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One of the most frustrating HR problems for employers operating across state lines is managing different state and city paid-leave laws in the absence of at least a federal minimum standard. Now, Congress is considering enacting legislation to help.

Approximately 46 million workers can now take time off for medical care, having or adding a child to their family, and a dizzying array of other reasons, thanks to state and local paid-leave laws enacted over the past two decades.

Surveyed employers are shifting their deployment of increases away from merit-based increases targeting top performers with bigger raises than less stellar performers and towards equal percentage increases for all employees. That’s something Payscale refers to as “peanut butter increases”—that is, spreading increases evenly across the board, peanut butter sandwich-style.

We are located in California and are potentially interested in participating in the Department of Labor’s PAID program to fix some innocent errors. Does our location impact our decision?

Andrew Rogers, the Wage and Hour Division administrator, said the 2024 final regs were too restrictive and that the 2026 proposed regs adhere more faithfully to courts’ interpretations of the FLSA. But he also predicted that more workers would be classified as independent contractors if the proposed regs are finalized.

Just 4% of employers offering 401(k) plans have amended them to allow the new $1,000 emergency withdrawals authorized under SECURE 2.0, according to financial services firm Vanguard.

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Some states and major cities have stepped in, telling employers that workers are entitled to predictable schedules so they can plan for child care, second jobs, education and time away. While that’s great for workers, the patchwork of laws and rules can complicate management, especially for employers with operations across multiple jurisdictions.

The Biden administration nixed the program largely because it allowed employers to avoid penalties and the doubling of unpaid wages the FLSA allows the DOL to assess for violations if only they confessed to their mistakes and told the DOL. PAID is now back and open to employers who want to resolve FLSA problems as well as FMLA issues.

Salary budgets may no longer be climbing, but they are far from operating on autopilot. New survey data shows employers entering 2026 with greater confidence in their pay planning, shifting away from reactive increases and toward more deliberate compensation strategies focused on performance, retention and internal equity.