November 26, 2024

 

What Employers May Expect From a Second Trump Term

Highlights

  • Employers should monitor changes to overtime and independent contractor rules, minimum wage, workplace safety, and labor relations.
  • Potential reforms include AI regulation, DEI measures, restrictive covenants, and immigration policies.
  • Employers should continue compliance with current laws while preparing for new policies post-January 2025.

Important Dates

  • Nov. 5, 2024: Donald Trump wins the presidential election.
  • Jan. 20, 2025: President-elect Trump is inaugurated.

Action Steps
Employers should prepare for potential changes in employment laws by staying informed and reviewing policies for alignment with new regulations.

Potential Employment Law Initiatives

Department of Labor (DOL)

  • Overtime Rules: The Biden-era salary thresholds for overtime exemptions take effect on Jan. 1, 2025. Trump may seek to moderate or challenge these changes.
  • Independent Contractor Rules: Trump may revisit the less stringent 2021 standards, countering the stricter Biden-era rule effective March 2024.

Minimum Wage and Taxation

  • Trump has signaled potential support for modest federal minimum wage increases.
  • Proposed tax exemptions for overtime and tipped wages aim to boost recruitment and employee earnings.

Workplace Safety (OSHA)

  • Likely rollback of Biden-era OSHA regulations, including third-party representative rules and heat illness prevention measures.

Equal Employment Opportunity Commission (EEOC)

  • Possible shifts away from Biden-era priorities like pay data collection and DEI initiatives.
  • EEOC enforcement may decrease, though the Democratic majority will persist until 2026.

National Labor Relations Board (NLRB)

  • Expect reversals of Biden-era pro-union decisions, focusing on employer-friendly labor policies.

DEI Initiatives

  • Likely repeal of Biden’s Executive Order on equity, reinstating Trump-era restrictions on diversity training.

Restrictive Covenants

  • Potential abandonment of federal noncompete clause bans, aligning with pro-business Republican stances.

Artificial Intelligence (AI)

  • Anticipated rollback of Biden-era AI safety and anti-discrimination policies to encourage innovation and reduce regulation.

Immigration Reform

  • Policies may target limits on skilled foreign workers, H-1B visas, and immigration programs like DACA, potentially shrinking the labor pool.

Provided by Apex Benefits

This Compliance Bulletin is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice. © 2024 Zywave, Inc. All rights reserved.

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