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Quick Hits The elective deferral limit for 401(k) and 403(b) plans will increase to $24,500 for 2026, and the catch-up contribution limit will increase to $8,000 for most employees but will remain at $11,250 for employees who achieve ages sixty to sixty-three during 2026. The limitation on compensation that can be taken into account under tax-qualified retirement plans will increase to $360,000 for 2026. The threshold for determining highly compensated…

Quick Hits On October 30, 2025, the Federal Labor Court of Germany ruled that probationary periods in fixed-term contracts must be proportionate to the duration and type of work, with no rigid limits. The Federal Labor Court upheld a four-month probationary period for a one-year fixed-term contract, considering it is proportionate due to a sixteen-week training plan. The Federal Labor Court clarified that even if a probationary period is deemed…

Quick Hits Starting no later than January 3, 2028, the FAMLI program will provide most Maryland employees up to twelve weeks of paid leave for certain family and medical reasons, with a possible additional twelve weeks for parental bonding, per benefit year. After several legislative delays to the program’s effective date, the MDOL has now reissued proposed regulations to implement the FAMLI program. The proposed Claims chapter offers additional key…

Quick Hits With the EEOC’s quorum restored, employers can expect more high-profile investigations, broad data requests, and pattern-or-practice litigation targeting hiring, promotion, compensation, DEI programming, and accommodations. Employers may want to consider conducting adverse impact and pay studies to identify and remove barriers to equal employment opportunity. Employment decisions that are made based on objective job-related criteria buttressed by ample documentation will likely be strongest and most defensible; it therefore…

Quick Hits The Delaware Supreme Court is reviewing a case on whether noncompete and nonsolicitation agreements remain enforceable after the forfeiture of equity units due to violations of the noncompete agreement by a former executive. The Delaware Court of Chancery ruled that because the executive’s equity units were automatically forfeited under the agreement when he was terminated for cause, the restrictive covenants lacked the necessary consideration at the time the…

Quick Hits Generally, employers aren’t required to cover weight loss drugs in their health plans. More employers are voluntarily covering weight loss medications to recruit and retain talent. Demand for weight loss drugs is growing among workers. The medications are expensive—typically about $617 to $766 per month, according to the Employee Benefits Research Institute. In most cases, employers are not legally required to cover GLP-1 drugs in their health plans.…

Quick Hits Workers who are Christian, Jewish, Hindu, and Buddhist will mark religious celebrations in December 2025. Employers must grant valid religious accommodation requests unless it would impose a substantial burden on the business. In considering time off requests, employers balance business demands with legal obligations. Employees might ask for time off or breaks for religious observances or to complete prayers at designated times. Typical religious accommodations during the holiday…

Quick Hits The comment period on the Education Department’s proposed Admissions and Consumer Transparency Supplement (ACTS) to IPEDS closed on October 14, 2025, drawing thousands of comments by universities, higher education associations, community and technical colleges, career schools, graduate and professional programs, civil rights and policy organizations, researchers, and individual citizens. Commenters recommended limiting ACTS to truly selective institutions and treating graduate/professional programs separately. Institutions anticipate risk-based reviews tied to…

Quick Hits A federal judge transferred a lawsuit by a former cancer center employee from a New Jersey federal court to a federal court in Pennsylvania, ruling that the case belonged in the employer’s home state rather than where the employee remotely worked.  The court determined that the employee’s claims under the ADA had minimal connection to New Jersey, emphasizing that key decisions about her employment were made in Pennsylvania.…