Whew! It has been a time for employment law lawyers and HR professionals for the past couple of weeks! It is almost hard to keep up with everything but here I am sounding the alarm for you because I do not want you to get caught off guard. So, let us just dive in headfirst!
-The Pregnancy Fairness Workers’ Act (PWFA) was initially implemented on June 27, 2023, and has seen updates with the final ruling issued by the Equal Employment Opportunity Commission (EEOC) on April 15, 2024, taking effect on June 18, 2024. This ruling offers crucial clarification for employers on accommodating pregnant employees, aiming to prevent discrimination. Additionally, the adjustments aim to ensure legal compliance while supporting pregnant employees’ rights and fair treatment in the workplace.
In summary, the guidance under the final ruling establishes a formal process for requesting accommodations, promoting fairness, and advocating for employee rights. Key changes include clarifying employer size (15 or more employees), broadening the definition of “Known Limitation” related to pregnancy, childbirth, or related medical conditions, expanding “Reasonable Accommodation” to include elimination essential job functions for up to 40 weeks during pregnancy, defining “Undue Hardship,” mandating participation in the “Interactive Process,” limiting employers’ requests for medical documentation, enhancing non-discrimination and anti-retaliation measures, requiring the establishment of dispute resolution mechanisms, and providing practical compliance measures.
-On April 23, 2024, the Federal Trade Commission (FTC) announced a final rule that will prohibit employer-employee non-compete agreements. This rule renders existing non-competes unenforceable for most of the workforce (notice I said most). The FTC considers such agreements to be unfair and in violation of the FTC Act. The Commission has ruled that these non-compete clauses have a detrimental impact on competitive markets and hinders innovation and new business formation. The rule will take effect 120 days after its publication in the Federal Register. However, there has been talk that there may be a lawsuit filed contesting this rule…. Nonetheless, I encourage you to PLEASE, PLEASE, PLEASE be proactive and speak to your employment law lawyers!
-Lastly, a final rule has been announced to raise the salary thresholds for overtime pay requirements for millions of lower-paid salaried workers, offering expanded protections and increased pay or time with family. The changes include a July 1, 2024, increase to an annual salary of $43,888 ($844 a week) and a January 1, 2025, increase to an annual salary of $58,656 ($1,128 a week).
Clear cut and to the point, but are you ready for it? To ensure readiness for the upcoming overtime rule changes, confirm approval processes for overtime, and assess workload implications, and budget considerations with stakeholders. I strongly encourage you to initiate these discussions promptly to meet the July 1st deadline effectively.
Ok, so now that you are familiar with what is coming your way as an employer, I encourage you to review the links below to ensure you become more familiar with these provisions and partner with your HR department or employment lawyer for further discussion and understanding. AND, if you do not have neither, please reach out to FINE HR! Please note that we cannot give legal advice, but I know a few employment law lawyers I can refer you to! However, if you need your employee handbook/policy reviewed to ensure that you are compliant, please feel free to reach out to FINE HR Consulting! We would love to serve you!
Thank you so much for your time today! Until the next time… in the meantime, STAY FINE!
Your Favorite HR Concierge!
Resources
Federal Register: The Daily Journal of the United States Government. (n.d.) Regulations To Implement the Pregnant Workers Fairness Act.
Federal Trade Commission: Protecting America’s Consumers: (n.d). FTC Announces Rule Banning Noncompetes.
U.S. Equal Employment Opportunity Commission. (n.d.). What You Should Know About the Pregnant Workers Fairness Act. What You Should Know About the Pregnant Workers Fairness Act | U.S. Equal Employment Opportunity Commission (eeoc.gov)
U.S. Department of Labor Blog: (April 23, 2024). What the New Overtime Rule Means for Workers.
U.S. Department of Labor: Wage and Hour Division (n.d.). Final Rule: Restoring and Extending Overtime Protections.