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EEOC enforcement actions underscore employers’ religious accommodation policies

On August 22, 2025, the US Equal Employment Opportunity Commission (EEOC) published a press release demonstrating its enhanced efforts to protect religious freedom in the workplace. These initiatives include investigating more than 10,000 charges challenging COVID-19 vaccine mandates and pursuing charges and lawsuits involving religious accommodation and antisemitism claims.

Learn more about the EEOC’s actions here.




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Layoffs and rightsizing for unionized or unionizing workforces

As economic shifts and advancements in artificial intelligence reshape workforce needs, executive teams and boards are reevaluating their strategies. Unionized workforces – or those in the process of unionizing – present unique challenges, particularly in light of National Labor Relations Board developments. Careful planning is essential to navigating these uncharted waters.

To help address these challenges, McDermott Will & Schulte’s labor practice recently shared key insights on the legal and strategic considerations at play. View their analysis and presentation here.




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California’s new AI rules under FEHA took effect October 1, 2025

Beginning October 1, 2025, California employers must comply with new Fair Employment and Housing Act (FEHA) regulations on the use of artificial intelligence (AI) and automated decision systems in hiring and employment. The rules primarily pertain to three compliance areas: bias testing, recordkeeping, and vendor liability. Employers should start preparing now to avoid exposure once the rules take effect.

Learn more about California’s new AI rules here.




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FTC chairman warns healthcare employers about noncompetes

On September 10, 2025, Federal Trade Commission (FTC) Chairman Andrew N. Ferguson sent letters to major healthcare employers and staffing agencies, encouraging them to review their use of noncompete agreements and restrictive covenants. He warned that the FTC will pursue enforcement against overly broad or unjustifiably restrictive noncompetes that hinder worker mobility or limit patient choice. This action, among others, signals the FTC’s intent to scrutinize such agreements – particularly in the healthcare sector – on a case-by-case basis.

Learn more about the FTC’s letters here.




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DOJ guidance on unlawful discrimination: Implications for DEI practices in the private sector

On July 29, 2025, the US Department of Justice (DOJ) issued a guidance memorandum that defines what it considers to be “unlawful discriminatory policies and practices” under federal civil rights laws. The guidance also includes a list of non-binding “best practices” to help entities decrease the risk of legal violations. While the guidance is primarily geared toward federal funding recipients, the DOJ warns that private employers subject to federal civil rights statutes should review the guidance and ensure their employment practices do not run afoul of federal law.

Learn what implications the DOJ’s guidance has for DEI practices in the private sector.




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AI in employer-sponsored group health plans: Legal, ethical, and fiduciary considerations

Artificial intelligence (AI) has increasingly been integrated into the tools used by and for employer-sponsored group health plans, prompting a multitude of concerns. In this article, we discuss key issues that require immediate attention from both plan sponsors and plan administrators.

Find out the legal, ethical, and fiduciary considerations employer-sponsored group health plans should keep in mind when using AI tools.

 




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Florida expands rules favoring noncompetes while other states limit them further

2025 has seen a flurry of new state laws regulating employee restrictive covenant agreements, especially in the healthcare sector, with many states tightening restrictions but Florida taking a different approach. This diverse legal landscape poses significant challenges for employers, particularly those operating in multiple states, as they must navigate and comply with a patchwork of varying regulations.

Read more here.




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Risk Management in the Modern Era of Workplace Generative AI

As human resources (HR) leaders plan to expand the use of generative artificial intelligence (GenAI) in the workplace, nearly a dozen states have enacted or are considering legislation to regulate its use in employment practices. Additionally, courts are seeing class actions involving alleged disparate impact discrimination and wage and hour violations related to GenAI. Implementing GenAI technologies without understanding their algorithms or data usage can expose employers to legal risks such as potential class actions based on privacy, AI regulations, and employment claims.

Read more here.




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Understanding and Navigating Compliance With NIH Grant DEI Policies

On April 21, 2025, the National Institutes of Health (NIH) issued a notice regarding its policy to require all US grant recipients to certify that:

  1. They do not, and will not during the term of receiving funds from the NIH, operate any programs that advance or promote diversity, equity, and inclusion (DEI); diversity, equity, inclusion, and accessibility (DEIA); or discriminatory equity ideology (collectively, DEI) in violation of federal anti-discrimination law; and
  2. They do not engage in, and will not during the term of this award engage in, a discriminatory prohibited boycott.

Members of McDermott’s Employment and Health & Life Sciences Groups created a document to help NIH grant recipients evaluate where any company policies and practices need to be changed prior to providing the above-referenced certification.

Read more here.




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DOJ Secures Its First-Ever Conviction in a Criminal Antitrust Labor Market Trial

On April 14, 2025, a federal jury convicted a home health agency executive in a wage-fixing conspiracy under the Sherman Act, marking the US Department of Justice’s first-ever criminal antitrust labor market trial conviction. This conviction marks a significant milestone in antitrust enforcement, highlighting the government’s commitment to addressing labor market wage-fixing and no-poach agreements, and underscores the need for companies to ensure compliance with antitrust laws to avoid legal risks.

Read more here.




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