Recent leadership changes at the National Labor Relations Board (NLRB), following the removal of key members by President Donald Trump, are sparking significant policy shifts. As the Board struggles with a lack of quorum, new challenges are emerging, including legal battles over the certification of union elections and the constitutionality of member removal protections. With a more employer-friendly approach under new leadership, the NLRB’s future direction could reshape labor law enforcement and business practices in the coming months.
New Quota Law Coming to Illinois Warehouse Distribution Centers in 2026
In recent years, Illinois has gone the way of states like California and New York by expanding workplace protections for employees. That trend was evident in 2024 with the passage of several laws that took effect on January 1, 2025. Those laws provide additional rights to employees with respect to pay transparency, whistleblowing, E-Verify, captive audience meetings and rights under the Illinois Human Rights Act, to name a few. The trend has continued in the new year with the Illinois legislature passing the Warehouse Worker Protection Act (HB 2547), which the governor is expected to sign. Effective January 1, 2026, the Act will impose new obligations on employers operating large warehouse distribution centers in Illinois where employees are held to a quota.
Summary: Non-administrative, nonexempt employees who work in a large warehouse distribution center where they are subject to a quota must be provided with written details about the quota and what may happen if the quota is not met. If adverse action is taken against an employee for failing to meet a quota, the employee has a right to receive a written explanation about how their work failed to satisfy the quota. Employees (including former employees) who believe they received an adverse action because they did not meet a quota also have a right to receive, among other things, their personal work speed data for the last 90 days and a copy of the aggregated work speed data for employees in similar roles who worked at the same location and for the same time period.
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In 11th Hour Move, Michigan Legislature Adopts Amended Minimum Wage and Earned Sick and Safe Time Requirements
After years of uncertainty and a roller coaster of shifting requirements, Michigan employers will have clear guidance and finality on their minimum wage and paid sick and safe leave obligations with the enactment of these latest amendments. Even still, many Michigan employers will need to adjust their policies to comply with ESTA, and Michigan employers should continue to be mindful of this new landscape and further guidance from the Michigan Department of Labor and Economic Opportunity.
View the full article on the Faegre Drinker website.
Pres. Trump Removes NLRB GC and Member, Testing Limits of Presidential Authority
On the heels of firing NLRB General Counsel Jennifer Abruzzo, Pres. Trump’s decision to remove Board Member Gwynne Wilcox is an unprecedented move that could hamper the National Labor Relations Board and draw swift legal challenges to test the longstanding removal protections recognized by the Supreme Court for independent federal agency heads. Removing Wilcox also leaves the Board with only two members, and the Supreme Court has held that absent its three-member quorum, the NLRB cannot execute its duties. These developments are sure to have a direct and immediate impact on federal labor law and labor-management relations, to which employers should pay close attention in this rapidly changing landscape.
To view the full alert, visit the Faegre Drinker website.
Mexico’s 12 Percent Wage Hike Comes Into Effect January 1, 2025
The right to a minimum wage sufficient to meet the basic needs of workers is enshrined in the Mexican Constitution. Minimum wages in the country are set on a daily basis, ensuring workers receive a set amount for each day worked. On January 1, 2025, the Mexican minimum wage, which is set by the National Minimum Wage Commission (Comisión Nacional de los Salarios Mínimos or CONASAMI), received a considerable 12 percent increase nationwide.
With this increase, the nationwide minimum wage is now MXN $278.80 per day (or approximately USD $13.76) and the minimum wage for the Free Zone of the Northern Border (Zona Libre de la Frontera Norte or ZLFN), the area along the northern border of Mexico, which encompasses the states of Baja California, Sonora, Chihuahua, Coahuila, Nuevo León and Tamaulipas, is now MXN $419.88 per day (or approximately USD $20.72). The 12 percent increase will also apply to workers in 61 professions and trades who are entitled to special professional minimum wage. Specific professions impacted include construction workers, cashiers, agricultural laborers, domestic workers, and masons and bulldozer operators.
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Temporary Protected Status (TPS) and Deferred Enforced Departure (DED) Under the Trump Administration 2.0
President Trump has ordered a review of Temporary Protected Status (TPS) designations made under the Biden administration. The President has previously stated that he intends to revoke TPS for Haitians and Venezuelans, two of the three largest groups of TPS beneficiaries in the United States. During his first administration, he chose to let TPS designations expire for several countries before being blocked in court. Other humanitarian immigration programs like Deferred Enforced Departure (DED) may be at risk under the new Trump administration. The administration’s actions in choosing to extend or eliminate TPS and DED designations for countries up for expiration in 2025 will inform how the administration will proceed with the humanitarian programs.
To view the full alert, visit the Faegre Drinker website.