Department of Justice (DOJ)
Medical Marijuana
The DOJ has moved certain medical marijuana products to Schedule III, which means they are now treated more like other prescribed medications under federal law. As a result, employees using medical marijuana pursuant to a valid prescription may now be entitled to ADA protections, including reasonable accommodations.
Positive test results may require a more individualized assessment to determine if the use is legally prescribed and whether accommodation is appropriate. That said, employers can still enforce policies related to impairment on the job and maintain stricter rules for safety-sensitive positions. This will be an area to watch closely as state and federal guidance continues to evolve.
U.S. Department of Labor (DOL)
Federal Contractor Minimum Wage Under EO 13658
The Department of Labor confirmed that the federal contractor minimum wage under Executive Order 13658 will be $13.65 per hour (from $13.30) effective May 11, 2026, with the tipped employee cash wage $9.55 per hour for some federal contractors. This increase is tied to Executive Order 13658, which applies only to a limited set of “legacy” federal contracts, specifically those entered into between January 1, 2015 and January 29, 2022 that have not been renewed or extended on or after January 30, 2022. Contracts entered into after that date are not covered by this rule, and there is still some uncertainty around what federal wage requirements apply to those agreements.
Applicable wage obligations may still be driven by other laws, such as if a contract is subject to the Davis-Bacon Act (DBA) or Service Contract Act (SCA), as those requirements may establish higher applicable wage rates. Federal contractors must also be sure to comply with applicable state minimum wage rates in the jurisdiction in which they perform federal contract work and which prevailing wage rates that may apply.
U.S. Department of Labor (DOL)
Overtime Rule
The U.S. Department of Labor’s Wage and Hour Division announced the publication of a technical amendment to restore the applicable regulations governing the exemption of executive, administrative, and professional employees under the Fair Labor Standards Act. This amendment formally rescinds the 2024 overtime rule, which was already vacated by two federal court rulings in Texas, and with the Fifth Circuit dismissing the final appeal on May 5, 2026.
The executive, administrative, and professional exemptions threshold remains $684 per week, and the highly compensated employee threshold remains $107,432 annually, in accordance with the DOL’s 2019 rule.
Because some states set higher thresholds, employers must check both federal and state regulations, and apply whichever is more protective of the employee.
Department of Homeland Security (DHS)
USCIS Temporary Protected Status – Somalia
After reviewing country conditions and consulting with the appropriate U.S. government agencies, the former Secretary of Homeland Security Kristi Noem determined that Somalia no longer meets the conditions for its designation for Temporary Protected Status (TPS). See Termination of the Designation of Somalia for Temporary Protected Status, 91 Fed. Reg. 1547 (Jan. 14, 2026). Somalia’s TPS designation and related benefits were slated to terminate on March 17, 2026. On March 13, 2026, the U.S. District Court for the District of Massachusetts issued an order staying the TPS Somalia termination. African Communities Together et al. v. Noem et al., No. 26-cv-11201 (D. Mass.).
What this means for Forms I-766, Employment Authorization Documents (EADs):
The validity of Employment Authorization Documents (EADs) issued under the TPS designation of Somalia with an original expiration date of March 17, 2023, September 17, 2024, and March 17, 2026, is extended per court order. African Communities Together et al. v. Noem et al., No. 26-cv-11201 (D. Mass.).
When completing the Expiration Date (if any) fields on Form I-9, input “as per court order” in Section 1 and “July 1, 2026,” in Section 2 along with a note in the Additional Information box. Employers may download the TPS Somalia webpage and attach it to Form I-9.
When completing a case in E-Verify, enter the expiration date of “July 1, 2026,” from the Form I-9.