December 17, 2024

California Labor and Employment Law Updates for 2025

Adam Bouka

by Adam Bouka, Dora Lane, and Greg Saylin

As we move into 2025, California continues its trend of enacting progressive and comprehensive labor and employment laws. The new legislative updates span a range of critical issues, including whistleblowing, discrimination, workplace safety, artificial intelligence, and paid leave. Employers across the state must act swiftly to update their workplace policies and practices to comply with these changes, which take effect January 1, 2025. Below, we outline the most significant updates and what employers need to know.

Whistleblower Protections

California has expanded protections for whistleblowers with two significant updates:

AB 2299 requires employers to prominently display a list of employees’ rights and responsibilities under whistleblower laws, including the whistleblower hotline number. Notices must use lettering larger than 14-point type. To assist employers, the Labor Commissioner will provide a model list.
AB 2455 extends whistleblower protections to contractors reporting improper governmental activity while providing services to local governments.

Greg Saylin

Sexual Harassment Training

Under AB 2364, employers must pay increased fees under the Property Service Worker Protection Act to fund sexual violence and harassment prevention training. This change emphasizes California’s ongoing commitment to workplace safety and education. Read more >>

December 10, 2024

New Rule Permanently Extends the Automatic EAD Extension Period to 540 Days

Samantha Wolfe

By Samantha Wolfe

The Department of Homeland Security (DHS) is finalizing a critical regulatory change to permanently increase the automatic extension period for Employment Authorization Documents (EADs) from 180 days to 540 days for certain eligible renewal applicants. Scheduled to be published in the Federal Register on December 13, 2024, this rule represents a significant shift in employment authorization policy aimed at mitigating the risks associated with USCIS processing delays.

This change builds on temporary rules issued in 2022 and 2024, which successfully alleviated employment disruptions for thousands of workers and their employers. Here’s what we know so far, based on the unpublished version of the rule. Read more >>

December 6, 2024

Revised Exchange Visitor Skills List: A Game-Changer for J-1 Visa Holders from China, India, and Beyond

By Samantha Wolfe

Samantha Wolfe

The U.S. Department of State has announced a major update to the Exchange Visitor Skills List, effective December 9, 2024. This is the first significant revision in 15 years and removes the two-year home-residency requirement for J-1 visa holders from 34 countries, including China, India, South Korea, Saudi Arabia, and the UAE. These changes have profound implications for individuals, employers, and U.S. innovation.

What Is the Skills List?

The Exchange Visitor Skills List identifies countries and fields of expertise deemed essential for a country’s development. Nationals of these countries who hold J-1 visas have historically been required to return home for at least two years after completing their programs. The revised list eliminates this requirement for 34 nations, marking a significant policy shift toward talent retention in the U.S. Read more >>

November 19, 2024

Federal Court Strikes Down DOL’s 2024 Overtime Rule

Adam Bouka

By Adam Bouka and Brit Merrill

On November 15, 2024, the U.S. District Court for the Eastern District of Texas invalidated the Department of Labor’s (DOL) 2024 Final Rule, which increased salary thresholds for overtime exemptions under the Fair Labor Standards Act (FLSA). This decision in State of Texas v. Dep’t of Labor, Case No. 24-cv-468-SDJ, vacates the rule nationwide, halting its implementation and restoring the salary level in effect prior to July 1, 2024 ($35,586 per year, $684 per week) for executive, administrative, and professional (EAP) exemptions and ($107,432 per year) for the highly compensated employee exemption.

Brit Merrill

Key Takeaways:

Executive, Administrative, and Professional (EAP) Exemptions
- The planned salary threshold increase to $844 per week (or $43,888 annually), effective July 1, 2024, is no longer valid.
- Future staged increases, including the January 1, 2025 threshold of $1,218 per week and automatic updates starting July 1, 2027, are also void.
- Employers must revert to the prior salary threshold of $684 per week ($35,568 annually) for EAP exemptions.
Highly Compensated Employee Exemption
- The planned salary threshold increase to $132,964 effective July 1, 2024 is no longer valid.
- Future staged increases, including the January 1, 2025 threshold increase to $151,164, is now void.
- Employers must revert to the prior salary threshold of $107,432 per year for highly compensated employee exemptions.

November 18, 2024

Bracing for Impact: What Employers Need to Know About Homeland Security Investigations’ Worksite Enforcement Plans

Chris Thomas

By Chris Thomas

Our team recently engaged in discussions with both current and former officials at Homeland Security Investigations (HSI), the workplace enforcement arm of the U.S. Department of Homeland Security. In these discussions, beyond learning about the widely publicized plans to declare a state of emergency and to involve the military and national guard in worksite enforcement deportation and worksite enforcement activity, we gained insights into a few of the government’s lesser-known plans. Read more >>

November 6, 2024

Navigating Immigration Changes in 2025: What Businesses Need to Know Following the 2024 Election

By Samantha Wolfe

Samantha Wolfe

As the dust settles from the 2024 US presidential election, businesses with a significant international workforce are bracing for potential shifts in immigration policy. Former President Donald J. Trump’s return to office signals a likely shift towards more restrictive immigration measures, similar to his first administration’s policies and perhaps more expansive. With immigration playing a central role in his campaign, organizations with foreign national employees, global mobility programs, and compliance needs are advised to prepare for a potentially transformed immigration landscape.

