APPLIES TO All Employers with Employees in Philadelphia, PA

EFFECTIVE January 6, 2026

QUESTIONS? Contact HR On-Call (888) 378-2456

Quick Look The Fair Criminal Record Screening Standards Ordinance to expand employee protections and employer requirements as of January 6, 2026. The contents of the required advance notice, individualized assessment, and adverse action processes have been expanded. The types of criminal history information that may be considered have also been expanded. Employers are prohibited from retaliating against an individual enforcing their rights. Employers may now be liable for liquidated damages for violations of the Ordinance.

Discussion

Philadelphia Bill No. 250373-A will amend the Fair Criminal Record Screening Standards Ordinance to expand employee protections and employer requirements as of January 6, 2026. Generally, an employer cannot inquire into an applicant’s criminal history until after a conditional offer of employment. The following summarizes the recent updates.

 

Definitions

 

The definitions of conviction and inquiry have been expanded; and the definitions of felony, misdemeanor, summary offense, incarceration, job advertisement, adverse action, and excessive and unreasonable levels of supervision have been added.

 

Notably, any criminal record inquiry through public or government records or internet searches, either by or on behalf of an employer, is specifically subject to the Ordinance. Job advertisement is defined to mean any verbal or written communication of potential employment. Adverse action means any action that negatively affects an applicant or employee’s compensation, terms, or condition of current or future work or is intended to harass an applicant or employee in connection with work, including excessive and unreasonable levels of supervision, refusal to hire or promote, blacklisting, interferences with current employment or employment prospects, contacting law enforcement or a government agency to file a report, including reporting suspected or actual immigration status.

 

Advance Notice

 

An employer may provide applicants and employees notice of its intent to conduct a criminal background screen, including in job advertisements, which is required to have certain information in it. The bill expands the notice requirements to include a statement that any consideration of the background check will be an individualized assessment based on the applicant or employee’s specific record and the duties and requirements of the specific job.

 

Individualized Assessment

 

An employer may take adverse action following an individualized assessment of the criminal history results. The bill expands the individualized assessment process to prohibit taking adverse action unless it is determined that a reasonable person would conclude that employing the applicant or employee would pose a specific unacceptable risk to the operation of the business or to co-workers or customers, as independently determined by the factfinder. Among the previously stated factors for consideration in the individualized assessment process, the bill expands the definition of evidence of rehabilitation that may be considered.

 

Criminal Record

 

The bill also expands what may and may not be considered in an individual’s criminal record for purposes of employment evaluation. The seven-year lookback period will now be determined by the timing of the underlying arrest or the release from incarceration for such conviction, whichever is later. Misdemeanor convictions may be considered if occurring within less than four years of the underlying arrest or release from incarceration for the conviction, whichever is later.

 

An employer cannot consider a conviction record that has been expunged, sealed, or otherwise cannot be used, whether the record appears on a criminal background check, a Driver Record issued by the Pennsylvania Department of Transportation, or any other source. The individual must be given the opportunity to provide evidence of expungement or sealing.

 

Adverse Action

 

The adverse action process will be expanded. The employer must provide a preliminary notice of intent to deny a job application along with a notice of rights; a statement that the employer will consider evidence of any error in the criminal history records and evidence of rehabilitation and mitigation, including a list of the types of evidence that may be offered; and instruction on how to submit evidence or explanation to the employer. The applicant will still have 10 business days to provide evidence of an error or rehabilitation, but that timing must be observed before the employer may issue a final determination.

 

Retaliation

 

A new section on prohibited retaliation has been added to the Ordinance. Specifically, employers are prohibited from retaliating against an applicant or employee for exercising their rights, and retaliation is presumed if adverse action is taken within 90 days of when that person engaged in the exercise of rights, unless the employer acts in good faith to comply with the law and moves forward with adverse action after considering additional information submitted by the individual, if the adverse action is based on legitimate business concerns that are not related to the criminal history, or when addressing an employee’s pending criminal charge as permitted in the Ordinance.

