AI, DEI, non-competes reshape NY employment law
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Key takeaways:
• AI in hiring and HR is prompting new compliance laws in NY
• Employers face growing divergence between state and federal laws
• Non-compete agreements under legislative threat in New York
• DEI initiatives face federal rollback but remain a state priority
As 2025 advances the pulse of activity in the labor and employment law sector remains incredibly strong — especially in New York State — according to six local attorneys who specialize in this work.
“We’re in an era of accelerated change, marked by regulatory volatility and innovation,” said Wende J. Knapp, a partner at Woods Oviatt Gilman, who is the head of the employment law practice group. “Nationally — and especially in New York — the labor and employment landscape is being reshaped by tech disruption, shifting policy agendas, and cultural tension points.”
From pending AI governance laws and renewed scrutiny of non-compete agreements to the chilling effect of executive rollbacks on DEI initiatives, the pace of change is forcing employers to rethink compliance frameworks in real time, Knapp said.
“More than ever, legal risk management requires anticipation, not just reaction,” she said. “In New York, we’re seeing legislation that’s ahead of the federal curve, particularly in areas like pay transparency, worker protections, and regulation of algorithmic tools in HR. The result? A moment of...
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