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Showing posts with the label 2025-11-07 Digest

Recent DOJ Settlements Highlight Risks for Subcontractors Handling Sensitive Government Information

On September 30, the U.S. Department of Justice (DOJ) announced an $875,000 settlement with a university over failures to comply with the data security obligations in certain contracts with the Air Force and the Defense Advanced Research Projects Agency (DARPA) . This announcement, along with several other recent settlement announcements by the DOJ and its  Civil-Cyber Fraud Initiative , highlights the contract compliance risks for government contractors and subcontractors who handle sensitive government information and yet fail to comply with the federal government’s cybersecurity requirements.   The university’s case and several like it involve compliance with the requirements of  DFARS 252.204-7012  (Safeguarding Covered Defense Information and Cyber Incident Reporting). This DFARS clause is a federal regulation that establishes minimum standards for how defense contractors and subcontractors must protect sensitive government information and report cybersecur...

Voters Pass More Wage Hikes in Portland, Maine: Everything Employers Must Know

Voters in Portland, Maine, just approved a ballot measure that will gradually increase the city’s minimum wage to $19 per hour by 2028 . Here’s everything businesses operating in the city need to know about the changes before the first wage hike kicks in on January 1. Portland’s Wage Hikes Begin January 1 Portland voters passed a citizens’ initiative on November 4 that will raise the city’s hourly minimum wage, which is currently $15.50, based on the following schedule:  $16.75 , effective January 1, 2026 (July 1, 2026, for employees of the City of Portland) $17.75 , effective January 1, 2027 $19.00 , effective January 1, 2028 In addition, the city’s minimum wage will be subject to further annual cost-of-living increases starting in 2029. Roughly 63% of voters approved the initiative, according to  unofficial referendum results  shared by the city. No Increase for Tipped Workers The initiative does not include an additional increase for tipped workers, who are currently g...

The EEOC’s Out-of-Office Message: What It Means for Employers

Seyfarth Synopsis : Thirty days into the Federal government shutdown, few personnel of the U.S. Equal Employment Opportunity Commission (“EEOC”) are available and operations have been slashed. However, this does not mean that employers can put aside all EEOC-related concerns until the government opens again. New charges continue to be filed—though employers remain in the dark about the content or volume of potential claims—and deadlines continue to apply. While this pause may feel like a temporary reprieve, it is important for e mployers to stay alert and consider how their charge activity will be impacted by a continued shutdown. The EEOC’s Contingency Plan The EEOC published a  contingency plan  to be implemented in the event of a shutdown. Per the plan, nearly 93% of its workforce has been furloughed, and the EEOC has suspended all “nonessential” functions, significantly curtailing its operations. These “nonessential” functions include investigations into discrimination ch...

Workplace Law Update: 10 Essential Items on Your November 2025 To-Do List

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Here are the top items you should tackle this November, based on the latest workplace law developments and upcoming critical compliance dates:   _____ Assess the impact as the government shutdown continues.  We’re now experiencing one of the longest government shutdowns in US history, which will have a huge impact on federal agency enforcement and the roll out of new regulations. What do employers need to know as we wait for a resolution? Here are our  answers to your top questions . _____ Be prepared for hurricanes and other natural disasters.  Recent devastating hurricanes in the Caribbean served as a stark reminder for US employers to review response plans and prepare for a possible late-season storm that could disrupt operations. Here are  the most critical issues you need to be aware  of during preparation and recovery. _____ Track workplace issues on the Supreme Court’s docket.   The Supreme Court kicked off a new term on October 6 and is set to ...

The Next AI Frontier: From Prompts to Purchases

A New Normal At this point, we've all become familiar with generative AI models. Most users today engage with AI models through a conversational interface: they type prompts, questions, or instructions, and the model replies. People treat these systems like a "smart assistant," not by handing off control, but by querying, iterating, refining its output, and guiding it with feedback. In this interaction mode, the human remains in the loop . The AI system is a collaborative tool, not an independent actor. "Agentic" AI seeks to expand on those capabilities by enabling agentic systems to take action on behalf of users, rather than simply providing information and analysis. Imagine planning for a weekend trip, including making reservations for flights and hotels. Instead of spending time comparing airlines, flight times, loyalty points, and prices, an AI agent handles the entire process for you. The agent knows your travel preferences, loyalty memberships, budget, an...

Small Business Administration releases state-level analysis of government shutdown impact on small business lending

On October 21, the U.S. Small Business Administration (SBA)  released  a state-by-state analysis of the impact of the ongoing federal government shutdown on small business lending. The SBA reported that its core 7(a) and 504 loan programs were frozen due to the ongoing shutdown, preventing the agency from delivering an estimated $170 million in SBA-backed loans to approximately 320 small businesses each business day. From the beginning of the shutdown to October 21 (the date of SBA’s analysis), the SBA estimated that $2.5 billion in loan proceeds had been blocked from reaching approximately 4,800 small businesses across the country. The SBA’s analysis enumerated, by state, the weekly number and value of SBA loans not approved due to the shutdown, with California, Texas, Florida, and New York experiencing the largest amounts of delayed loan proceeds. [ View source .] Source(s): Small Business Administration releases state-level analysis of government shutdown impact on small b...

Policy Week in Review – October 31, 2025

At a Glance The Policy Week in Review, prepared by Littler’s Workplace Policy Institute (WPI), sets forth WPI’s updates on federal, state, and local matters. DHS Rule Will Eliminate Automatic Extension of Work Permits  On October 30, the Department of Homeland Security (DHS) published an  interim final rule  (IFR) eliminating the automatic extension of expiring employment authorization documents (EADs) for foreign workers . The IFR states that “ the purpose of this change is to prioritize the proper vetting and screening of aliens before granting a new period of employment authorization and/or a new EAD .” The DHS notes the IFR does not impact the validity of EADs that were automatically extended prior to October 30, 2025, or are otherwise automatically extended by law. This significant policy change will have a disruptive impact on employers in various sectors trying to meet the demands of a competitive workforce. Although the IFR is effective immediately, the regulated ...

Employers Beware: Something Wicked This Way Comes

Double, double, toil and trouble…guidelines change, employers struggle. In 2025, the figurative Hydra monster of regulations and requirements sprouts new and vicious Venus Flytrap heads by the day in the federal government’s own Little Shop of Horrors. Through new legislation, guidance, and Executive Orders, something spooky and sinister lurks around every corner and behind every door. The surest defense against these ghoulish traps is nimble navigation through the ever-changing legal labyrinth, and the most important weapon in an organization leader’s arsenal is knowledge. This Client Alert contains valuable reminders and tips for employers to exorcise bad practices and dodge the most common current and forthcoming legal trapdoors. We cannot possibly rip the mask off all legal developments that may impact your business, and this alert does not constitute legal advice, but we will take a stab at summarizing a few of the more hair-raising developments. There’s no better time than Hallow...