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Jack Mahon is an associate in Dykema's Detroit office. He focuses his practice on Litigation and Labor and Employment matters.

The Sixth Circuit’s recent decision in Bruce v. Adams & Reese, LLP (No. 25-5210) provides critical guidance on the application of the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 (EFAA). This case clarifies the pleading standards for hostile work environment claims under Title VII, but also, and more importantly, establishes a significant precedent regarding the scope of the EFAA’s arbitration bar.Continue Reading Understanding the Sixth Circuit’s Decision in Bruce v. Adams & Reese, LLP: A Landmark Interpretation of the EFAA

Takeaways

  • The National Labor Relations Board has reinstated its 2020 joint employer standard, requiring substantial direct and immediate control over essential terms and conditions of employment to establish joint employer status.
  • The U.S. Department of Labor has proposed rescinding its 2024 independent contractor rule and returning to a Trump-era “economic reality” framework.
  • Employers should proactively reassess joint employer relationships and independent contractor classifications in light of these regulatory shifts and the DOL’s anticipated final rule later this spring.

NLRB Returns to 2020 Joint Employer Status Test

On February 26, 2026, the National Labor Relations Board announced a return to the joint employer status test in effect during President Trump’s first administration. The final rule replaces a 2023 Biden-era test that was vacated by an order from the United States District Court for the Eastern District of Texas on March 8, 2024. The Board explained that its final rule replaces the vacated regulatory text with the previous version of its rules that remain in effect after the Texas Order.Continue Reading Flip-Flop: Feds Announce a Final Rule on Joint Employer Status and a Proposed Rule on Independent Contractor Status

Takeaways

  • Employers that include unambiguous contractual language regarding integration and modification in employment agreements must ensure that the agreement contains all relevant terms and conditions of employment.
  • Careless drafting or inconsistent onboarding documents can eliminate otherwise enforceable employer protections.

The Michigan Court of Appeals recently provided employers with an important reminder about the interplay between employment applications and employment agreements in Mayberry v. Acrisure Wallstreet Partners, LLC. In that case, the Plaintiff signed both an employment application and a separate employment agreement at the time he was hired. The application included a shortened limitations period that required her to bring any claim against the Company within six months of the events underlying the claim. The employment agreement, signed later in the day, contained no such shortened limitations period.Continue Reading Michigan Court of Appeals Reminds Employers of the Importance of Carefully Drafting Employment Agreements and Onboarding Documents

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

Mothering Justice Decision

On July 31, 2024, the Michigan Supreme Court decided Mothering Justice et al. v. Attorney General et al. In that case, the Court reinstated two laws, the Earned Sick Time Act and the Improved Workforce Opportunity Wage Act, that appeared on the Michigan state ballot in September 2018. After having been voted upon, the Michigan legislature amended both laws. In Mothering Justice, the Court found this amendment process to be unlawful and reinstated both laws as drafted in 2018, effective on February 21, 2025. Each has major implications for Michigan employers, as explained below:Continue Reading 2025 Michigan Labor and Employment Legal Updates

On Wednesday, July 31, 2024, the Michigan Supreme Court handed down its opinion in Mothering Justice et al. v. Attorney General et al. In this case, community organizations challenged the State Attorney General’s determination that the Michigan Legislature could adopt a citizen initiative ballot proposal and later amend it in the same legislative session. The two laws at issue, the Improved Workforce Opportunity Wage Act (the Wage Act) and the Earned Sick Time Act (the ESTA), were contained in ballot initiatives which were adopted by the Michigan Legislature in September of 2018. The Legislature’s adoption precluded the initiatives from appearing on the November 2018 ballot. The following December, however, the Legislature significantly amended the adopted proposals, including extending the time a new state minimum wage requirement would increase to $12 per hour and reinstating the tip credit at 38 percent of the regular minimum wage.Continue Reading Employers Take Note: Michigan Supreme Court Imposes a February 2025 Deadline to Drastically Overhaul Key Employment Policies Statewide