As we look ahead to 2026, several significant employment law developments and trends are on the horizon, especially with regard to local and state laws. Below are a few key issues likely to impact manufacturers in 2026:
Regulation of the Use of Artificial Intelligence in Employment
Employers, including human resource professionals, are increasingly turning to generative artificial intelligence (AI) to help sort applicant and employee data and make employment decisions, including related to screening and hiring. Although AI has increased efficiency in these processes, employers must ensure compliance with rapidly evolving state laws, some of which require employers to prepare risk assessments related to the use of AI in employment decision-making, provide pre-use notices to affected individuals, and provide opt-out rights. In addition to the burgeoning patchwork of state AI legislation, President Trump signed an Executive Order in December 2025, titled “Ensuring a National Policy Framework for Artificial Intelligence,” which, in part, sets out the Trump administration’s plan to target state AI laws which are deemed to “embed ideological bias within models.” While it remains unclear which state AI laws may run afoul of the executive order, and how the federal government’s enforcement efforts will take shape, manufacturers should stay up to date on applicable state and federal AI laws when using AI.
Expansion of State Anti-Discrimination Protections
In recent years, state...
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