Compliance Stuff

Puerto Rico (PR) OSHA has issued a public notice announcing revisions to the fines and penalties imposed on employers for noncompliance with adopted OSHA standards, effective as of November 3, the date of the notice’s publication. Under the updated penalty framework, willful or repeated violations carry a minimum fine of $11,823 and a maximum of $165,514 per violation. Serious violations are subject to penalties ranging from $1,221 to $16,550 per violation, while non-serious violations carry no minimum penalty and a maximum of $16,550 per violation. Employers that fail to correct a cited violation may be fined up to $16,550 per day until the violation is remedied. Failure to comply with posting notice requirements may result in penalties of up to $16,550. These revised penalty amounts are intended to align PR OSHA enforcement with federal OSHA standards and to strengthen deterrence against workplace safety and health violations in Puerto Rico. The adjustments were adopted pursuant to ...

New York has officially joined California at the forefront of US artificial intelligence regulation. Governor Kathy Hochul just signed a revised version of the Responsible AI Safety and Education Act (RAISE Act) into law on Friday, establishing strict safety obligations for developers of the most advanced AI systems. The final law is narrower and less punitive than the version passed in June, but still marks one of the most consequential state AI safety laws enacted to date . Here’s what businesses need to know about what actually became law – and some specific steps you can take in 2026 to prepare for the January 1, 2027 effective date. AI Regulation Focused on Catastrophic Risk: Who is Covered? Unlike most state AI laws and proposed laws that focus on bias, discrimination, or consumer deception, New York’s RAISE Act targets a very specific risk category: catastrophic harm caused by highly capable AI systems. The law applies to “frontier models,” the largest and most advanced AI sys...

The Department of Homeland Security (DHS) just finalized a change to the H-1B visa program to officially replace the traditional random lottery with a wage-weighted selection system. The rule, released earlier today and expected to be formally published in the Federal Register on December 29, marks one of the most significant structural shifts to the H-1B cap process in decades and will require you to take a new approach to your annual immigration strategy. You should begin preparing for the 2026 cap season by reading the summary below and reviewing our list of seven suggested action items. What Just Happened The final rule largely mirrors the proposal unveiled in September,  which we previously covered in detail  here . In a nutshell: DHS will replace the random H-1B cap lottery with a weighted selection process that favors higher wage levels assigned to the offered position. The rule applies to all 85,000 annual H-1B cap numbers, including: 65,000 under the regular cap, and...

On December 19, 2025, the Internal Revenue Service (IRS)  announced  that it extended the grace period for states and employers to report tax information about benefits paid through a state’s paid family and medical leave program. For 2026, states and employers will not have to comply with tax and income reporting obligations related to those benefits. Quick Hits The IRS recently declared it will not enforce tax and reporting requirements for state paid family and medical leave (PFML) benefits in 2026. Thirteen states and Washington, D.C., have enacted state-run paid family and medical leave programs. Under  Revenue Ruling 2025-4 , amounts paid to an employee under a state’s PFML program should be included in an employee’s gross income and are wages for federal employment tax purposes. However, for 2025, states and employers did not have to comply with the employment tax and reporting requirements in that revenue ruling. In its latest notice, the IRS stated, “States may ...

Year-end is traditionally a time for looking back and planning ahead . . . in life, as well as in the course of your business. Included here are some things you will want to consider at the end of 2025, going into 2026. Prepare for annual filings. The year-end is the perfect time to consider whether you need to update information about your corporation, limited liability company, or other entity in the state of your organization, or any state in which you are qualified to do business. S ome items you’ll want to review include: Address Agent for service of process Authorized shares Purpose It is also a great time to review your business and determine if there are any states where your entity’s conduct of business will require it to register as a foreign entity. While Ohio doesn’t require annual reports, other states, such as Delaware, Kentucky, Indiana, and Tennessee, do, and you should prepare for these filings for any entity that is organized or does business in those states. Likewis...

Deregulatory action fully revokes requirements of Biden Executive Order 14055 WASHINGTON  – The U.S. Department of Labor today announced the  rescission of regulations   published by the previous administration in 2023 requiring contractors and subcontractors to give qualified employees the right of first refusal of employment with a successor contract.  On Jan. 20, President Trump issued  Executive Order 14148, “ Initial Rescissions of Harmful Executive Orders and Actions ” which revoked, among other items, Executive Order 14055. Today’s action fully implements Executive Order 14148 and revokes Executive Order 14055. Workers and employers can call the  Wage and Hour Division  with questions and requests for  compliance assistance  at its toll-free helpline, 866-4US-WAGE (487-9243). Employers are encouraged to use the agency’s industry-specific  compliance assistance toolkits  to learn about their responsibilities under the laws enf...

KEY TAKEAWAYS: The federal government seeks to embrace the Artificial Intelligence revolution, de-regulate the industry, and solicit significant investment to spur exponential growth The federal government’s hands-off approach with respect to regulation and enforcement has led states, like New York, to enact their own regulations and restrictions for AI New York City made the first attempt to regulate AI in the employment context, which the State of New York hopes to build upon and strengthen in all facets of daily life As 2025 ends, employers and business owners may claim that the Trump Administration’s embrace of the Artificial Intelligence (AI) revolution was a major focal point of the administration’s first-year agenda. Indeed, the Trump Administration views AI as a tool to spur economic growth and competitiveness, which, in turn, requires little regulation for industry to thrive . Recently, t he topic of federalism has entered public conversation: should the federal government re...