DOL Updates
DOL Clarifies UI Eligibility Requirements for Striking Workers
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APPLIES TO As Indicated |
EFFECTIVE JAN 8, 2026 |
QUESTIONS? Contact HR On-Call |
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Discussion
Earlier this year, the DOL issued a series of Questions and Answers (Q&As) addressing how states can remain in compliance with federal unemployment insurance (UI) law when providing unemployment benefits to striking employees. Currently, New Jersey, New York, Oregon, and Washington permit striking workers to collect UI benefits. For these states, the guidance clarifies when those employees are eligible for federal UI benefits.
Specifically, the Q&As make clear that striking workers in states that permit UI benefits must satisfy the same federal eligibility requirements as any other UI claimant, meaning they must be able to work, available for work, and actively seeking work. Merely maintaining contact with the union is not sufficient. State UI agencies must verify that a striking worker’s efforts to find other work are genuine and that the worker has not withdrawn from the labor market, including by engaging in activities such as picketing to the exclusion of seeking other work. States cannot exempt striking workers from the active job search requirement and remain in compliance with federal regulations.
The guidance also addresses situations where an employer offers a striking employee a position and the employee declines. In those cases, the state UI agency must conduct a fact-specific inquiry to determine whether the employee has “refused work” in a way that affects their eligibility for benefits. This includes examining why the position is open and whether the wages, hours, or other conditions of the offered work are substantially less favorable than those for similar work in the locality.
The DOL emphasizes that states that waive the active job search requirement for striking workers risk losing federal grants used to administer their UI programs. Employers should also note that if a strike is converted to a lockout, striking employees may become eligible for UI benefits even in states that do not otherwise provide UI benefits for striking workers.
Action Items
- Consult with legal counsel on specific UI eligibility determinations.
DOL Identifies New Enforcement Approach
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APPLIES TO All Employers |
EFFECTIVE FEB 26, 2026 |
QUESTIONS? Contact HR On-Call |
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Discussion
On February 26, 2026, U.S. Department of Labor (DOL) General Counsel Jonathan Berry issued an internal agency memorandum titled “Enforcement Priorities to Protect the American Worker and Those Who Depend on Him,” outlining the agency’s updated enforcement strategy. The memo reflects the DOL’s broader shift toward an employer-friendly, compliance-assistance approach in line with the Trump Administration’s deregulatory agenda. Key aspects of the memorandum are outlined below.
Non-Union Workplaces. The memo instructs the DOL’s enforcement arm to deprioritize investigations at workplaces covered by collective bargaining agreements that “provide adequate and regularly implemented remedies,” reasoning that unions are better positioned to evaluate and address workplace violations. That said, unionized employers are not entirely off the hook. The presumption against investigation will be lifted if there is evidence that the union is not fairly representing both members and non-members, or if contractual remedies are insufficient to resolve violations.
Targeting Larger Cases. The memo also directs DOL attorneys to focus on cases involving a “significant number of workers” and to closely scrutinize employers “whose market power permits them to dominate their respective labor markets.” Repeat violators and cases involving trafficking are also designated as top priorities.
Impact of Arbitration Agreements. The memo signals that the DOL will not use its enforcement posture to restrict the use of employment arbitration agreements, but makes clear that a valid arbitration agreement will not prevent the agency from pursuing an enforcement action that is otherwise appropriate.
Compliance Assistance Tools. The memo reaffirms the DOL’s commitment to providing “maximum clarity” to employers about their legal obligations. The agency plans to achieve this through careful regulatory drafting and an expanded advisory content program, including its opinion letter program, which allows employers, workers, and other interested parties to request the agency’s position on specific legal questions.
Employers should keep in mind that the memo does not create new legal obligations or alter existing regulatory requirements. Instead, it reflects the DOL’s internal enforcement priorities and provides insight into how the agency intends to investigate and enforce certain labor and employment laws.
Action Items
- Review DOL’s compliance assistance tools and opinion letters, as applicable.
- Monitor ongoing enforcement actions from DOL.
- Consult with legal counsel regarding specific workplace concerns.
DOL Launches New “Center for Faith” Website
On March 19, 2026, the DOL launched a new website for its Center for Faith, which was originally established in 2025 pursuant to an executive order directing the agency to defend religious liberties and combat religious bias in the workplace. The website compiles resources from the White House, the DOL, and the EEOC to help employers understand their legal obligations to provide a workplace free of religious discrimination, harassment, and retaliation, and includes an interactive state map highlighting religious protections across different states. It also provides resources for faith-based organizations on accessing federal grant opportunities and managing retirement plans. Employers may wish to use the Center for Faith’s resources as an opportunity to review workplace antidiscrimination policies for compliance with applicable federal religious discrimination requirements.
DOL Proposes Revised Prevailing Wage Methodology for H-1B and PERM Visa Programs
On March 27, 2026, the DOL issued a proposed rule that would modernize the methodology used to determine prevailing wage levels for the permanent labor certification, H-1B, H-1B1, and E-3 visa programs. The updated methodology would use statistically grounded percentile thresholds derived from the Bureau of Labor Statistics’ Occupational Employment and Wage Statistics survey, with the goal of bringing wages paid to foreign workers in line with wages paid to similarly employed American workers. The DOL reasoned that the current prevailing wage levels have been set drastically lower than market rates, which has incentivized employers to replace American workers with lower-paid foreign visa holders. The proposed rule aims to reduce that incentive and establish greater parity between U.S. and foreign worker wages. A public comment period is open for 60 days following the March 27, 2026, publication of the proposed rule, after which the DOL will consider feedback before determining next steps in the rulemaking process.
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. © 2026 ManagEase