Legislative Updates

On 7/25/23, Health and Human Services published a proposed rule to ensure that private health plans are complying with the Mental Health Parity Act of 2008.  The Mental Health Parity Act aims to make sure that individuals have the same access to mental health services as they do to other services on their health plans. 

The proposed rule would require insurance companies to make changes when they are providing inadequate access to mental health services, make it clear what health plans can and cannot do, and close existing loopholes.  Health plans would also have to evaluate how their plans impact the patient's access to mental health services.  

Read more at: Departments of Labor, Health and Human Services, Treasury announce proposed rules to strengthen Mental Health Parity and Addiction Equity Act | HHS.gov

USCIS announced that a new I-9 Form will be published on August 1, 2023 for immediate use.  Employers may continue to use the previous version of the form through October 31, 2023.  Employers will be subject to penalties if they continue using the older version after that time.  Several updates to the form have been made.  Read more at: USCIS To Publish Revised Form I-9 | USCIS.  

The US Supreme Court ruled in favor of a website designer who refused to make wedding websites for same-sex couples due to her Christian beliefs.  The US Supreme Court found that her freedom of speech rights outweighed Colorado's protections against discrimination.  The ruling is specific to businesses who sell "expressive goods."  

The US Supreme Court ruled to end affirmative action in higher education admissions practices.  Two cases were brought to the Supreme Court alleging racial discrimination in the admissions process.  The Court ruled that the higher education institutions in the cases were thought to violate the Equal Protection Clause of the 14th Amendment.  

The ruling does not directly impact employers at this time but is rather something to watch for that could impact hiring practices.  

In Groff v. DeJoy, a case where a Christian postal worker sued the US Postal Service for not accommodating his request to not work on Sundays, the court rejected that employers only need to show that the accommodation would cause them to bear more than a de minimis cost.  

Today, the US Supreme Court unanimously ruled that religious accommodations can only be denied by employers if they can prove it would result in substantial increased costs for the business. 

The Biden Administration has postponed plans to raise the wages of professional foreign workers in the H-1B and employment based green card categories.  The Administration indicates that they have intentions to propose reforms to the H-1B visa program by the end of the year.  

In 2021 the Trump administration issued a final rule raising wages for H-1B visa workers which was to take effect in November 2022.  However, it was stopped by a federal judge last year.   

On May 30th, National Labor Relations Board Cousel, Jennifer Abruzzo, issued a memo indicating that it is her view that non-compete agreements in employment contracts violate the National Labor Relations Act except in limited circumstances.  It is Abruzzo's view that they are unlawful because they stop employees from exercising their rights under Section 7 of the NRLA.  She outlines these interferences specifically:

1. Employee's ability to threated to resign to secure better working conditions.

2. Employee's ability to carry out concerted threats to resign to secure improved working conditions.

3. Employee's ability to seek or accept employment with a local competitor to obtain better working conditions.

4. Solicit co-workers to go to work for a local competitor as a part of a broader course of protected activity.

5. To seek employment to specifically engage in protected activity including union organizing with other workers.

It is Abruzzo's believe that non-competes could be lawful if it only restricts an individual's managerial or ownership interests in a competing business or true independent-contractor relationship.  

Read more at: NLRB General Counsel Issues Memo on Non-competes Violating the National Labor Relations Act | National Labor Relations Board

On May 18th, the Equal Employment Opportunity Commission (EEOC) released a technical assistance document which focuses on preventing discrimination for job seekers based on Title VII Rights and use of automated systems including artificial intelligence.  The document discusses adverse impact as well as assists employers in preventing discrimination through the use of AI.

Read the EEOC document at: Select Issues: Assessing Adverse Impact in Software, Algorithms, and Artificial Intelligence Used in Employment Selection Procedures Under Title VII of the Civil Rights Act of 1964 | U.S. Equal Employment Opportunity Commission (eeoc.gov)

On May 16th, the IRS released Health Savings Accounts (HSAs) adjustments for 2024. The new limits are as follows: 

Self-only coverage under a High Deductible Health Plan: increasing from $3,850 for 2023 to $4,150 for 2024.

Family coverage under a High Deductible Health Plan: increasing from $7,750 for 2023 to $8,300 for 2024.

On May 10th, the US Office of Personnel Management released proposed regulations which would prohibit federal agencies from considering an applicant's previous salary history at the time of a job offer.  The proposed regulations are to help create pay equity for all.  

Read the OPM's press release at: RELEASE: OPM Releases Proposed Regulations to Prohibit Use of Previous Salary History