Since our last coverage of “headless PAGA lawsuits”—i.e., lawsuits in which a plaintiff disavows his individual PAGA claim and opts to pursue the claim only on behalf of others—significant developments have further complicated the Private Attorneys General Act (“PAGA”) landscape. In Leeper v. Shipt, Inc., 107 Cal.App.5th 1001 (2024), the California Court of Appeal (Second District) rejected the so-called “headless” PAGA theory and held that every PAGA action must include both an individual and a non-individual claim even if the plaintiff disavows their own claim, thereby preventing plaintiffs from using this strategy to avoid arbitration. A conflicting decision was…
Continue Reading Will the California Supreme Court Put the Heads Back on Headless PAGA Suits?

On May 22, 2025, the U.S. Supreme Court ruled National Labor Relations Board (“NLRB”) Member Gwynne Wilcox cannot return to work while she challenges President Donald Trump’s decision to terminate her without cause. The latest decision comes in a long line of court decisions since Trump terminated Wilcox in January 2025. The central issue revolves around 90-year-old precedent Humphrey’s Executor v. U.S., 295 U.S. 602 (1935) limiting the President’s power to fire employees at independent agencies. …
Continue Reading Supreme Court Decides Against Reinstating Wilcox to NLRB as They Rule on Her Termination – NLRB Remains Without a Quorum

On May 1, 2025, the United States Department of Labor’s (“DOL”) Wage and Hour Division announced it would not enforce or apply the Biden-era 2024 Final Rule regarding independent contractor classification (“2024 Rule”). Specifically, the DOL directed its investigators “not to apply the 2024 Rule’s analysis” in enforcement matters. The DOL’s announcement will undoubtedly make it easier to classify workers as independent contractors at the federal level—and continues a seesaw of regulatory pull-back from Biden-era directives. While the 2024 Rule does remain in effect for private litigation and certain state-specific tests still impose higher worker classification standards than the current…
Continue Reading DOL Retracts Biden-Era Independent Contractor Classification Rule

Effective May 1, 2025, the American Arbitration Association (“AAA”) implemented significant revisions to AAA Employment/Workplace Arbitration Rules and Mediation Procedures. According to the AAA, these revisions aim to improve transparency, efficiency, and fairness in the arbitration process, while also addressing the evolving needs of workplace disputes. The changes carry important practical considerations for anyone involved in employment arbitration before the AAA. Below we discuss the key updates and what they mean for litigants.
Continue Reading Major Changes to AAA Employment Arbitration Rules: What Employers and Litigants Need to Know

Effective July 1, 2025, Wyoming will restrict the enforceability of non-compete agreements. In enacting Senate Bill 107, Wyoming joins a growing list of states that have significantly restricted, or completely banned, non-compete agreements.
Continue Reading Have Employees in Wyoming? Start Preparing for the Non-Compete Ban

On April 23, 2025, President Donald Trump issued an Executive Order titled “Restoring Equality of Opportunity and Meritocracy” (the “Executive Order”) seeking to “eliminate the use of disparate-impact liability in all contexts to the maximum degree possible.”…
Continue Reading New Executive Order Aims to End Disparate Impact Liability for Discrimination

Beginning July 31, 2025, New York employers will no longer be required to provide separate leave for COVID-19 quarantines and isolations. This marks a significant shift in pandemic-related employment policies for businesses in the Empire State.
Continue Reading Sunsetting of COVID-19 Paid Emergency Leave Law

As further implementation of the January 20, 2025 Executive Orders, DHS recently published an interim final rule regarding the requirement that certain non-citizens register with the U.S. Department of Homeland Security (DHS). The new rule went into effect on April 11, 2025.
Continue Reading What Do Employers Need to Know About the New DHS Alien Registration Requirement?

National Labor Relations Board (“NLRB”) Member Gwynne Wilcox is out of a job for the third time in less than four months. …
Continue Reading Chief Justice Roberts Allows Trump to Remove Wilcox from NLRB as the Supreme Court Considers the Challenge to Her Dismissal

On April 7, 2025, the U.S. Court of Appeals for the District of Columbia held that President Trump’s termination of National Labor Relations Board (“NLRB” or the “Board”) Member Gwynne Wilcox was unlawful. The decision marks the latest round in litigation tug-of-war, reversing a decision reached by a three-judge panel for the D.C. Circuit, and returning to a decision reached by U.S. District Judge Beryl A. Howell on March 6, 2025. For an in-depth summary of the facts and the constitutional issues at stake, please refer to our initial reports on the district court’s ruling here, and subsequent reversal…
Continue Reading Full D.C. Circuit Court Reinstates Wilcox to the NLRB

On March 19, 2025, the U.S. Equal Employment Opportunity Commission (“EEOC”), together with the U.S. Department of Justice (“DOJ”), issued a press release cautioning employers against discrimination arising from diversity, equity and inclusion (“DEI”) programs. More specifically, the EEOC and DOJ warned that such initiatives “may be unlawful if they involve an employer or other covered entity taking an employment action motivated – in whole or in part – by an employee’s or applicant’s race, sex, or another characteristic.” The press release incorporated new guidance from the EEOC regarding DEI-related discrimination in the workplace: (i) a one-page technical assistance document…
Continue Reading New EEOC Guidance Creates DEI Compliance Considerations for Employers

A three-judge panel for the U.S. Court of Appeals issued a favorable ruling for President Trump, staying a recent district court decision that ruled his termination of National Labor Relations Board (“NLRB” or the “Board”) Member Gwynne Wilcox was unlawful. Thus, it appears that the Board again is left without statutory quorum, which under the National Labor Relations Act (“NLRA”) requires at least three members.
Continue Reading Split D.C. Circuit Panel Rules Trump Can Remove Wilcox from NLRB – NLRB to Stay Without a Quorum

The New York Legislature is set to make another attempt to ban non-competes for all but highly compensated individuals. At the end of the 2023 legislative session, the New York Legislature passed a bill that would have banned non-compete agreements for all employees regardless of wage or income level. Governor Kathy Hochul vetoed this bill while expressing her support for a more limited ban stating that she wanted to “strike a balance” between protecting middle-class and low-wage workers and “allowing New York’s businesses to retain highly compensated talent.”…
Continue Reading New York Legislature Proposes New Bill Banning Non-Compete Agreements