begins on Jan. 1, 2025. The proposed rules provide greater detail as to how the DOL plans to implement and enforce the new program. Although they are substantially similar to the initial proposal, the revised rules contain a number of relatively minor changes and reorganizations and seven significant changes: Bona fide volunteers will be excluded from the program’s coverag e. Federal employees will be excluded from coverage. Previous...

  In corporate compliance, some very basic compliance lessons are destined to be repeated. This was clear from the recently announced   Securities and Exchange Commission   (SEC) Foreign Corruption Practices Act enforcement action involving Deere (John Deere herein). The $9.9 million settlement between John Deere and the SEC involved FCPA violations at its Wirtgen Group subsidiary. It offers a stark reminder that even the most established companies can stumble over basic compliance principles . For those in the compliance community, this case highlights the importance of robust integration post-acquisition and serves as a throwback to classic FCPA pitfalls that should have been avoided. The John Deere Case: A Synopsis According to the  SEC Press Release  announcing the resolution, “From at least late 2017 through 2020, Wirtgen Thailand employees bribed Thai government officials with the Royal Thai Air Force, the Department of Highways, and the Department of Rura...

  As AI becomes an integral part of modern business, it’s critical for companies to establish a strategic AI policy and framework that not only addresses current challenges but also positions them for future growth and opportunities . AI is rapidly reshaping industries, and having a clear plan in place ensures your organization is not just keeping pace but staying ahead. Why is this important for your company’s future? Here are some things to consider: Anticipating Legal and Regulatory Changes.  AI laws and regulations are evolving quickly, and staying compliant means being proactive, not reactive. A forward-thinking AI policy helps your organization anticipate and adapt to new laws and standards, ensuring you’re ready for future changes and minimizing disruptions to your operations. Driving Ethical and Responsible Innovation.  In the eyes of consumers and stakeholders, trust is everything . An AI framework that prioritizes ethics and accountability ensures your innovat...

  Seeks to reduce risks of discrimination, yield benefits for disabled job seekers WASHINGTON  – The U.S. Department of Labor today announced the publication of the  AI & Inclusive Hiring Framework  a new tool designed to support the inclusive use of artificial intelligence in employers’ hiring technology and increase benefits to disabled job seekers.  Published by the  Partnership on Employment & Accessible Technology  the framework will help employers r educe the risks of creating unintentional forms of discrimination and barriers to accessibility as they implement AI hiring technology . Funded by the department’s  Office of Disability Employment Policy , the initiative will also help workers and job seekers navigate the potential benefits and challenges they may face when encountering AI-enabled technologies. PEAT’s framework is based on the  National Institute of Standards and Technology’s AI Risk Management Framework and includes...

The AI+HI Podcast Artificial intelligence is reshaping business and HR at breakneck speed—but are we ready for the ethical storm ahead? From chatbots that combat conspiracy theories to systems that can deceive humans, the line between innovation and risk blurs daily. In this week’s issue, a machine learning pioneer recommends treating AI tools like “child prodigies” needing guidance, tech giants race to enhance AI decision-making, and an Emmy-winning journalist warns of present dangers with AI and hiring. Watch or Listen to the Latest Episode: Transcript to Podcast This week, Yeah. We're exploring the need for ethics, transparency, and accountability when using AI for recruitment, as well as for performance management. This is particularly relevant for us as we've seen great investments across the board in a variety of different startups, different technologies focused primarily on these two areas, especially in the space of HR. Our guest this week is Hilke Schellmann, author o...