 

Enforcement

 

The enforcement process has been further detailed on information required to be provided to the Commission when a claim has been made. Employers may also be subject to liquidated damages to make the individual “whole” as a result of a violation.

 

Action Items

1. Review the Ordinance here.
2. Update background check policies and procedures for compliance.
3. Have appropriate personnel trained on the requirements.

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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

APPLIES TO All Employers

EFFECTIVE As Indicated

QUESTIONS? Contact HR On-Call (888) 378-2456

Quick Look Employers must submit a $100,000 fee in connection with H-1B petitions as of September 21, 2025. DHS issued a proposed rule to implement a weighted selection process to favor allocation of H-1B visas to higher skilled and higher paid foreign workers. DOL announced enforcement measures to ensure employers prioritize hiring American workers and hold employers accountable for H-1B abuse.

Discussion

Last month, the federal government announced several changes to the H-1B visa program. On September 19, 2025, the President issued a proclamation instituting a dramatic change in the H-1B petition process that set off confusion. On the heels of this announcement, the Department of Homeland Security (DHS) issued a proposed rule to replace the current random lottery system with a weighted system that prioritizes high paying jobs. Lastly, the Department of Labor (DOL) announced new employer H-1B enforcement measures. There appears to be a lot of misinformation about these proposals. Here’s what employers need to know.

 

New H-1B Visa Fee

 

Citing abuse of the H-1B visa program in order to replace American workers with lower-paid labor, the proclamation restricts entry into the United States by requiring a payment of $100,000 for H-1B petitions effective September 21, 2025. Employers must provide payment prior to filing an H-1B petition on behalf of a potential worker who is outside the United States. The fee requirement is set to expire twelve months from the effective date unless it is extended. The Secretary of State was instructed to issue additional guidance. The Secretary of DHS is also permitted discretion to waive the fee requirement if “the hiring of such aliens to be employed as H-1B specialty occupation workers is in the national interest and does not pose a threat to the security or welfare of the United States.”

 

The proclamation instantly created confusion for employers by not providing clarity in several areas. The Department of State (DOS) and the U.S. Citizenship and Immigration Services (USCIS) issued guidance to address the most common questions asked below. Employers should use the following information in conjunction with consulting with their immigration legal counsel since additional guidance is expected.

 

Does the new $100,000 fee apply to new or existing H-1B visa holders? A September 20, 2025 USCIS memo stated the fee applies to new petitions. The memo goes on to make clear it does not apply to petitions filed before the effective date of the proclamation, currently approved petitions, or to individuals who currently have valid H-1B visas in their possession.

 

Should current H-1B visa holders refrain from traveling outside the United States due to the proclamation? No. The USCIS memo also clearly states the proclamation “does not impact the ability of any current visa holder to travel to or from the United States.”

 

Does the proclamation apply to fees connected with renewing currently valid H-1B visas? No. The DOS FAQ issued September 21, 2025 states that current payments or fees required for H-1B renewals are not affected by the proclamation.

 

In addition to the new fee requirement, the proclamation also instructs the Secretary of Labor to initiate rulemaking to revise the prevailing wage levels to be consistent with the goal of the proclamation to protect American workers. The proclamation also instructs the Secretary of Homeland Security to “initiate a rulemaking to prioritize the admission as nonimmigrants of high-skilled and high-paid aliens.”

 

Legal challenges to the new fee requirement and other proposed changes are almost certain. Congress has the right to establish naturalization rules under the U.S. Constitution. In addition, there is legal precedent which supports Congress’ right to establish the terms and conditions of visas.

