- within Antitrust/Competition Law and Law Practice Management topic(s)
In a recent New Orleans CityBusiness conversation with local labor, employment, and tax attorneys, we were asked to share what we're seeing on the ground as employers head into 2026. Across all industries, the message is consistent: risk is rising, not just because of new laws, but because long‑standing rules are being enforced more aggressively and technical missteps are carrying higher costs.
From a labor and employment standpoint, the majority of EEOC charges we continue to see fall into three familiar categories: discrimination, leave rights, and retaliation. These issues remain hot‑button topics, and employers are increasingly learning that missteps can quickly escalate into expensive litigation. Ongoing supervisor training remains one of the most effective tools for managing that risk.
We're also seeing persistent exposure under legacy laws like the Fair Labor Standards Act and the National Labor Relations Act. Employee misclassification continues to be the most common and costly compliance error. Immigration compliance is another growing concern, as increased audits mean even technical I‑9 deficiencies can trigger fines and penalties.
On the tax and employee benefits side, 2026 brings meaningful changes that require employer attention now. High‑income employees who are eligible for 401(k) catch‑up contributions will generally be required to make those contributions on a Roth (after‑tax) basis, affecting payroll administration and participant communications. At the same time, employers can continue to leverage the now‑permanent ability to offer tax‑free student loan reimbursement through a compliant educational assistance program — an increasingly valuable benefit for attraction and retention.
Proactive compliance is far less costly than reactive fixes. Employers who take time now to audit practices, train leaders, and update systems will be far better positioned for the year ahead.
They are all hot button issues in the workplace, and employers are starting to realize that discrimination, leave rights, and retaliation issues could end in costly litigation efforts."
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