Here are some key areas where we anticipate changes and what businesses should be aware of as we move into 2025.

1. Heightened Enforcement and Security-Based Policies

A renewed focus on immigration enforcement is expected, with a security-driven approach that may involve stricter compliance requirements and enhanced scrutiny of visa applications. Trump’s campaign promises suggest increased workplace inspections, audits, and enforcement actions from agencies such as US Immigration and Customs Enforcement (ICE) and the Department of Homeland Security (DHS).

For companies, this could mean heightened audits and the need for robust compliance protocols. Businesses should consider proactively reviewing their I-9 and E-Verify processes, conducting internal audits, and ensuring that their immigration practices align with federal regulations to mitigate any potential risks.

October 28, 2024

Current Issues in Fall 2024 for PERM Labor Certifications: What Employers Need to Know

Samantha Wolfe

By Samantha Wolfe

As we move through Fall 2024, employers navigating the PERM labor certification process face a range of challenges. The process—essential for sponsoring foreign workers for permanent residency—has become more complex due to funding shortfalls at the Department of Labor’s Office of Foreign Labor Certification (OFLC), increased scrutiny of applications, and longer processing times. If your company sponsors employees for green cards, understanding these issues is crucial to avoid delays and ensure compliance.

Here’s what you need to know and how to manage the most pressing PERM issues facing employers today.

1. OFLC Funding Shortages Are Causing Lengthy Delays

The OFLC, responsible for processing PERM labor certifications, is dealing with budget constraints that have led to significant delays. This means that key parts of the process, like prevailing wage determinations and application reviews, are taking much longer than before.

What this means for your company:

Start early: Begin the labor certification process as soon as possible. These delays can stretch timelines by months, so it’s essential to factor in extra time.
Stay on top of deadlines: Keep a close eye on all deadlines and ensure your HR team understands the timeline for recruitment and filings.

October 25, 2024

Navigating Nevada’s Voter Leave Laws

JT Washington

by JT Washington

Election season is here. In many states, early voting has already started or will soon begin. It is crucial for Nevada employers to understand their obligations regarding employees with Election Day approaching in just a couple weeks.

While federal law may not mandate employers to grant employees time off to cast their votes, several states, including Nevada, insist on such accommodation. These laws are designed to guarantee employees the opportunity to contribute their voices to the electoral process without fear of employer-imposed sanctions.

In Nevada, employees registered to vote may request leave from their employers if it is impracticable for them to vote before or after work. Nevada employers are required to give eligible employees “sufficient time” off to vote*. The amount of voting leave an employee receives is determined by the distance between the employee’s workplace and their polling place – this chart details the amount of voting leave employees are entitled to in Nevada:

Distance between job and polling place	Time Off Allowed for Voting
2 miles or less	1 hour
more than 2 miles but not more than 10 miles	2 hours
more than 10 miles	3 hours

Employees wishing to use leave to vote must request leave before Election Day*. Under Nevada law, employers can designate when an employee may be absent to vote*. Read more >>

October 24, 2024

Work Absences for Fertility Treatments: Does FMLA Cover Them?

Steven Eheart

By Steven Eheart

Question: We have an employee who is undergoing fertility treatments out of town and misses days sporadically. Do these absences fall under the Family and Medical Leave Act (FMLA)?

Answer: Great question; complicated answer.

The answer is complicated because a question about FMLA leave is always the start of a longer conversation about whether other federal, state, and local requirements are triggered. For example, even if the employee’s fertility treatments do not qualify for FMLA leave, the employee may be entitled to unpaid leave as a reasonable accommodation or paid leave under state and/or local sick pay laws. Additionally, any adverse treatment against an employee undergoing fertility treatments could lead to a pregnancy discrimination claim.

The answer is also complicated because FMLA leave always depends on the facts. Further, only a couple federal district courts have addressed this issue, and those district courts came to different conclusions. Read more >>

October 22, 2024

In Colorado, Holiday Incentive Pay Must Be Included When Calculating the Regular Rate of Pay

Steven Eheart

By Steven Eheart

On January 12, 2024, the federal Tenth Circuit Court of Appeals asked the Colorado Supreme Court to clarify whether, under Colorado law, holiday incentive pay must be included when calculating an employee’s regular rate of pay. On September 9, 2024, the Colorado Supreme Court responded: yes, it must be included.

The Regular Rate of Pay

Employees who work more than forty hours per week must receive overtime pay at a rate that is 1.5 times their regular rate of pay. Some states also have daily overtime requirements; for example, in Colorado, employees who work more than 12 hours per workday or 12 consecutive hours must also receive overtime pay at 1.5 times their regular rate of pay.

Importantly, the regular rate of pay is not the same as the base hourly rate. The regular rate of pay is a calculation that incorporates non-overtime compensation received for work performed during a workweek. Read more >>