MRA’s 2026 Employment Law Update Recap
Nicole Morehouse
What Should HR Focus on in 2026?
For those of you who joined us for our recent Employment Law Update, the “ELU” as we like to call it internally, thank you! This event is all about you, and it is unlike any other event because of your participation. If you couldn’t attend the ELU, this article will give you a few valuable insights from the event. The general theme—2026 isn’t about new laws (well, maybe except for Illinois) as much as it’s about heightened enforcement, overlapping requirements, and operational risk. The organizations that stay ahead will be the ones that tighten processes, versus simply updating existing policies.
Let’s cover some highlights from the event …
Leave Management Is Now a High Risk, High Complexity Area
Sessions on the Family and Medical Leave Act (FMLA), the Americans with Disabilities Act (ADA), the Pregnant Workers Fairness Act (PWFA), and related leave laws reinforced a clear message: these laws no longer operate in silos. Employers are expected to layer obligations correctly and consistently.
Some actionable HR moves for 2026 might include:
- Auditing your leave process end to end.
- Training managers.
- Reviewing policy language.
Wage & Hour Compliance Is About Process, Not Intent
The Fair Labor Standards Act (FLSA) and wage and hour-focused event sessions emphasized that good intentions don’t protect employers—adherence to laws, documentation, and consistency do. Regulators continue to scrutinize independent contractor and exemption status misclassification, and other pay practices.
Actionable HR moves for 2026 include:
- Auditing exempt classifications using federal and local rules.
- Auditing for recurring payroll issues like unfair rounding.
- Making audits a recurring routine, not a one-time fix.
Performance Management and Termination Decisions Are Under the Microscope
Speakers at this year’s event highlighted how weak documentation and rushed terminations continue to drive litigation risk—especially when performance issues intersect with activity protected under the National Labor Relations Act (NLRA).
Actionable HR moves for 2026 include:
- Refreshing performance documentation templates with clearer expectations and timelines.
- Training leaders on how to document without the use of opinions or speculation.
- Pressure-testing termination decisions before final approval.
Background Checks and Hiring Practices Require Precision
Compliance around background checks and hiring decisions remains an enforcement priority, especially when processes vary by role or location and don’t adhere to federal and local laws on the use of arrest and conviction records.
Actionable HR moves for 2026 include:
- Auditing your process for reviewing background checks and using them for employment decisions.
- Be certain about what information can—and cannot—be used in decisions.
- Confirming that appropriate adverse action processes are followed every time.
Multi State Employers Must Track State Law Changes Closely
State specific updates for Illinois, Iowa, Minnesota, Ohio, and Wisconsin reinforced that multi state compliance risk continues to grow, even when federal laws are relatively stable.
Actionable HR moves for 2026:
- Maintain a location-specific compliance tracker for all local requirements.
- Avoid “one size fits all” handbook language where local law differs.
- Schedule mid year compliance check ins—not just annual updates.
Immigration, I-9s, and Workplace Readiness Are Back in Focus
Worksite readiness and immigration compliance sessions underscored increased enforcement and the importance of clean records and consistent practices.
Actionable HR moves for 2026:
- Conducting internal I-9 audits and using a consistent correction method, in accordance with instructions from the U.S. Citizenship and Immigration Service (USCIS). Locate the M-274 manual. It is extremely helpful!
- Confirming your remote verification practices meet current requirements.
- Prepare leaders for what to do—and not do—during an audit or inspection.
Culture, Conduct, and Power Dynamics Still Matter
Lastly, sessions addressing workplace conduct and power dynamics highlighted that legal risk and culture risk are deeply connected. Policies alone don’t prevent problems—leadership behavior does.
Actionable HR moves for 2026:
- Reinforce reporting channels.
- Retrain leaders on appropriate work-associated conduct in today’s evolving environment.
- Address issues early—before they escalate into formal complaints.
The Wrap-Up Message
The biggest takeaway from MRA’s 2026 Employment Law Update is this: compliance in 2026 is about execution. Clear processes, strong documentation, and well trained leaders are your best risk management tools. HR teams that focus on consistency and preparedness now will save time, cost, and disruption later this year.
NEW for 2026: Mid-Year Employment Law Updates!
MRA is expanding its annual event to include five in-person Mid-Year Employment Law Updates, coming to your state this summer. Led by trusted Midwest-based employment attorneys, the Mid-Year Employment Law Updates are half-day, in-person events designed to provide timely insights into federal and state laws. We’ll equip you and your organization with practical strategies to stay compliant and prepared.
