As another busy year for our Employment, Labor & Workforce Management clients came to a close, we asked our attorneys what issues were top of mind for our nationwide clients in 2025.
The results of this informal survey provide the opportunity not only to reflect on the challenges confronted by the global organizations we are privileged to represent, but also to prepare for what the legal landscape might hold in 2026.
Top 10 Issues of 2025… the Final Countdown
10. Traditional Labor
Arbitrations, negotiations - all of it continued apace, even while the National Labor relations Board (NLRB) remained relatively inert due to a lack of quorum. When the government’s reorganization efforts affected the Federal Mediation and Conciliation Service, some employers had to pivot to resolve ongoing disputes. In spite of this, unfair labor practice charges and certification petitions kept many employers busy, and unionizing activity appears to be on the upswing, not just in the trades and for service workers, but even among physicians and skilled high-tech professionals, with many states (e.g., New Jersey) fostering union-friendly environments in the face of a less engaged NLRB.
Takeaway for 2026
With an NLRB quorum in place, and issues of upskilling and reskilling workers in the face of artificial intelligence (AI) impacting labor and making workplace soil fertile for unionizing activity, the coming year portends to be a busy one in which multi-faceted labor relations savvy will be valuable.
9. State & Local Law Changes
“Progressive” jurisdictions continue to build up intricate legal codes creating more and more compliance obligations for employers. But traditionally more conservative states have also taken to advancing employee-friendly obligations – even Nebraska and Alaska have paid sick leave laws as of 2025.
Takeaway for 2026
As the federal government continues to contract, many states are likely to respond by enacting their own legislation. Tracking and monitoring state and local lawmakers’ initiatives in relevant jurisdictions will help employers stay ahead of – and perhaps even influence – impactful changes before they become overly burdensome.
8. Immigration Enforcement
ICE Raids, changing visa rules, and federal policy disfavoring non-American workers affect many sectors, including tech, agriculture, construction, and delivery services. Many policy adjustments and enforcement activities emerge rapidly with little to no warning, adding to the challenge of helping clients to respond
Takeaway for 2026
It is advisable for employers who have not yet conducted a self-audit of I-9 forms and any other immigration-related paperwork and recordkeeping to do so. In some workplaces, training for front line staff on how to respond in the event of an enforcement action may also be warranted.
7. Changing Federal Enforcement Priorities
A new administration asserted its authority to execute some of the biggest shifts in federal policy and practice seen in our lifetimes, changing operational norms for federal contractors, reducing the workforce appointed to implement enforcement at most agencies, and closing shop for some major programs (USAID, the Office of Federal Contract Compliance Programs, and the Department of Education, to name a few). Relatedly, though not an issue directly in our sphere, concerns over the extent of Executive Branch authority and separation of powers will continue to play out in some very significant matters pending before the Supreme Court of the United States.
Takeaway for 2026
Whether foreign policy matters will overtake the domestic agenda remains to be seen, and many cases remain pending. While a shift in priorities may include less federal regulation and oversight, employers in most locations still need to account for state and local rules and must consider the balance if federal policy seems at odds with smaller jurisdictions’ requirements.
6. Social Media/Controversial Commentary
As politics continue to be largely shaped by the platforms accessed by all of us through ever-present hand-held devices, the reaction to public events, including the death of Charlie Kirk, led to a tidal wave of calls for people to lose their jobs based on public posts. How employers can or should respond to what their employees do in the sphere of social media has become an urgent question requiring public relations savvy as well as legal acumen.
Takeaway for 2026
The next viral moment is around the corner. Managing it wisely – not impulsively – can be invaluable.
5. Artificial Intelligence
Everyone’s using it. Some are using it to their own (or, worse, their clients’) detriment. The President promotes it. Some states (California, Colorado, Illinois, New York, and Texas) are trying to regulate its use. It has implications for creators (copyright), researchers (patents), corporations (trademarks), employers (efficiencies, skill-shifting, and new risks), all complicated further by cybersecurity challenges. Whether state regulation of AI will be preempted by national policy remains to be seen, but it is clear: Pandora’s box is open and what will happen next or in the near future remains a lingering question.
Takeaway for 2026
The year ended with unresolved jostling over authority over AI regulation, but state and local laws remain in effect. Active monitoring of legal developments related to AI is a must for organizations in 2026.
