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Highly Compensated Employees

Otten Johnson Robinson Neff + Ragonetti PC

Additional Restrictions on Colorado Non-Compete Agreements Take Effect on August 6, 2025

With the recent passage of Senate Bill 25-083, Colorado continues its trend of restricting the application of non-compete agreements in the state. The new law (i) adds certain prohibitions on when non-compete agreements can...more

Jackson Lewis P.C.

Fifth Circuit Decision Clarifies Application of Highly Compensated Employee Overtime Exemption

Jackson Lewis P.C. on

A recent decision by the U.S. Court of Appeals for the Fifth Circuit clarifies how courts should apply the Fair Labor Standards Act’s (FLSA’s) highly compensated employee (HCE) exemption and distinguishes the exemption from...more

A&O Shearman

Executive compensation and employee benefits provisions of the Budget Reconciliation Bill

A&O Shearman on

On July 3, 2025, Congress passed H.R. 1, “An Act to Provide for Reconciliation Pursuant to Title II of H. Con. Res. 14” (the “Act”), which was signed into law on July 4, 2025. The Act sets out a wide range of changes to U.S....more

McGlinchey Stafford

5th Circuit Clarifies Highly Compensated Employee Exemption

McGlinchey Stafford on

The highly compensated employee (HCE) exemption under the Fair Labor Standards Act (FLSA) is one of the most complex exemptions in employment law. In the recent case of Gilchrist, et. al. v. Schlumberger Technology Corp.(5th...more

Dickinson Wright

Orbiting Opportunity: Why Relocating Employees to Florida is a Strategic Magnet for Retaining Mission-Critical Staff

Dickinson Wright on

With the Federal Trade Commission’s non-compete ban out of the picture, the Supreme Court barring most universal injunctions, and the National Labor Relations’ Board directive identifying non-compete agreements as violating...more

Verrill

Do We Have to Make It a Top Hat Plan?

Verrill on

Employers and their compensation advisors often assume that an arrangement to pay employees in the future for work done over time will be subject to the rules for ERISA pension plans unless it is limited to a “select group of...more

Littler

Florida’s CHOICE Act Offers Employers Two New Types of Agreements to Prevent Unfair Competition by Highly Compensated Former...

Littler on

On June 18, 2025, the Florida legislature presented Governor Ron DeSantis with the Florida Contracts Honoring Opportunity, Investment, Confidentiality, and Economic Growth (CHOICE) Act. It is expected that Governor DeSantis...more

Lowndes

Florida’s Choice Act Enhances Employer Enforcement of Noncompete Agreements

Lowndes on

The proposed Florida Contracts Honoring Opportunity, Investment, Confidentiality and Economic Growth (CHOICE) Act marks a substantial development in Florida’s treatment of noncompete agreements....more

BakerHostetler

New York Senate Passes Half-Million-Dollar Noncompete Wage Limit

BakerHostetler on

As alluded to in our alert regarding nationwide changes in noncompete law, on June 9 the New York State Senate passed Senate Bill S4641 (S4641), which would restrict the use of noncompetes in New York for anyone earning less...more

Seward & Kissel LLP

NYS Senate passes bill banning most non-competes; on to NYS Assembly

Seward & Kissel LLP on

On June 9, 2025, the New York State Senate passed Senate Bill S4641A (the “Bill”). The Bill, if signed into law, would prohibit most non-compete agreements (“non-competes”) throughout the state, except for those with highly...more

Foley & Lardner LLP

Tricky Compliance Issues for Companies When an Executive Terminates Employment: 409A Applicability to Severance

Foley & Lardner LLP on

Executive employment relationships are rarely permanent. When an executive or other senior-level employee terminates employment, companies often must deal with difficult tax, equity, and benefits issues that arise in...more

Vedder Price

Florida's CHOICE Act Gives Employers Much To Consider In Reshaping Their Restrictive Covenant Agreements

Vedder Price on

Set to take effect on July 1, 2025, the Florida Contracts Honoring Opportunity, Investment, Confidentiality, and Economic Growth (CHOICE) Act (the “Act”) allows covered non-compete and garden leave agreements to extend...more

