The growing legal threat of 401(k) forfeiture class actions: What plan sponsors need to know
3/18/25
By: Thomas R. Starks
While ERISA class action lawsuits have been a growing concern for plan fiduciaries, a recent trend is the surge of class action lawsuits challenging the handling of 401(k) plan forfeitures.
Understanding 401(k) Plan Forfeitures
Some …
Acting NLRB General Counsel rescinds Abruzzo-era memo regarding severance and non-competes, signaling likely changes to labor law
2/18/25
By: Carli L. Smith
The NLRB is once again in the news: on Friday, acting National Labor Relations Board General Counsel William Cowen rescinded a series of memos issued by the previous General Counsel Jennifer Abruzzo. The rescission of the …
Recent Third Circuit decision shows that employers may face significant penalties for failing to pay employees for work-related travel
2/11/25
By: Shane Miller
In Pennsylvania, New Jersey, and Delaware, employers must compensate employees for work-related travel during the workday, including travel time from one job site to another. Employers may face significant monetary penalties if they fail to do so.…
New administration’s anti-DEI initiatives and impact on employers
2/10/25
By: Chloe C. Zidian
On January 21, 2025, amidst a flurry of others, the new president signed an Executive Order abolishing federal contractors’ affirmative action requirements, reducing other DEI programs for federal employees, and discouraging DEI efforts in the private …
California appellate court rejects “Headless PAGA” as a way to avoid arbitration
1/13/25
By: John K. Rubiner
At the very end of 2024, the California Court of Appeal for the Second District issued its opinion in Leeper v. Shipt (Cal. App. December 30, 2024) 2024 WL 5251619. This is an important case concerning …
Navigating SECURE 2.0: What’s new for ERISA plan sponsors in 2025
1/9/25
By: Thomas R. Starks
The SECURE 2.0 Act, which amends ERISA and parts of the Internal Revenue Code, includes several provisions that will take effect in 2025. To ensure compliance, 401(k) plan sponsors must ensure that these provisions are implemented. …
Be on the lookout: AI bills impacting the workplace to monitor in 2025
11/25/24
By: Lauren K. Adjieff and Gaia T. Linehan
It’s no secret that Artificial Intelligence (“AI”) has the potential to change the workforce. The California Legislature is trying to keep pace with the ever-evolving digital landscape and its collateral effects. AB …
E.M.D. Sales, Inc. v. Carrera: What burden of proof must employers meet to establish an FLSA exemption?
11/19/24
By: Christopher M. Lewis
Is the burden of proof for employers to establish the applicability of a Fair Labor Standards Act (“FLSA”) exemption a mere preponderance of the evidence or clear and convincing evidence? That issue was argued before the …
Federal Trade Commission appeals ruling blocking non-compete ban
11/19/24
By: Emily Muzyka
On October 18, 2024, the Federal Trade Commission (FTC) appealed the Northern District of Texas’ August 20, 2024 nationwide injunction against the FTC’s new Non-Compete Ban. The Northern District of Texas’ order in Ryan, LLC v. Federal …
NLRB outlaws captive audience meetings
11/18/24
By: Thomas R. Starks
In a case involving Amazon, the National Labor Relations Board (“NLRB”) issued a ruling on November 13, 2024 prohibiting employers from holding mandatory captive audience meetings. Captive audience meetings have been a powerful tool for employers …
Federal judge invalidates DOL salary threshold changes
11/18/24
By: Sunshine R. Fellows
On Friday, November 15, 2024, the United States District Court for the Eastern District of Texas struck down the Department of Labor’s final rule increasing the minimum salary thresholds for workers to be considered exempt from …
Employer use of reports utilizing third-party consumer data tracking is subject to the Fair Credit Reporting Act
11/7/24
By: Courtney M. Knight
Data tracking for purposes of marketing has often been debated, however, the increasing use in employment decisions has been less discussed. The Consumer Financial Protection Bureau (“CFPB”) has now issued guidance related to the use of …