Compliance Stuff

On July 29, 2025, the U.S. Department of Justice issued a memorandum to federal agencies titled “ Guidance for Recipients of Federal Funding Regarding Unlawful Discrimination ”. The Guidance is intended to clarify how federal antidiscrimination laws apply to “programs or initiatives that may involve discriminatory practices, including those labeled as Diversity, Equity, and Inclusion (“DEI”) programs.” Although the Guidance’s title suggests that it applies only to entities receiving federal funding, the Guidance advises entities that are “otherwise subject to federal antidiscrimination laws, including educational institutions, state and local governments, and public and private employers” to “review this guidance carefully to ensure all programs comply with their legal obligations. ” This Guidance builds on Executive Order 14173 ( Ending Illegal Discrimination and Restoring Merit-Based Opportunity ), dated January 21, 2025, which condemns “illegal DEI discrimination and preferences” an...

As we pass the halfway point of 2025, there has already been a flurry of legislative changes and court decisions that have changed the landscape of Texas employment laws. With several of these laws already in effect, and others becoming effective on September 1, 2025 , now is the time for Texas employers to become informed of these changes and take appropriate action to comply with these new developments. Key changes include:  1. “Ban the Box” Legislation (HB 2466) With respect to the hiring process, effective September 1, 2025, Texas will join 37 states which prohibit employers from inquiring about an applicant’s criminal history on its job application. The Equal Employment Opportunity Commission (EEOC) has long taken the view that “banning the box” will prevent job applicants with prior convictions from being automatically excluded from job opportunities. 2.  Expansion of Protections for Gig Workers and Independent Contractors New guidance from the Texas Workforce Commissi...

Summary The federal government recently unveiled America’s AI Action Plan (the Plan), a sweeping policy roadmap aimed at clearing away regulatory barriers, supercharging U.S. investment in infrastructure and talent surrounding AI, and asserting U.S. leadership in global AI markets. In part, the Plan directs federal agencies to eliminate regulations that could impede AI technology development and calls for the funding of various federal initiatives to helps workers retrain and thrive in an AI economy . The Plan also threatens to withhold federal funding and program awards from states that have strict AI regulatory environments. Meanwhile, several states are currently scheduled to implement laws that regulate how employers may use artificial intelligence during the hiring process and when they make other personnel decisions. It remains to be seen whether the Plan will deter these states from pursuing new AI regulation, including restrictions on how companies use AI technology in their h...

The Trump administration is one step closer to unveiling a major change in how H-1B visas are allocated. On August 8, the White House’s Office of Information and Regulatory Affairs (OIRA) signed off on a proposed rule that could significantly reshape the selection process for specialty occupation workers. While the U.S. Citizenship and Immigration Services (USCIS) has not released details yet, it is expected that the proposal will revive an original Trump 1.0 era idea: replacing the current random lottery with a system that favors higher-wage offers. Under that earlier plan, applications would have been ranked by salary level, with the highest wage tiers getting priority until the annual cap of 85,000 visas is met. The Trump administration framed the wage-based approach as a way to attract and retain highly skilled talent. Critics, including many businesses and immigration advocates, warned that it would shrink the pool of eligible candidates, disproportionately affecting smaller em...

 T hough delayed, OFCCP has released the updated the annual Veteran Hiring Benchmark. The benchmark is set at 5.1% effective July 30, 2025. The current 5.1% benchmark, is slightly lower than the previous mark of 5.2% set in  March 2024  and continues the steady downward trend for this annual hiring benchmark. Though there r emains uncertainty around the future of OFCCP’s existence and VEVRAA enforcement responsibilities , as a reminder, covered government contractors still have an obligation to e stablish an annual veteran hiring benchmark as part of the preparation and implementation of their  VEVRAA Affirmative Action Plan s. Source(s): OFCCP Updates Annual Veteran Hiring Benchmark | JD Supra . (2025). JD Supra. https://www.jdsupra.com/legalnews/ofccp-updates-annual-veteran-hiring-6259460/?origin=CEG&utm_source=CEG&utm_medium=email&utm_campaign=CustomEmailDigest&utm_term=jds-article&utm_content=article-link Mitchell, L. A. (2025, July).  OF...

On August 1, 2025, Illinois Governor J.B. Pritzker signed  Senate Bill 220 , amending the state’s Military Leave Act to require employers to provide up to 40 hours of paid leave for eligible employees when serving on a funeral honors detail. This leave is in addition to other paid leave an employer already provides to its employees, whether due to legal requirements ( e.g ., under the Illinois Paid Leave for All Workers Act) or as a voluntary company benefit. The law went into effect upon signing. Covered Employers and Employees Employers with 51 or more employees must provide funeral honors detail leave. This leave is available to an employee who has been employed by the same employer for at least 12 months and has provided at least 1,250 hours of service during the 12-month period immediately preceding the leave. To be eligible for funeral honors detail leave, the employee must also be: Trained to participate in a funeral honors detail at the funeral of a veteran; and Either: A ...

According to the Illinois Department of Labor (IDOL), thousands of employers filed for their first Illinois Equal Pay Registration Certificate (EPRC) between mid-2023 and early 2024. Since employers are required to renew these certificates every two years, that means thousands of employers are already facing a submission deadline to ensure EPRC compliance. Quick Hits In 2021, Illinois amended its Equal Pay Act of 2003, requiring covered employers to submit demographic and wage data to the Illinois Department of Labor (IDOL) to obtain an Equal Pay Registration Certificate (EPRC). Employers that have one hundred or more Illinois employees must obtain an EPRC. An employer’s EPRC must be renewed every two years. Employers must count employees physically working in Illinois, as well as fully remote employees who report to management in Illinois, to determine if they must file the EPRC application. For the 2025 submission cycle, the IDOL has made a few changes to the data template and submis...