Gretchen Carlson was originally known for asking fiery questions on Fox News in the 2000s. That changed when, in 2016, she tried to file a sexual harassment lawsuit against her boss, Roger Ailes, and found she was bound to a forced arbitration clause in her contract.

That realization changed the trajectory of her career. Carlson became familiar with the problems associated with forced arbitration policies, and how they impact workers. In 2019, she and Julie Roginsky, a former Fox News contributor who also alleged harassment, founded Lift Our Voices, a nonprofit working to end workplace discrimination.

Now, with a successful civil lawsuit against Ailes, and two new federal laws that ban forced arbitration and pre-dispute NDAs for workplace sexual assault and harassment cases, Carlson wants to end forced arbitration for age discrimination lawsuits.

Forced arbitration 101. The Federal Arbitration Act of 1925 initially stipulated that consumers and employees with a complaint would work through back channels to resolve disputes. However, the law has gained more power in the last four decades.

Keep reading here.—KP

Benefits silos are out; combining health benefits and wealth benefits is in. After all, who wouldn’t want these outcomes:

1. Shifted paradigm: With the benefits landscape shifting, organizations that offer health + wealth resources can set themselves (and their employees) up for next-level success.
2. Big perks: Integrated benefits are a win-win for employers and employees. Think improved retention rates, increased productivity, and enhanced well-being.
3. Innovation: Benefits integration doesn’t have to be a logistical nightmare. Strategies like automatic enrollment and defaults will smooth out education and enrollment bumps.
4. HSA evolution: Health savings accounts are now considered crucial components of a comprehensive retirement savings strategy—and they inherently unify health + finance.
5. Improved outcomes: This benefits combo creates a workplace where employees can thrive in their personal lives and at work.

Talk about a power couple. Get more details in Marsh McLennan Agency’s new report on employee health and financial well-being.

The Federal Trade Commission (FTC) voted to issue a final rule on April 23 banning employers from using noncompete clauses in employment contracts.

Such agreements are commonly found in industries ranging from warehousing to medicine, according to the FTC. They’re intended to prevent employees from engaging in conduct that could increase competition for another party; as such, noncompetes may keep workers from joining another firm, for example, or bringing their current clients to a new firm, per Cornell Law School.

The FTC has argued noncompetes “[suppress] wages, [hamper] innovation, and [block] entrepreneurs from starting new businesses.” The agency estimates this rule could open up career pathways for some 30 million US workers, and result in increased earnings of $400 billion to $488 billion over a decade, or about $524 per worker on average annually.

How HR can prepare. Business groups including the US Chamber of Commerce have already sued the FTC to block the noncompete ban, so it’s not yet clear how soon employers may need to comply with the rule. Five states currently ban noncompete agreements, and New York legislators are expected to take up a ban this year after previous legislation was vetoed by Gov. Kathy Hochul in late December.

Keep reading here.—CV

Some 4 million additional salaried workers will be eligible to receive overtime pay under a final rule the Department of Labor announced on April 23.

The rule raises the annual salary threshold for white-collar (i.e. executive, administrative, and professional) employees to qualify for overtime from $35,568 to $58,656. It will be fully implemented by Jan. 1, 2025. These thresholds will be updated every three years starting in July 2027 based on current wage data.

“This rule will restore the promise to workers that if you work more than 40 hours in a week, you should be paid more for that time,” Acting Labor Secretary Julie Su said in a statement. “Too often, lower-paid salaried workers are doing the same job as their hourly counterparts but are spending more time away from their families for no additional pay. That is unacceptable.”

How HR should prepare for new overtime rules. The degree to which your organization will be affected by these new salary thresholds may depend in part on where your employees are based, HR Brew reported last September.

Keep reading here.—CV

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