Employco Blog

Throughout 2025, there have been significant changes in employment law at the federal and state levels. A review of agency guidance, presidential executive orders, litigation, and recent and proposed legislation reveals a number of emerging trends that will affect employers for the remainder of the year. Employers should ensure that they are apprised of significant legal developments and are either in compliance or prepared to comply with their requirements.

Question: Does an employer legally need to provide something in writing to an employee being terminated?

With seasonal employment, internships, and graduations, summer presents a strategic recruitment opportunity for employers. What’s more, summer is the peak season for many businesses, potentially driving them to hire more workers to keep up with increased demand. Summer is an ideal time for employers to review their efforts to attract and retain quality talent for seasonal or long-term employment.

Illinois (Chicago) Increases Minimum Wage – On June 4, 2025, the City of Chicago announced an upcoming change to the minimum wage. Effective July 1, 2025, the Chicago minimum wage for employers with 4 or more employees will be $16.60 per hour, while the tipped employee minimum wage will be $12.62 per hour. For youth workers, subsidized temporary youth employment programs, and subsidized transitional employment programs, the minimum wage will be $16.50 per hour.

On May 28, 2025, the U.S. Department of Labor (DOL) released Compliance Assistance Release No. 2025-01, which rescinds prior 2022 guidance that cautioned plan fiduciaries to exercise “extreme care” before they considered adding a cryptocurrency option to a 401(k) plan’s investment menu for plan participants.

According to the DOL, the standard of “extreme care” deviated from the requirements of the Employee Retirement Income Security Act (ERISA). Under ERISA, fiduciaries must act prudently and solely in the financial interests of plan participants, among other standards of conduct.

An employment separation is the end of an employee’s working relationship with an employer. It includes voluntary separations (i.e., resignation or retirement), involuntary separations (i.e., firing or layoff), and departures that occur at the expiration of a work contract or seasonal employment. Employment separations require employers to complete a variety of important tasks in a short time frame, including finalizing payroll, retrieving company property, and transferring the departing employee’s job responsibilities. Employers must also address issues related to employee benefits for departing employees.

The portal for employers to submit 2024 EEO-1 Reports to the U.S. Equal Employment Opportunity Commission (EEOC) opened on May 20, 2025. The deadline to file 2024 EEO-1 Reports is June 24, 2025.

EEO-1 Overview – The EEO-1 Report is a federally mandated survey that collects workforce data categorized by race, ethnicity, sex, and job category. Under Title VII of the Civil Rights Act, covered employers must usually submit EEO-1 Reports by March 31. However, the EEOC pushed the deadline for 2024 EEO-1 Reports to June 24, 2025.

Question: Can our employees discuss their pay rate with co-workers? What if they discuss someone else’s wages with another employee?