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RECENT EMPLOYMENT LAW NEWS

• EEOC Shifts Away from Disparate Impact Enforcement

  The EEOC is set to administratively close all pending charges based on disparate impact theory by September 30, 2025, following an executive order. This policy shift directs these cases to federal court, placing the full burden of discovery and proof on plaintiffs while the agency pivots its focus to intentional discrimination. The legal theory of disparate impact remains valid for private lawsuits, but the practical enforcement landscape is changing significantly.

• Potential Expansion of Vicarious Liability for Virginia Employers

  A new Virginia law (Va. Code Section 8.01-42.6) creates a new path for holding employers vicariously liable for an employee's intentional harmful acts against a "vulnerable victim." This legislation moves beyond the traditional "scope of employment" defense, focusing instead on whether the employer exercised reasonable care to prevent the harm. The change places a greater risk on employers, particularly in industries like healthcare and assisted living where patients and residents are defined as per se vulnerable victims.

• The Introduction of AI Into the Hiring Process

  The integration of artificial intelligence into hiring and recruitment processes introduces significant legal risks for employers. Companies must ensure these AI tools are validated to prevent discriminatory outcomes and do not perpetuate biases against protected groups. Federal agencies like the EEOC are actively scrutinizing the use of these automated systems to ensure compliance with anti-discrimination laws.

• A New Standard for Workplace Discrimination after Muldrow v. City of St. Louis

  The Supreme Court's decision in Muldrow v. City of St. Louis has lowered the threshold for employees to bring Title VII discrimination claims. A plaintiff no longer needs to prove that a discriminatory action caused "significant" harm; instead, showing "some harm" regarding the terms or conditions of their employment is sufficient. This change makes it easier for employees to challenge job transfers and other employment actions they allege are discriminatory.

• 2025 Amendments to the Virginia Non-Compete Statute

  Virginia has updated its non-compete statute with amendments that expand protections for "low-wage employees." The new rules adjust the earnings thresholds used to define a low-wage worker, rendering restrictive covenants like non-compete agreements unenforceable against a broader class of employees. Employers must review their agreements to ensure compliance with the updated standards.

• Supreme Court Lowers Bar for “Reverse Discrimination” Lawsuits

  A recent Supreme Court decision has made it more difficult for employers to deny religious accommodations by rejecting the long-standing "de minimis" cost standard. Employers must now show that granting an accommodation would result in "substantial increased costs" to the business. This higher standard could influence how courts analyze "reverse discrimination" claims brought by employees who feel burdened by accommodations made for others.

• Overtime Exemption Thresholds for Salaried Workers Set to Change in 2025

  The U.S. Department of Labor has finalized a rule that will increase the minimum salary threshold for employees classified as exempt from overtime under the FLSA. Starting January 1, 2025, employers must pay executive, administrative, and professional employees a higher minimum salary to maintain their exempt status. This will require many businesses to either increase salaries or reclassify employees and pay them for overtime hours worked.

• Preventing Workplace Harassment

  This article outlines the essential steps employers must take to meet their legal obligations to prevent workplace harassment. It emphasizes the importance of establishing and disseminating a clear anti-harassment policy and creating an effective complaint process. Regular training for both employees and supervisors is also highlighted as a critical component for mitigating legal risk and fostering a safe work environment.

• Recent Developments in U.S. Employment Law: Top 5 Issues for 2024

  This post reviews the top five employment law issues from 2024 that employers should be aware of. Key developments include new federal regulations on non-compete agreements, increased scrutiny of AI in hiring decisions, and significant changes to overtime eligibility rules. The article also touches on the implementation of the Pregnant Workers Fairness Act and evolving standards for classifying independent contractors.

• Navigating Social Security Disability: Understanding Waiting Periods and Medicare Eligibility

  This article explains two crucial waiting periods for individuals approved for Social Security Disability Insurance (SSDI). It details the mandatory five-month waiting period from the disability onset date before SSDI benefits can begin. Furthermore, it clarifies the subsequent 24-month wait from the date of SSDI eligibility before the individual becomes eligible for Medicare coverage.