Takeaways

  • Minimum wage increases at the state, Minneapolis, and St. Paul levels will require multi-jurisdictional employers to reassess payroll practices.
  • New rules on meal and rest breaks significantly expand employee protections and reduce employer flexibility.
  • Paid Family and Medical Leave planning must begin now, with critical notice, premium, and plan-selection deadlines approaching in late 2025.

Minnesota saw several changes to labor and employment laws take effect in 2025, with additional changes anticipated for 2026.Continue Reading 2025-2026 Minnesota Labor and Employment Law Update: Key Wage, Leave, Pay Transparency, and Workplace Compliance Changes for Employers

Takeaways

  • Michigan employers face steadily rising minimum wages, the phase-out of the tip credit, and temporary tax relief on tips and overtime through 2028.
  • A Michigan Supreme Court decision reshapes how courts evaluate shortened limitations periods in employment agreements, putting common handbook provisions at risk.
  • Michigan’s Earned Sick Time Act now applies broadly and will soon reach unionized workforces as collective bargaining agreements expire.
  • Proposed legislation could dramatically expand pay transparency, mandate formal job descriptions, and reclassify many independent contractors as employees.
  • Non-competes and right-to-work laws are once again in legislative flux, requiring employers to monitor Lansing closely in 2026.

As we enter 2026, Michigan employers should be aware of several Michigan employment laws that continue to have a major impact on employers, and some possible employment laws.Continue Reading 2026 Michigan Labor and Employment Law Update: Wage Increases, Sick Leave, Contract Limits, and Key Legislative Risks for Employers

Key Takeaways for D.C. Employers

  • Verify compliance with the new $17.95 minimum wage effective July 1, 2025.
  • For government contractors and assistance recipients, ensure workers are paid at least the living wage rate tied to CPI adjustments.
  • Review non-compete agreements to confirm they are limited to qualifying highly compensated employees and comply with statutory notice and duration requirements.
  • Display the updated DOES Minimum Wage Poster once released.

Each year, the District of Columbia (the “District”) updates key labor and employment laws affecting local employers and workers alike. For 2026, important changes include new wage rates under the Living Wage Act of 2006 and the Minimum Wage Act, as well as revised compensation thresholds under the District’s non-compete law.

Employers operating in the District should review these developments to ensure policies, contracts, and pay practices remain compliant going into the new year.Continue Reading 2026 Washington, D.C., Labor & Employment Law Updates: Minimum Wage, Living Wage, and Non-Compete Changes Employers Must Know

Takeaways

  • DEI programs that involve quotas, restrict participation, or employ diversity-based selection criteria face heightened legal risk.
  • Employers may need to revisit DEI training content to avoid claims of discrimination or hostile work environments.
  • Proactive compliance reviews in 2025 can help employers reduce litigation and enforcement exposure heading into 2026.

As 2025 comes to a close, all U.S. employers face several important legislative and regulatory updates that reshape the workplace landscape heading into 2026, related to changes in federal law. A summary of such important updates applicable to all employers is provided below:Continue Reading 2025–2026 Federal Labor & Employment Law Update: EEOC and DOJ Signal Heightened Scrutiny of DEI Programs

Takeaways

  • New amendments significantly restrict how employers draft employment, separation, and settlement agreements.
  • Expanded leave laws require immediate policy and handbook updates.
  • New AI restrictions directly impact recruiting, hiring, and other employment decisions, with notice and anti-discrimination requirements.

As 2025 draws to a close, employers should be aware of new Illinois employment laws going into effect in January 2026.

Below is a summary of the upcoming changes to Illinois law:Continue Reading 2026 Illinois Employment Law Update: New Compliance Obligations on AI, Leave, Pay, and Workplace Agreements

The 2026 statutes enacted by the legislature that impact employment are fewer in number than in prior years. Still, California employers need to be aware that the new 2026 employment laws focus on strengthening existing laws to further expand employee rights and extend job protections. Amendments imposing stricter and more complicated requirements were enacted, and sanctions for employer non-compliance increased. The most notable among them are minimum wage increases, prohibitions on “Stay or Pay” employment contracts, and notice requirements.

This article summarizes the key employment laws to take effect in 2026 and beyond, along with the significant court decisions that will have the most impact on the workplace—but it does not cover everything. Please reach out to any of Dykema’s Labor and Employment attorneys to discuss the impact of the new regulations on your business and to assess the best approach for complying with these new developments.Continue Reading New 2026 California Employment Laws: How Businesses Can Protect Themselves

Takeaways

  • The FTC’s withdrawal of its broad non-compete ban does not signal a retreat from enforcement—in fact, the agency is sharpening its focus.
  • Recent FTC actions show a clear shift toward targeted, case-by-case challenges to non-compete agreements deemed unfair or overbroad.
  • A new FTC complaint highlights the agency’s concern with blanket non-competes applied without regard to job role or responsibility.

It would not be unreasonable to question the future of FTC enforcement against non-compete agreements after the FTC abandoned the prior administration’s rule banning nearly all employee non-compete agreements.[1] But the FTC has signaled its intent to continue enforcement against those non-compete agreements that unreasonably restrain employment options in a more targeted, case-by-case manner under Section 5 of the FTC Act (15 U.S.C. § 45).Continue Reading FTC Signals Continued Scrutiny of Employee Non-Compete Agreements

As the use of artificial intelligence (AI) becomes more prevalent in the workplace, employers should put in place guidelines to ensure that the benefits of AI are not offset by risks associated with its use. This can best be accomplished via a company policy, along with employee training and the designation of a company employee to answer all AI-related questions and address AI-related issues.

An AI policy should:Continue Reading Artificial Intelligence – Issues for Employers to Consider

Takeaways

  • The DOL will no longer seek liquidated damages during investigations unless a court orders them following a lawsuit.
  • The DOL will disregard the 2024 independent contractor rule and revert to longstanding common-law standards.
  • The Opinion Letter Program has been reinstated, offering employers clearer compliance guidance under the FLSA.

It’s been just over 100 days under the new Administration. We have a new Secretary of Labor, and we’re on the cusp of most of the other nominees for key DOL positions being confirmed by the Senate. Even with some key posts unfilled, during this short period, a number of key shifts in DOL enforcement policy have occurred. Here is a summary of just a few.Continue Reading 3 Important DOL Wage and Hour Enforcement Changes Employers Should Watch

Takeaways

  • The U.S. Supreme Court rejected a heightened standard for reverse discrimination claims under Title VII.
  • This decision, combined with Muldrow, lowers the bar for employees to bring discrimination lawsuits.

On June 5, 2025, the U.S. Supreme Court (“SCOTUS”) issued a unanimous decision in Ames v. Ohio Department of Youth Services, which rejected a heightened standard for pursuing reverse discrimination claims under Title VII. Ames filed a lawsuit under Title VII alleging that she was discriminated against for being heterosexual when she was denied a promotion and then demoted in favor of homosexual coworkers. Ames applied for a newly created and open position within the Ohio Department of Your Services (“ODYS”). Not only did Ames not receive the job, she was subsequently demoted to her prior position with a reduced salary. The ODYS hired a lesbian woman for the position Ames sought. It then hired a gay man to replace Ames in her program leadership position after she had been demoted.Continue Reading Reverse Discrimination Claims Are Easier To Pursue After SCOTUS Decision