 

DHS Proposal to Replace Random Lottery Selection

 

DHS issued a proposed rule on September 24, 2025 entitled Weighted Selection Process for Registrants and Petitioners Seeking To File Cap-Subject H-1B Petitions. The proposed rule would implement a weighted selection process to favor allocation of H-1B visas to higher skilled and higher paid foreign workers while still preserving the ability of employers to obtain workers at all wage levels. Currently, the United States uses a lottery system where it allocates a limited number of H-1B visas (the H-1B cap). Registrants are randomly selected based on properly submitted electronic registrations. The intention of the proposed rule is to move away from random selection to a weighted selection process.

 

The weighted selection process would rely on each beneficiary’s equivalent wage level based on the highest Occupational Employment and Wage Statistics (OEWS) wage level that the beneficiary’s employer intends to pay. This wage would equal or exceed the relevant Standard Occupational Classification code in the area of intended employment. There would be four wage bands into which beneficiaries would be assigned. The higher the wage band, the more registrations the beneficiary would be entitled to, thereby increasing their likelihood of selection. The wage bands and corresponding registrations are as follows:

 

• OEWS Level I = 1 registration for “entry” level workers;
• OEWS Level II = 2 registrations for “qualified” workers;
• OEWS Level III = 3 registrations for “experienced” workers; and
• OEWS Level IV = 4 registrations for “fully competent” workers.

 

Regardless of the number of registrations submitted for a beneficiary, the beneficiary would only be counted once toward the allocation of H-1B visas. The selection process would still occur through a random, computer-generated process. The fiscal year cap on total H-1B workers would also still be maintained.

 

Written comments on the proposed rule are due by October 24, 2025. Legal challenges are also expected. Data from DHS in 2020 showed that the vast majority of H-1B workers were paid at Level I or II wages. This means the weighted selection process will require employers to increase their wages in order to obtain a higher likelihood of their beneficiary being selected in the new process.

 

DOL Increased Enforcement Measures

 

On September 19, 2025, the DOL announced enhanced enforcement measures to ensure employers comply with H-1B requirements. Project Firewall’s intent is to make sure employers prioritize hiring American workers and hold employers accountable for H-1B abuse. As part of its enforcement, the DOL will conduct investigations of employers to maximize H-1B program compliance which will be personally certified by the Secretary of Labor for the first time in the DOL’s history. Investigations will be certified where there is reasonable cause to believe an employer is non-compliant.

 

Employers found to be in violation of the H-1B program can be required to pay back wages to affected workers, pay civil monetary penalties, and be barred from future use of the H-1B program. The DOL will also share information with the following government agencies to ensure compliance: U.S. Department of Justice’s Civil Rights Division, Equal Employment Opportunity Commission (EEOC), and USCIS.

 

Next Steps for Employers

 

Employers who rely on H-1B workers are facing multiple changes and increased scrutiny in how they participate in the H-1B visa program. What should employers do to manage the scope and scale of these changes?

 

Because these proposed changes are new, additional guidance and legal challenges are expected. Legal counsel can help advise employers on how best to protect their business operations and stay compliant. There is also a lot of misinformation regarding the changes which is causing confusion for holders of H-1B visas. Work with legal counsel to draft communications that keep affected workers up to date on what is required. Employers should also prepare for the implementation of these changes while legal challenges are pending. This includes ensuring job descriptions and pay levels are commensurate with the H-1B program requirements. Individuals within the organization who oversee or are part of the H-1B petition process should be kept informed and trained on the most current requirements.

 

Action Items

1. Consult with legal counsel experienced in immigration.
2. Communicate consistently with H-1B workers.
3. Review job descriptions and pay levels.
4. Have appropriate personnel trained on the requirements.

