Compliance Stuff

  On February 6, 2026, the U.S. Court of Appeals for the Fourth Circuit issued a narrow  ruling  in  National Association of Diversity Officers in Higher Education v. Trump , vacating a preliminary injunction that had blocked enforcement of  Executive Order 14151 , “Ending Radical and Wasteful Government DEI Programs and Preferencing,” and  Executive Order 14173 , “Ending Illegal Discrimination and Restoring Merit-Based Opportunity.” The decision leaves employers with ongoing and significant uncertainty about what distinguishes lawful diversity, equity, and inclusion (DEI) programming from activities the administration may target for enforcement as “unlawful DEI.” 0:00 9:51 Quick Hits On February 6, 2026, the Fourth Circuit held that the plaintiffs’ facial challenges in  National Association of Diversity Officers in Higher Education v. Trump  to President Trump’s anti-DEI executive orders (EOs) were unlikely to succeed, but the court did not valid...

Following the Supreme Court of the United States’ April 2024 ruling in  Muldrow v. City of St. Louis , employers have grappled with determining what constitutes an adverse employment action that will support a claim under federal antidiscrimination laws. A  recent decision  from the U.S. Court of Appeals for the Fourth Circuit offers some guidance in the context of job reassignments or transfers. Quick Hits In  Herkert v. Bisignano , No. 24-1420 (August 14, 2025), the Fourth Circuit found that, depending on the circumstances, a job reassignment may be an adverse employment action under the Supreme Court’s  Muldrow  standard. While finding that an employee’s acceptance of a new position does not necessarily mean that the change was voluntary, the Fourth Circuit declined to hold that  any  loss of supervisory authority would constitute “an actionable ‘disadvantageous change’ in employment status.” Employers may need to be prepared to explain and de...

Companies often must determine whether to treat workers as employees or independent contractors.  Workers who are properly classified as independent contractors are not subject to wage and hour laws requiring overtime pay or tax withholding, among other differences between the classifications .  The rules governing how to classify workers under the Fair Labor Standards Act (“FLSA”) frequently change, making this a challenging inquiry for many companies.  Relevant to this issue, last month, the United States Court of Appeals for the Fourth Circuit upheld a $9.3 million verdict against Steadfast Medical Staffing, a healthcare staffing agency who had misclassified approximately 1100 nurses as independent contractors instead of employees under the FLSA.  The case,  Chavez-Deremer v. Med. Staffing of Am., LLC , No. 23-2176 (4th Cir. July 17, 2025), serves as a reminder to companies—especially staffing agencies—to review relationships with their independent contractor...