Constangy, Brooks, Smith & Prophete, LLP

“Re-do” bill would fundamentally change New York non-compete law

Two years ago, a bill that would have effectively gutted New York non-compete law made it as far as the Governor’s desk where Gov. Kathy Hochul (D) vetoed it, much to the relief of the New York business community. However,...more

Holland & Knight LLP

IRS Proposes Key Changes to Roth Catch-Up Contributions Under SECURE 2.0

Holland & Knight LLP on

The IRS has issued proposed regulations that clarify and implement catch-up contribution changes introduced by the SECURE 2.0 Act of 2022. Although these changes affect various forms of retirement plans, including 401(k),...more

Foley & Lardner LLP

Tricky Compliance Issues for Companies When an Executive Terminates Employment: Executive Severance Plans

Foley & Lardner LLP on

Executive employment relationships are rarely permanent. When an executive or other senior-level employee terminates employment, companies often must deal with difficult tax, equity, and benefits issues that arise in the...more

BakerHostetler

The CHOICE Act: A New Era for Noncompete Agreements in Florida

BakerHostetler on

As referenced in our blog post discussing notable noncompete changes nationwide, Florida lawmakers are changing how the Sunshine State views noncompete and garden leave agreements....more

BCLP

Prepare Now for Mandatory Roth Catch-Up

BCLP on

Proposed Treasury regulations relating to catch-up contributions were issued in January of 2025 that include guidance for the mandatory Roth catch-up requirement, which was first provided under section 603 of Division T of...more

Ballard Spahr LLP

Department of Labor to Reconsider Rule Increasing Overtime Salary Thresholds for White Collar and Highly Compensated Workers

Ballard Spahr LLP on

During the Biden administration, the U.S. Department of Labor (DOL) issued a final regulation (the “2024 Rule”) seeking to increase the salary threshold for overtime eligibility for the “white-collar” exemption (also referred...more

Kelley Drye & Warren LLP

Four More Years? Examining the Push for Extended Non-Competes in Florida

Following lobbying efforts by the now Miami-based hedge fund Citadel, Florida governor Ron DeSantis is poised to sign into law a new bill allowing non-compete clauses to extend up to four years for certain employees. Anyone...more

Littler

Sixth Circuit Finds Employee’s Guaranteed Weekly Salary Was Based on Daily Rate, Defeating Exempt Classification

Littler on

Despite an employee’s being highly compensated, the Sixth Circuit reversed a summary judgment order from the district court, finding that even though the pipe inspector was highly compensated, his pay was calculated on a...more

Vedder Price

Sixth Circuit Clarifies Requirements for a Salaried Employee to Be “Paid on a Weekly Basis” Under the FLSA.

Vedder Price on

On April 1, 2025, the U.S. Court of Appeals for the Sixth Circuit issued an important decision in Pickens v. Hamilton-Ryker IT Solutions, LLC regarding what it means to be paid on a “weekly basis” for purposes of the...more

Kaufman & Canoles

ESOPs Benefits & Compensation - Q1 2025 Client Alert

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Happy Spring from the Kaufman & Canoles ESOPs, Benefits & Compensation team! We hope you’re shaking off the winter blues and ready for another round of benefits updates. ...more

Epstein Becker & Green

New York State Proposes Bill to Ban Noncompetes Except for Highly Compensated Workers and in Sales of Businesses

Epstein Becker & Green on

New York State Senator Sean Ryan recently introduced Senate Bill 4641 (the “Bill”) that proposes to ban noncompete agreements for most New York employees....more

Ice Miller

The Highly Compensated Employee Exemption Under the FLSA - Misclassification of Highly Compensated Employees Can be Costly

Ice Miller on

Classification of employees under the Fair Labor Standards Act (FLSA) remains a high-risk area where employers can easily misstep, potentially incurring thousands of dollars in overtime pay, liquidated damages, attorneys...more

Fisher Phillips

4 Tips for Employers After Appeals Court Says Highly Compensated Employee is Entitled to OT Pay

Fisher Phillips on

An appeals court just ruled that a pipe inspector who earned more than $270,000 a year was entitled to overtime pay because he was not paid on a “salary basis.” In its April 1 decision, the 6th Circuit joined the 5th Circuit...more

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