 

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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

APPLIES TO All Employers

EFFECTIVE As Indicated

QUESTIONS? Contact HR On-Call (888) 378-2456

Quick Look On September 19, 2025, the President issued an Executive Order instructing the Secretary of commerce, the Secretary of State, and the Secretary of Homeland Security to establish a “Gold Card” program where an individual who makes an unrestricted gift to the Department of Commerce can receive expedited processing for an immigrant visa. On October 2, 2025, the Department of Labor (DOL) issued an interim final rule, Adverse Effect Wage Rate Methodology for the Temporary Employment of H-2A Nonimmigrants in Non-Range Occupations in the United States, which drastically changes the H-2A visa program’s minimum wage policy. Temporary Protected Status and Employment Authorization Document termination dates are updated on the U.S. Citizenship and Immigration Services website. On October 3, 2025, the U.S. Supreme Court allowed for termination of the TPS program for Venezuelan nationals while the underlying case challenging the merits of the termination proceeds. Effective October 16, 2025, a notice published in the Federal Register titled Immigration Parole Fee Required by HR-1 Reconciliation Bill states that DHS will begin imposing and collecting a $1,000 fee for “any alien who is paroled into the United States.”

Discussion

 

Gold Card Visa Program

 

On September 19, 2025, the President issued an Executive Order instructing the Secretary of Commerce, the Secretary of State, and the Secretary of Homeland Security to establish a “Gold Card” program where an individual who makes an unrestricted gift to the Department of Commerce can receive expedited processing for an immigrant visa. The gift amounts are to be $1 million individually or $2 million for an entity on behalf of an individual. This monetary gift is to be evidence of eligibility in addition to consideration of public safety and national security concerns. The gift amounts are to be deposited into a separate fund in the Department of the Treasury and used to promote commerce and American industry.

 

Within 90 days of the date of the Executive Order, the Secretary of Commerce, the Secretary of State, and the Secretary of Homeland Security must:

 

• Establish a process for application and expedited adjudication of Gold Card petitions, visa issuance, and adjustment of status.
• Specify the date on which applicants or sponsors may begin to submit gifts for consideration under the Gold Card program.
• Establish a process for a Gold Card holder sponsored by a corporation or similar entity to abandon his or her status and for the Secretary of State and the Secretary of Homeland Security to consider the original gift as evidence of eligibility for a different individual specified by the corporation or similar entity.
• Establish administrative fees to cover the cost of expedited processing.
• Establish maintenance and transfer fees for corporations or similar entities sponsoring individuals under the Gold Card program.
• Consider expanding the Gold Card program to other visa applicants engaging in a new commercial enterprise.

 

The White House also issued a Fact Sheet which emphasized that the program’s purpose was to increase investment, revitalize industry, and create economic growth for the U.S.

 

H-2A Final Rule Changes Minimum Wage Policy

 

On October 2, 2025, the Department of Labor (DOL) issued an interim final rule, Adverse Effect Wage Rate Methodology for the Temporary Employment of H-2A Nonimmigrants in Non-Range Occupations in the United States, which drastically changes the H-2A visa program’s minimum wage policy. The H-2A program allows U.S. agricultural employers to use foreign nationals to fill temporary agricultural jobs in anticipation of a labor shortage. As part of this process, the DOL calculates the Adverse Effect Wage Rate (AEWR) which is the minimum hourly wage that employers must pay to H-2A workers. Employers must comply in order for H-2A workers to not negatively affect wages and working conditions of domestic agricultural workers in similar positions. The AEWR is calculated based on data from the U.S. Department of Agriculture’s Farm Labor Survey (FLS) which lists average wages for farmworkers in a state or region. In 2023, there was controversy over a new rule that would significantly raise certain H-2A wages. This resulted in a lawsuit that blocked the new rule and led to the suspension of the publication of the FLS.

 

The new interim final rule will now base AEWRs for farmworkers, agricultural equipment operators, livestock workers, graders/sorters, and packers on the statewide average hourly wages reported by the Bureau of Labor Statistics Occupational Employment Wage Statistics (OEWS) survey for the five most common Standard Occupational Classification (SOC) codes. The AEWRs will also be based on two skill levels:

 

• Skill Level I – Entry level wage rate based on the average hourly gross wage paid to the lower third of all workers in the five SOC codes comprising the field and livestock workers (combined) category or, for occupations outside of that category, the average hourly gross wage paid to the lower one-third of all workers in the specific SOC code assigned to the employer’s job opportunity.
• Skill Level II – Experience-level or qualified employees who possess, either through education, training, or experience, demonstrated skills or knowledge to perform the work covering the SOC code.