4. Reductions in Force
Is AI a contributor to the uptick in RIFs? Is it the economy? Whatever has driven the re-balancing at many companies, it has kept many attorneys very busy helping employers with WARN notices and separation agreements that comply with both federal and relevant state laws, disparate impact analyses, and providing general guidance for clients in contraction mode.
Takeaway for 2026
Many states have notice and reporting requirements for employers that conduct mass layoffs that are more stringent and affect smaller companies than those covered by federal law, and those jurisdictions also tend to have employee-friendly laws related to potential claims related to terminations. Employers that must reduce their workforce should be strategic in executing layoffs.
While the federal government has questioned the propriety of disparate impact as a basis for liability in discrimination laws, some states have responded by codifying the concept within their anti-discrimination laws
3. Diversity, Equity, & Inclusion
What has been promoted for a generation as a lofty and ultimately profitable endeavor was turned on its head this year with government pronouncements of DEI as illegal and discriminatory, that disparate impact is unconstitutional, and that a focus on identity (including those who have been traditionally identified as under-represented and marginalized) over merit creates victims of “anti-American” discrimination. The pushback opposing a social construct that evolved out of the Civil Rights movement over the ensuing half-century has shocked the world’s employment eco-system, with some employers facing investigations and many others seeking counsel to avoid unwanted scrutiny. With a newly empaneled Equal Employment Opportunity Commission (EEOC) and the U.S. Department of Justice’s recent actions, including its Civil Rights Fraud Initiative and revision of civil rights regulations, it’s clear that this issue will continue to be a priority in 2026.
Takeaway for 2026
Employers that have not yet assessed their human resources management policies and practices through the EEOC’s critical lens should weigh risks against intentions. Any discrimination, harassment or retaliation charge – including those claiming “reverse” discrimination based on DEI – is best handled by experienced counsel.
2. Restrictive Covenants
Yes, the Federal Trade Commission (FTC) ban on noncompetes died this year. But the FTC is not leaving the issue entirely. More significantly, many states continue to add robust laws further limiting what an employer and employee can agree to, whether at the outset or the conclusion of employment, or at any time in between. What is enforceable anymore, and what are clever and legal ways to protect an employer’s legitimate interests? What if an entire group is separating as a team? Are nondisclosure agreements plausible at all anymore, and how do the rules vary from state to state? These and many related questions challenge us and our clients and will continue to do so.
Takeaway for 2026
Stay tuned in 2026 to see what the FTC presents regarding non-competes and employee mobility. The new mayor in NYC is vowing to ban noncompetes and void existing agreements. Meanwhile, many employers must revisit their existing agreements and templates for future contracts to examine their legality in light of new laws recently effectuated across the nation.
1. Leave Laws
Ever-changing laws require employers to give workers time off for myriad reasons: paid sick leave, paid or unpaid family medical leave, leave for domestic violence, crime victim leave, voting leave, jury duty leave, military leave, military family leave, military funeral honors leave, prenatal leave, blood donation leave, bone marrow donation leave, organ donation leave, small necessities leave, parental leave, parent-teacher conference leave, bereavement leave, child bereavement leave, …leave for ANY reason. You get the picture. It is complicated.
Takeaway for 2026
The patchwork of laws mandating and regulating time off for employees gets increasingly complex from year to year, and this can be especially tricky for employers with a remote workforce, since some jurisdictions cover any employer with even just one employee located in their city/state. Employers should remain abreast of the applicable laws wherever they have employees, and might consider whether a single, organization-wide policy is pragmatic.
Conclusion
To be sure, the Top 10 trendy concerns that kept us busy in 2025 are in addition to all the usual issues – compliance and litigation related to federal, state, and local laws that:
- regulate wages and hours;
- prohibit discrimination, harassment, and retaliation;
- require accommodations for disabilities and religion;
- mandate notices, posters, and updated handbooks; and
- necessitate training.
All of the above will continue to matter to employers in 2026.
* * *
For additional information about the issues discussed in this blog, please contact the Epstein Becker Green Employment, Labor & Workforce Management attorney who regularly handles your legal matters.
Staff Attorney Elizabeth A. Ledkovsky contributed to the preparation of this article.
Blog Editors
Authors
Board of Directors / Member of the Firm
Of Counsel
Member of the Firm