April Updates

 

USCIS Updates Policy Manual to Reflect Two Sexes

The U.S. Citizenship and Immigration Services (USCIS) is updating its Policy Manual to clarify the recognition of only two biological sexes, male and female. For purposes of adjudicating benefits and issuing documents, USCIS will consider a person’s sex as that which is generally evidenced on the birth certificate issued at or nearest to the time of birth.

 

NLRB: Ping-Pong Quorum Update

Following her initial dismissal in January, NLRB Board Member Gwynne Wilcox was reinstated in early March, when a district court found her termination by President Trump to be unlawful and in violation of the National Labor Relations Act. The federal government requested a stay of the district court’s order reinstating Wilcox, which was granted by a three-judge panel from the United States Court of Appeals for the D.C. Circuit on March 28, 2025, again removing Wilcox from her position with the NLRB and leaving the NLRB without a quorum. Wilcox immediately sought further review from the full Circuit Court, which ultimately vacated the previous panel decision and allowed Wilcox to return to work with the NLRB, as of April 7, 2025. With a quorum achieved, the NLRB is expected to begin operating immediately, but we expect there to be additional challenges to the recent rulings that may impact the quorum again in the near future.

 

Federal BOI Rule Only Applies to Foreign Companies and Owners

Consistent with the U.S. Department of the Treasury’s March 2, 2025 announcement, the Financial Crimes Enforcement Network (FinCEN) issued an interim final rule removing the requirement for U.S. companies and individuals to report beneficial ownership information (BOI) to FinCEN under the Corporate Transparency Act. “Reporting company” has been revised to mean only those entities that are formed under the law of a foreign country and that have registered to do business in any U.S. State or Tribal jurisdiction by the filing of a document with a secretary of state or similar office. “Domestic reporting companies” and U.S. beneficial owners are exempt from BOI reporting requirements. Foreign entities that meet the new definition of a “reporting company” and do not qualify for an exemption from the reporting requirements must report their BOI to FinCEN under new stated deadlines. See FinCEN’s FAQs for more information.

 

San Francisco, CA: HCSO and FSO Reporting DUE May 2, 2025

Employers covered by the San Francisco Health Care Security Ordinance (HCSO) and/or the Fair Chance Ordinance (FCO) must submit the 2024 Employer Annual Reporting Form no later than May 2, 2025, or be subject to a penalty of $500 per quarter. The required form and instructions are available on the San Francisco Office of Labor Standards Enforcement (OLSE) website. Under the HCSO, employers with 20 or more workers must spend a minimum amount on health care for employees who work 8 or more hours per week, and must report on the number of total employees per quarter, total employees eligible for the HCSO per quarter, total employer healthcare expenditure, and the variety of healthcare options offered to employees. The FCO applies to employers located or doing business in San Francisco with at least five employee anywhere. For positions where an employee works at least eight hours per week in San Francisco, including through temp or employment agencies, employers must report the total number of hires in San Francisco, whether background checks were performed, and whether applicants with criminal histories were hired.

  

Illinois: Equal Pay Registration Certificate Filings Briefly Delayed

The Illinois Department of Labor (IDOL) is providing employers an additional day to file their certifications. Employers with certification deadlines between January 1, 2025 and March 30, 2025 now have until March 31, 2025. Employers can ask IDOL for additional extensions. The delay is due to two key recent changes which required updating the portal for submissions. First, a new data template requires the inclusion of whether each position submitted is subject to a collective bargaining agreement and whether the position is paid hourly or salaried. If a position is hourly, employers must also include the pay rate. Second, there is a more streamlined process for submitting Compliance Statements and other forms via a web-based submission. Employers no longer have to download, complete, scan, and upload forms. Due to these changes, employers are encouraged to delay submissions until after March 17, 2025 for the updated portal launch. Employers should visit the updated FAQs for more information.

 

Maryland: Delay in PFML Implementation

The Maryland General Assembly recently passed a final bill to establish new implementation dates for Maryland’s paid family and medical leave insurance program in order to give employers more time to prepare for implementation, particularly in light of the “the unprecedented level of uncertainty resulting from recent federal actions.” Payroll deductions will begin January 1, 2027. Benefits will become available by January 3, 2028. The Governor is expected to sign the bill in the coming weeks, and Maryland Department of Labor (MDOL) announced it will begin updating the proposed regulations. Continue to look for updates on the MDOL website.

 

Virginia: New Threshold for “Low Wage” Workers Under Noncompete Law

SB 1218 will amend Virginia’s noncompete ban for “low-wage” workers to include individuals designated as non-exempt under the Fair Labor Standards Act. Virginia’s existing law prohibits employers from entering into, or enforcing, noncompetes with “low-wage” employees, which was previously defined as workers whose average weekly earnings were less than the average weekly wage of Virginia. In 2025, the average weekly wage in Virgina is $1,463.10 per week ($76,081 annually). Effective July 1, 2025, “low-wage employees” will include any employees who are entitled to overtime pay under the FLSA for any hours worked in excess of 40 hours in any one workweek, regardless of their average weekly earnings.

 

Virginia: Workplace Violence Prevention for Hospitals

Effective July 1, 2025, HB 2269 will require hospitals in Virginia to establish a workplace violence incident reporting system that documents, tracks, and analyzes incidents of workplace violence. Employers will be responsible for making workplace improvements to prevent workplace violence, and must provide continuing education to employees on topics like de-escalation techniques, risk identification, and violence prevention. Under the law, hospitals are required to communicate the reporting system to all employees and maintain detailed records of reported incidents for at least two years. Additionally, hospitals must report incident data quarterly to their chief medical and nursing officers, and annually to the Department of Health starting July 1, 2026.

 

Wyoming: New Noncompete Ban

Effective July 1, 2025, SF 107 will prohibit employers from enforcing noncompete covenants that restrict any person’s right to receive compensation for labor. The new law will apply prospectively to any contracts entered into on or after July 1, 2025, and will apply to both employees and independent contractors. The law also restricts certain training repayment agreements and expense relocation agreements, unless they meet certain statutory requirements. There are limited exceptions to the noncompete ban, specifically for individuals classified as “executive and management personnel,” as well as professional staff. Additionally, the law permits noncompete covenants in limited circumstances related to the purchase or sale of a business or to the extent that it is required to protect trade secrets.

 

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Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2025 ManagEase