 

An adjustment will be applied to the OEWS wage rates to also reflect fixed costs, like housing, that H-2A employers are required to provide to their workers for no cost. A rate table included in the interim final rule also shows that for certain states, the state minimum wage will become the highest applicable wage rate for H-2A workers unless it is lowered downward by the nonmonetary compensation adjustment.

 

Although the rule is effective October 2, 2025, interested parties have until December 1, 2025 to submit comments on the rule.

 

EAD Expiration Updates for TPS and Humanitarian Parole

 

There have been several changes this year to the Temporary Protected Status (TPS) and humanitarian parole programs. Below is a non-exhaustive summary for the countries most affected by ongoing litigation and changes to the termination dates of their programs and associated Employment Authorization Documents (EADs). For additional information on specific countries, please review the USCIS website.

 

Country	TPS Expiration Date	TPS-Related EAD Expiration Date
Haiti	February 3, 2026	EAD auto-extended through February 3, 2026
Honduras	September 8, 2025	September 8, 2025
Nicaragua	September 8, 2025	September 8, 2025
Ukraine	October 19, 2026	EAD expires when TPS ends
Venezuela	2023 TPS designation ended April 7, 2025; and 2021 TPS designation ends November 7, 2025.	TPS beneficiaries who received TPS-related employment authorization documents (EADs), Forms I-797, Notices of Action, and Forms I-94 issued with October 2, 2026, expiration dates on or before February 5, 2025 will maintain work authorization and their documentation will remain valid until October 2, 2026, pursuant to the U.S. District Court for the Northern District of California’s order dated May 30, 2025.

 

TPS Ends for Venezuela

 

On October 3, 2025, the U.S. Supreme Court allowed for termination of the TPS program for Venezuelan nationals while the underlying case challenging the merits of the termination proceeds. The case challenging DHS’ authority to end TPS benefits for Venezuelan nationals was appealed from a district court and Ninth Circuit Court of Appeals decision that DHS lacked authority to vacate the TPS benefits.  This ruling only affects the lower court’s order that termination of the program was suspended pending review of the underlying legal challenge to the validity of the TPS termination. This decision allows termination of the program to proceed while the legal challenge is ongoing. Venezuelan nationals will no longer have legal status as of November 7, 2025. Employers whose workforce is made up of Venezuelan nationals with TPS benefits should consult with legal counsel to understand the ramifications of the Court’s ruling.

 

New $1,000 Parole Fee

 

Effective October 16, 2025, a notice published in the Federal Register titled Immigration Parole Fee Required by HR-1 Reconciliation Bill states that DHS will begin imposing and collecting a $1,000 fee for “any alien who is paroled into the United States.” Parole is a grant of temporary permission to enter the U.S. for urgent humanitarian or significant public benefit reasons, but does not confer immigration status. DHS interprets this to mean each time an alien is granted parole, the fee will be required. This includes initial parole from outside the U.S., Congressionally authorized “parole in place,” re-parole, or parole from DHS custody. Collection begins October 16, 2025 for individuals granted parole or re-paroled while physically present in the U.S.

