Labor & Employment Law Update

Hiring your first out-of-state employee can introduce a complex web of local and state employment laws that may differ dramatically from those you already follow. From paid leave requirements and pay transparency laws to non-compete restrictions and city-specific ordinances, multi-state employment compliance can quickly become a challenge for unprepared employers.

All Wisconsin employers know the basics of the state’s workers’ compensation statute. If an employee is hurt on the job, they may be entitled to benefits under workers’ compensation insurance. However, many don’t realize that if they fail to bring the employee back to work when suitable employment is available, the employer may be exposed to liability in the form of paying the employee up to one year of wages and benefits. This risk comes from Wisconsin’s Unreasonable Refusal to Rehire (URR) statute. Although the consequences of this statute are significant, it is frequently overlooked until it is too late.

On April 22, 2026, the U.S. Department of Labor (DOL) issued a proposed rule that would set a single standard for joint employer status under the FLSA, FMLA, and the Migrant and Seasonal Agricultural Worker Protection Act (“MSPA”). The proposed rule would offer clarity for employers around when multiple employers are jointly responsible for protecting employee wages and other rights.

If U.S. employment laws feel impossible to keep up with, you’re not imagining things. Between federal, state, and local laws and shifting agency guidance, even well-intentioned employers can find themselves in violation of labor and employment laws without realizing it.

You probably can’t fix the system, but you can protect your business from unnecessary risk and expense. The key is investing in prevention, empowering the right people, and acting decisively before small issues escalate.

Under Wisconsin law, employees must first be the victim of identity theft or other concrete, imminent harm to have standing to sue employer for data breach. Mere risk of future data misuse is not enough to establish standing.

In Wisconsin, negligent supervision claims are only available when there is an employer-employee relationship. Independent contractor (“IC”) or agency relationships do not suffice and, crucially, the individual must be an IC in practice, not just on paper. This is one of many reasons it is important to actively review and manage your independent contractor relationships to ensure they don’t unwittingly morph into employees.