Federal Judge Blocks Nationwide Noncompete Ban

Lake Effect previously blogged about the FTC’s ban on noncompetition agreements. In a game-changing decision for employers, a federal judge in Texas has blocked the FTC’s nationwide ban on noncompetes, which was scheduled to take effect on September 4, 2024. The judge ruled that the FTC lacked substantive rulemaking authority to address unfair methods of […]
FTC Ban on Noncompetition Agreements Takes Effect

As we previously reported, the Federal Trade Commission (“FTC”) issued its final rule on April 23, 2024, banning noncompetition agreements and related provisions. The rule will take effect on September 4, 2024, 120 days after publication in the Federal Register. As of September 4th, employers who have employees under existing noncompete agreements and related provisions, […]
Employers Must Implement First FLSA Exempt Salary Increases on July 1, 2024

Barring a last-minute, successful legal challenge, the Department of Labor’s final rule mandating higher salary levels for exempt employees will take effect Monday, July 1, 2024. On that date, employees whose job duties meet the test for the FLSA’s “white collar exemptions” must be paid a fixed salary of at least $844 per week, or $43,888 per […]
Be Ready on July 1: Initial Increase in Salary Level for Exempt Employees to Take Effect

US Department of Labor (DOL) issued a final rule that substantially increases the minimum salary levels for exempt employees under the Fair Labor Standards Act (FLSA).
Updated EEOC Guidelines on Workplace Harassment

On April 29, 2024, the Equal Opportunity Commission (“EEOC”) released its latest Enforcement Guidance on Harassment in the Workplace (the “Guidance”). The Guidance updates prior EEOC guidelines on: (1) legally protected characteristics; (2) how harassment must affect a “term, condition, or privilege of employment;” (3) and standards for establishing liability. Although the EEOC Guidance does not […]
FTC Bans Noncompete Agreements

On April 23, the Federal Trade Commission (“FTC”) issued its final rule banning noncompete clauses in employment agreements. Barring a successful legal challenge (including lawsuits already filed in Texas courts), the rule will take effect 120 days after publication in the Federal Register. At that time, employers who have employees under existing noncompete agreements will […]
US Department Of Labor Raises Salary Thresholds For Exempt Employees

Employers wake up today to a daunting new landscape as they face higher salary requirements for their exempt employees. On April 23, 2024, the US Department of Labor (DOL) issued a final rule that substantially increases the minimum salary levels for exempt employees under the Fair Labor Standards Act (FLSA). If an employee’s job duties and fixed salary level meets […]
New Wisconsin Employment-Related Laws

On March 27, 2024, Wisconsin Governor Tony Evers signed two bills into law that have the potential to require actions for some employers.
Review Your Handbooks Now

In the fall of 2023, we encouraged organizations to review their handbooks based on recent NLRB decisions focused on employees’ rights to engage in protected activity even in non-union settings. We are renewing that call – as several states have implemented new laws that could have a significant impact on handbooks and employment policies. For […]
New Test for Employee vs. Independent Contractor

As of March 11, 2024, the US Department of Labor (DOL) will return to the analysis it has historically used to classify workers, employing a six-factor balancing test.