 

The notice identifies ten exceptions to the fee where there is insufficient time for admission through the normal visa process. The Secretary of Homeland Security will determine if the following exceptions are met:

 

1. The individual has a medical emergency that is life-threatening or they cannot obtain necessary treatment in the foreign state in which they are residing;
2. The individual is the parent or guardian of a minor individual described in #1 above;
3. The individual is needed in the U.S. for an organ or tissue donation;
4. The individual has a close family member whose death is imminent;
5. The individual needs to attend the funeral of a close family member;
6. The individual is an adopted child with an urgent medical condition who is in legal custody of the petitioner for a final adoption-related visa;
7. The individual is a lawful applicant for adjustment of status and is returning to the U.S. after temporary travel abroad;
8. The individual has been returned to a contiguous country and is being paroled to attend an immigration hearing;
9. The individual has been granted the status of Cuban and Haitian entrant as defined in the Refugee Education Assistance Act of 1980; or
10. The Secretary of Homeland Security determines a significant public benefit has resulted or will result from the individual assisting in a law enforcement matter.

 

Action Items

1. Consult with immigration legal counsel on ongoing immigration changes.

 

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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

APPLIES TO All Employers

EFFECTIVE As Indicated

QUESTIONS? Contact HR On-Call (888) 378-2456

Quick Look The FTC’s Joint Labor Task Force is now active, launching its first enforcement action targeting non-compete agreements used broadly across all employee levels. The FTC will assess non-competes using a reasonableness standard, balancing employer interests against employee hardship and public harm. The FTC has dropped its legal defense of the Biden-era rule banning non-competes, opting instead for case-by-case enforcement. Employers are invited to submit information about their competitors’ use of non-competes, with a particular focus on healthcare industry practices.

Discussion

First Enforcement Action of the Joint Labor Task Force

 

In February 2025, the FTC’s Chairman directed the formation of a Joint Labor Task Force, with an aim of “rooting out and prosecuting deceptive, unfair, and anticompetitive labor-market practices that harm American workers.” Following formation of the Task Force, the FTC has taken its first enforcement action targeting a company that imposed non-competes on all new hires, regardless of role. As a result of the enforcement action, employers should note that blanket non-compete policies may trigger federal scrutiny. The resulting consent order requires the company to notify employees that non-competes are void and limits non-solicitation clauses to customers the employee directly served in the past 12 months.

 

New Legal Standard for Non-compete Evaluation

 

In a separate statement, issued on September 4, 2025, the FTC announced that they will use a fact-specific approach similar to the common-law “rule of reason,” when evaluating whether a non-compete is narrowly tailored to protect legitimate business interests (with limited exceptions). Among the factors relevant to the FTC’s finding of unlawfulness here included:

• The size of the company, both in terms of employees and business;
• Whether the company required non-competes of all employees or a subset of employees;
• The behavioral, temporal, and geographic scope of the non-compete provisions; and
• Whether the employees with non-competes had job duties that might justify non-compete restrictions.

 

FTC Drops Biden-Era Non-compete Ban

 

Employers will recall that the Biden-era FTC proposes a near complete ban on non-compete agreements in April 2024. This proposed rule has been subject to significant ongoing litigation and the FTC was required to update the appellate court on their intentions to continue to defend the ban by September 8. Just before their deadline, the FTC announced that they will stop pursuing the action and filed paperwork to dismiss their legal actions. Rather than defending the rule, the FTC has indicated that they will address non-compete agreements “through enforcement actions against companies that misuse them in violation of the law.”

 

Information Requested from the Public on Use of Non-compete Agreements

 

On September 4, 2025, the FTC published a public request for information (RFI) asking the public to provide information on the use and enforcement of employee non-compete agreements. Employers are encouraged to participate in the FTC’s public inquiry, especially if they’ve experienced hiring challenges due to competitors’ non-compete practices. This is an opportunity to influence future enforcement and policy direction.

 

The public has 60 days to respond to the FTC’s RFI, which asks a number of questions, including which employers are using non-compete agreements, what are the terms of those agreements, and how are they being enforced. The FTC also offers a confidential submission option to protect the confidentiality of many of these types of agreements.

 

Action Items

1. Review non-compete and non-solicitation agreements with legal counsel.
2. Continue to monitor enforcement efforts from the FTC.

 

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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