We know it’s nearly impossible to stay on top of legal changes. Our job as General Counsel is to ensure our clients know what they don’t know.

I’ve pulled together some timely updates and insights that I believe you’ll find valuable as a business leader navigating today’s evolving landscape. Whether it’s proactive planning, legal shifts, or emerging risks, our goal is to keep you informed—so you can stay focused on what matters most.

If you’re curious what it’s like to work with Equinox through our General Counsel Services (GCS), here’s a glimpse. Our GCS clients receive a deeper, customized version of this content, and—more importantly—they walk through it side by side with their General Counsel. That means not just knowing what’s changing, but understanding what it means for your business, and how to act on it.

I hope this edition gives you a taste of that proactive, collaborative approach—and I’d love to explore how we might support your goals more closely.

Curious about how GCS could fit your business? Reach out to us.

FEDERAL UPDATES

What is an Executive Order

An Executive Order (EO) is an official directive issued by the President of the United States to federal agencies, instructing them on how to carry out existing laws or manage operations within the executive branch. While Executive Orders can have wide-reaching effects, it’s important for businesses to understand that these Orders are not laws themselves and do not impose direct obligations on private entities. Instead, they guide how federal agencies interpret, enforce, or implement laws—which can, in turn, affect businesses. For example, an Executive Order might direct an agency to increase enforcement efforts under existing regulations, develop new rules pursuant to the Order, or prioritize certain initiatives on behalf of the administration. The impact on businesses comes from those agency actions—not the Executive Order itself.

Executive Order Aims to Eliminate Affirmative Action and DEI Initiatives

On January 21, 2025, President Trump issued Executive Order (EO) “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” which introduces major changes for federal contractors and grantees.

Key aspects of the EO include:

• Termination of Preferences and Policies: The Order aims to eliminate all affirmative action and DEI-related policies, programs, and actions deemed discriminatory or illegal.
• Revocation of Previous Orders: It revokes several prior Executive Orders governing federal employment practices, most notably EO 11246 from 1965, which was foundational for contractor and grantee affirmative action requirements.
• Directive to the Office of Federal Contract Compliance Programs (OFCCP): TThe OFCCP is directed to stop requiring contractors and subcontractors to implement affirmative action plans, reporting, or workforce balancing based on demographic factors like race, gender, or religion.
• Directions to Federal Contractors and Subcontractors: Federal contractors and subcontractors are directed to no longer consider race, color, sex, sexual orientation, religion, or national origin in ways the administration views as violating civil rights laws. 
• Certification Requirement: Agencies must ensure contractors and grant recipients certify their DEI programs comply with federal anti-discrimination laws, a requirement already included in many federal contracts.

This EO disrupts affirmative action rules for federal contractors and grantees, potentially requiring significant policy changes. While it doesn’t ban DEI programs outright, it raises questions about their future under stricter federal enforcement.

Section 4 directs agencies to enforce anti-discrimination laws, while encouraging private employers to eliminate DEI practices. 

Within 120 days, the Attorney General will recommend enforcement strategies, highlight DEI programs of concern, and identify up to nine targets for civil investigations, including large nonprofits, corporations, and higher education institutions. Organizations should review internal policies, as legal challenges to the EO are anticipated.

A 90-day grace period allows contractors and grantees to follow pre-existing rules until April 20, 2025, despite new Executive Order directives. Organizations should review internal policies, as legal challenges are expected due to potential conflicts with federal laws.

DOL Stops Investigations and Enforcement Activity of Federal Contractors 

On January 24, 2025, Acting Secretary of Labor Vincent Micone paused all investigations and enforcement under Executive Order 11246, halting the OFCCP’s work on equal employment opportunity for federal contractors. Originally established in 1965 to prevent discrimination, EO 11246 required contractors to report hiring data. This decision aligns with efforts to end DEI initiatives, causing concern among HR leaders and compliance officers.

Executive Order Rescinds Biden-era Minimum Wage for Federal Contractors

On March 14, 2025, President Trump issued an executive order reversing policies, including Executive Order 14026, which had increased the minimum wage for federal contractors. The required minimum wage is now reduced from $17.75 to $13.30 per hour, awaiting updates from the U.S. Department of Labor. Businesses working with federal contracts should review their pay structures and stay updated on implementation guidance.

NLRB Implements Major Policy Changes Impacting Employer-Employee Relations

The NLRB has overturned a long-standing precedent, ruling that employers can no longer require employees to attend mandatory meetings on unionization, as it violates labor laws. The “Clear and Unmistakable Waiver” standard was also reinstated, requiring employers to gain explicit union consent before changing employment terms. Additionally, Acting General Counsel William B. Cowen rescinded over 24 prior memoranda, signaling shifts in policies on non-competes, severance agreements, and electronic monitoring. Employers should now ensure union discussions are voluntary and review policies to maintain compliance with these changes.

EEOC Announces Shift in Combatting Employment Discrimination

The U.S. Equal Employment Opportunity Commission (EEOC) is focusing on combating national origin discrimination against American workers. This includes addressing unlawful employer preferences for non-American workers, such as exploiting wage differences or assuming foreign workers are more compliant or productive. Under Title VII of the Civil Rights Act, national origin discrimination is illegal, regardless of citizenship or immigration status. The EEOC plans to collaborate with other federal agencies to address these issues. Employers should review hiring practices, train managers, and evaluate policies to ensure compliance and foster inclusivity.  Click here to learn more about this legal update.

How to Prepare for U.S. Immigration and Customs Enforcement (“ICE”) Actions

With increased attention to immigration enforcement, it’s essential for employers to proactively establish protocols that both ensure compliance and protect the rights of employees. Here are key steps organizations can take:

• Establish Clear Protocols: Develop clear procedures for responding to ICE visits, designate trained contacts, and clarify workplace areas where ICE has access based on warrant types.
• Provide Employee Education: Train frontline employees, like receptionists or security, to professionally handle ICE interactions while protecting legal rights. Ensure they know how to escalate to the appropriate contacts promptly.
  
•  Conduct Internal Document Audits: Regularly review and organize I-9 forms and immigration documents to ensure compliance and prepare for ICE inspections.
  
• Review and Strengthen Immigration Policies: Update internal immigration policies to ensure compliance and minimize legal or financial risks from employing undocumented workers.
  
• Plan for Enforcement Scenarios: Create contingency plans to handle ICE actions, including communication, legal strategies, and employee support.
  
• Support Employee Well-Being: ICE visits can create workplace anxiety. Offering mental health resources, legal support, and clear communication channels helps maintain morale and support employees with concerns about their rights.
  

WASHINGTON UPDATES

WA Supreme Court: Restrictions on Low-Wage Workers Working for Competitors

On January 23, 2025, the Washington Supreme Court ruled in David v. Freedom Vans LLC that employers cannot broadly restrict low-wage employees from working for competitors during their employment. The case involved two employees earning below twice the state minimum wage, who challenged agreements barring them from outside work. The Court found these restrictions violated Washington’s noncompete law, which protects lower-wage workers. Employers should review agreements and policies to ensure compliance with wage threshold regulations, and consult legal counsel if needed.

Washington’s First My Health My Data (MHMD) complaint 

A class action lawsuit was filed on February 10, 2025, against an online retailer under Washington’s My Health My Data (MHMD) Act—the first case under this law. The lawsuit alleges the retailer’s advertising division collected and sold consumer location data via an SDK in mobile apps without proper consent. This data, including geolocation and advertising IDs, could reveal sensitive health-related information. The MHMD Act requires clear, written consent for collecting or sharing such data, with enforcement by individuals or the Washington Attorney General. Businesses should review data practices to ensure compliance.