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Showing posts with the label 2025-10-17 Digest

Navigating NLRA Compliance During the Government Shutdown

  When the federal government shuts down,   many agencies   — including the National Labor Relations Board (NLRB or the “Board”) — scale back and, in some instances, suspend operations. For employers, this can create uncertainty about how to handle labor relations issues when the NLRB is not actively processing cases, conducting elections, or issuing rulings. However, it is critical to remember that the  National Labor Relations Act (NLRA) itself is still in effect . Most private employers,  regardless of whether they are unionized , remain fully bound by its requirements, even if Board enforcement is temporarily delayed. Below are key considerations for maintaining compliance and minimizing risk during this shutdown period. 1. Eligible employees can still engage in protected activity. Even though the NLRB may not be operating at full capacity, employers must continue to respect employees’ rights to engage in protected concerted activity, including union organiz...

Get Ready for a Major Change in the Tax Treatment of 401(k) Catch-Up Contributions

SECURE Act 2.0 introduces new rules applicable to 401(k) plan catch-up contributions that will take effect in 2026. This Alert provides a brief explanation of catch-up contributions and actions which plan sponsors and employers need to take now to address this change in the law. Participants in a 401(k) plan who are age 50 or older by the end of the calendar year can make “catch-up contributions” if they have made their maximum 401(k) contributions for the year. In 2025, the 401(k) contribution is limited to $23,500. The maximum catch-up contribution in 2025 is $7,500 , with an exception for participants ages 60-63 whose catch-up contribution limit in 2025 is $11,250 . These dollar amounts are subject to cost-of-living adjustments. In 2025, 401(k) and catch-up contributions can be made either on a pre-tax basis or after-tax as a Roth contribution. Investment earnings on both types of catch-up contributions are tax-deferred while they remain in the plan. However, pre-tax catch-up contr...

Employer Guide to California’s New Workplace Laws Coming in 2026 (and Beyond)

California lawmakers were busy this year, and Gov. Gavin Newsom just signed many bills into law that will impact the workplace starting in 2026. Here is a snapshot guide of some of the top new workplace laws taking effect January 1 (except as otherwise noted), plus links to our deeper dive insights, which include practical compliance tips for employers. We’ll also cover a few key vetoes that will give you a sigh of relief. Top 11 California Workplace Laws Taking Effect in 2026 (and Beyond) 1. Large AI Transparency Law for Frontier Models ( SB 53 ) The Transparency in Frontier Artificial Intelligence Act is the nation’s first comprehensive attempt to require safety and transparency reporting for the most powerful artificial intelligence systems. This move comes one year after Gov. Newsom vetoed a broader AI safety bill that drew criticism for imposing heavy-handed mandates. While the new law represents a strategic shift, it includes core requirements for frontier developers, as well as ...

California Governor Vetoes “No Robo Bosses Act” – What Employers Need to Know About Latest AI Workplace News

  California Governor Gavin Newsom late Monday vetoed the much-watched “No Robo Bosses Act” (SB 7), a measure that would have placed strict limits on how employers use AI in discipline, termination, and scheduling decisions. While the Governor acknowledged the growing risks of automated workplace tools, he concluded the bill was overbroad, duplicative of existing regulation, and potentially harmful to California businesses . This move will have an impact on employers not only in the Golden State but across the country as regulators from coast to coast struggle with how – and whether – to regulate artificial intelligence in the workplace . Here’s a review of the veto and what it means for employers. NOTE: Our next AI Forum webinar will cover the state of AI regulation in California. Join our California insider for this interactive conversation on Wednesday, October 15.  Register here . The No Robo Bosses Act in a Nutshell SB 7, dubbed the “No Robo Bosses Act,” would have made ...

New Jersey Employers Face Another Minimum Wage Increase in 2026: Your Compliance Guide for the Year Ahead

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For the eighth year in a row, New Jersey will be increasing its minimum wage effective January 1, 2026. Under a law passed in 2019, the New Jersey Department of Labor and Workforce Development (NJDOL) initially set a new minimum wage rate in 2024 and sets the wage for the coming year based on an increase in Consumer Price Index (CPI) data provided by the U.S. Bureau of Labor Statistics. The NJDOL recently announced on October 1 that, based on CPI data, the minimum wage will increase by 43 cents to $15.92 per hour for most employees , fulfilling what Governor Murphy called “making the dream of a livable wage a reality.” Here is a summary of the increases that will soon take effect, along with some compliance recommendations to prepare. Summary of 2025 Minimum Wage Levels According to the recent NJDOL update,  the following minimum wage increases will go into effect on January 1, 2026: Most employers: increase from $15.49 to  $15.92 per hour Tipped employees:   increa...

Navigating WARN Act Compliance Amid Government Shutdown and Federal Contract Cancellations: What Federal Contractors Need to Know

The Trump administration’s push to downsize the federal workforce has entered a new phase, marked by rounds of layoffs, the deferred-resignation plan, and other voluntary departure programs. As the federal government shutdown enters its second week, the administration has escalated its response by threatening sweeping program cuts and workforce reductions. As the administration continues its focus on reducing federal spending, many federal contractors are bracing for a wave of contract and grant reviews, reductions, and terminations . These changes, often sudden and sweeping, can force federal contractors and grant recipients into difficult decisions about workforce reductions. For recipients of federal funds, these decisions are not just operational or financial—they also carry significant legal obligations under the federal Worker Adjustment and Retraining Notification (WARN) Act, and in some cases, under state “mini-WARN” laws that can be even more stringent. Navigating the complexi...