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FAQs for Employers and Federal Contractors on Navigating the DEI Landscape

Partners in our Employment and Government Contracts Groups recently presented a webinar on President Donald Trump’s executive order (EO) eliminating all affirmative action obligations under EO 11246. Following the webinar, we prepared FAQs to further assist employers and federal contractors in navigating the current landscape.

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Understanding the Trump Administration’s Executive Orders on DEI and Immigration

On January 20 and 22, 2025, President Donald Trump issued executive orders (EOs) rolling back diversity, equity, and inclusion (DEI) and accessibility initiatives and advancing his immigration agenda.

In this webinar, members of McDermott’s Employment and Government Contracts Groups provided an explanation of these Trump administration EOs. They unpacked the implications of these orders on the future of DEI initiatives and immigration law compliance to help your organization navigate these changes effectively.

Access the recording and key takeaways here.




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How Employers and Healthcare Providers Can Navigate Immigration Enforcement

Despite the anticipation of increased enforcement of US immigration laws, the rules and practical advice related to an employer’s legal duties under the Immigration Reform and Control Act, and what to do if US Immigration and Customs Enforcement (ICE) officers present themselves at your place of business, have not changed.

This client alert provides a brief overview, proactive suggestions, and practical tips for employers, as well as for healthcare providers, whose patients may be the target of an ICE visit.




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How Employers Can Aid Employees Impacted by the LA Wildfires

Over the past two weeks, wildfires have caused substantial loss and damage to homes and communities in Los Angeles, California, and the surrounding areas. In the wake of such devastation, employers may seek opportunities to provide financial assistance to impacted employees. Fortunately, the Internal Revenue Service (IRS) has outlined various ways for employers to provide much-needed assistance to employees impacted by natural disasters like the wildfires, including tax-free qualified disaster relief payments, leave donation programs, and other tax-efficient options.

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New Year, New Rules: Global Equity and Employment Law Considerations for Calendar Year 2025

Many countries finalized new regulations and released new guidance in 2024 that will impact global equity plans. This client alert highlights key updates from Canada, the European Union, the United Kingdom, Brazil, and other jurisdictions, and recommends steps companies should take to address them.

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Looking Ahead to 2025: Global Labor & Employment Legal Update

Following a dynamic year, coupled with a continually evolving legal landscape, employers face increasing regulatory compliance, organized labor advances, technological changes, challenges in protecting company information and retaining talent, and new litigation trends.

In a recent webinar, McDermott’s industry-leading employment team unpacked the most pertinent legal updates and provided tips and action items to get ahead in 2025. They discussed new laws taking effect in the new year, explored key developments impacting management and the workforce, and provided guidance on what employers can anticipate this year.

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Texas Court Issues Nationwide Injunction Striking Down FTC Noncompete Ban

On August 20, 2024, the US District Court for the Northern District of Texas issued a nationwide injunction barring the Federal Trade Commission’s Final Rule that bans all noncompete agreements.

Read more about the court’s decision and what it means for employers and business entities here.




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IRS Announces Second Employee Retention Credit Voluntary Disclosure Program

On August 15, 2024, the Internal Revenue Service (IRS) released Announcement 2024-30, which provides a second Employee Retention Credit Voluntary Disclosure Program for employers to resolve erroneous claims. This program aims to help employers avoid civil litigation, penalties, and interest by settling their civil tax liabilities. It will run through November 22, 2024.

Read more about the new program and other IRS developments in our Weekly IRS Roundup here.




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Labor Markets in the Focus of European Competition Law

The European Commission recently published a new Competition Policy Brief that classifies certain agreements related to labor markets as serious antitrust infringements.

It is essential for companies with workforces in the European Union to educate their human resources and recruiting departments on what constitutes an antitrust infringement. Further, no-poach agreements used in connection with M&A due diligence and negotiations, cooperation agreements, or joint venture situations should also be reviewed in detail to ensure they do not go beyond what is permitted.

Read our full article here.




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Pennsylvania Court Rejects Attempt to Block FTC Noncompete Ban

On July 23, 2024, US District Court for the Eastern District of Pennsylvania declined to stay the September 4, 2024, effective date of the Federal Trade Commission’s (FTC) Final Rule that bans all new noncompete agreements nationwide and renders existing noncompete agreements binding most workers unenforceable. This ruling comes 20 days after a federal court in Texas – presented with the same legal arguments – preliminarily enjoined the FTC from enforcing the Final Rule against the parties in that case.

Read more here.




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