President Joe Biden issued an executive order (EO) on Oct. 30, 2023, to establish standards for artificial intelligence (AI) safety and security, protect privacy, advance equity and civil rights, and advocate for consumers and workers. It also seeks to promote innovation and competition and advance American leadership around the world while ensuring responsible and effective government use of AI.
The EO seeks to build on the voluntary commitments of 15 leading companies by:
The EO also seeks to address privacy concerns by calling for the passage of bipartisan data privacy legislation and directs actions to prioritize federal support for accelerating the development and use of privacy-preserving techniques. It calls for action to strengthen privacy-preserving research/technologies and privacy guidance for federal agencies, develop guidelines for federal agencies to evaluate the effectiveness of privacy-preserving techniques, and evaluate how agencies collect and use commercially available information.
To advance equity and civil rights, the EO directs actions to provide clear guidance to landlords, federal benefits programs and federal contractors; address algorithmic discrimination; and ensure fairness in the criminal justice system. In support of workers’ rights, the EO calls for actions to develop principles and best practices, produce a report on AI’s potential impacts on the labor market, and study and identify options for strengthening federal support for workers facing labor disruptions.
In the pursuit of innovation and competition and advancement of American leadership, the EO directs action to catalyze AI research; promote a fair, open and competitive AI ecosystem; and expand the ability of highly skilled immigrants with expertise in critical areas to study, stay and work in the United States through existing authorities. The EO directs action to expand bilateral, multilateral and multistakeholder engagements to collaborate on AI; accelerate the development/implementation of vital AI standards; and promote the safe, responsible and rights-affirming development and deployment of AI abroad.
To ensure responsible and effective government AI use, the EO directs action to issue guidance for agencies’ use of AI, help agencies acquire specified AI products and services, and accelerate the rapid hiring of AI professionals. The White House states the administration will work with allies and partners to govern the development and utilization of AI.
The IRS has released Revenue Procedure 2023-34, which includes cost-of-living adjustments for employee qualified transportation fringe benefits for the 2024 taxable year, along with annually adjusted numbers for 2024 for other tax provisions. The combined monthly limit for transportation in a commuter highway vehicle and a transit pass will increase to $315 in 2024, up from the 2023 limit of $300.
The monthly limit in 2024 for qualified parking will also increase to $315 from $300.
Internal Revenue Code Section 132(f) allows employers to offer qualified transportation benefit programs to their employees on a tax-free basis.
Under these programs, employees may have money withheld from their taxable compensation to pay for or reimburse work- related expenses for qualified parking, transit passes and transportation in certain commuter highway vehicles (e.g., qualifying van pools).
Employers may also provide these benefits tax-free to employees.
Section 132(f) establishes a maximum monthly amount of qualified transportation benefits employees may exclude from their income, subject to cost-of-living adjustments announced by the IRS before the beginning of each calendar year.
Both employee pre-tax salary deferrals and employer-paid benefits, if any, count toward the maximum amount.
Beginning in 2018, the Tax Cuts and Jobs Act of 2017 eliminated the employer tax deduction for qualified transportation benefits. The employer deduction is disallowed regardless of whether the benefits are paid directly by the employer, through a bona fide reimbursement arrangement or through a compensation reduction agreement.
See the IRS News Release for information about the annual inflation adjustments for more than 60 tax provisions, including the qualified transportation fringe benefit.
The Affordable Care Act (ACA) requires employers to notify all workers, regardless of their benefits eligibility status, about the availability of the Health Insurance Marketplaces. All employers, with limited exceptions, are required to distribute the notice to new employees within 14 days of hire. The Department of Labor (DOL) provides customizable model notices to inform workers of their health insurance coverage options.
Updated model notices for employers that offer a health plan and that do not offer a health plan are available on the DOL website in English and Spanish.
The model notices have an expiration date of November 30, 2023. The previous versions expired on July 31, 2023, August 31, 2023, September 30, 2023, and October 31, 2023.
Colorado’s paid Family and Medical Leave Insurance Program (FAMLI) launched this year with employers (hopefully) withholding and remitting premiums. Now, employers need to prepare for the next phase of the program. FAMLI will start providing benefits to employees beginning January 1, 2024. FAMLI applies to most employers and employees in Colorado.
As a reminder, FAMLI is funded by payroll contributions and is administered by the FAMLI Division (part of the Colorado Department of Labor and Employment). Employers do not pay the monetary benefits directly to employees. We are keeping you abreast of this information because these benefits come with job protection. This means that even if your organization is too small to be subject to the federal Family and Medical Leave Act (FMLA) or the Colorado Family Care Act, you’ll still need to provide job-protected leave when an employee qualifies for FAMLI benefits. To be entitled to job protection, the employee must have worked for their employer for at least 180 days before taking leave. Employers must also maintain an employee’s health care benefits during FAMLI leave, regardless of tenure.
Employees may be eligible to take up to 16 weeks of FAMLI leave per year for family, medical, qualifying exigency, and safe leave. If the employee’s FAMLI leave also qualifies for the Colorado Family Care Act or the federal FMLA, then the leaves will run concurrently.
Employers are required to provide notice about FAMLI:
The 2023 notice is available here, and we expect a 2024 notice will be made available in the same location soon.
The FAMLI Division has a web page with FAQs, toolkits, videos, and other resources for employers.
Effective January 1, 2024, Boulder County will have a local minimum wage of $15.69 per hour that increases annually. It applies to all employers, and employees who work (or are expected to work) within the geographic boundaries of Boulder County’s jurisdiction, excluding incorporated cities or towns, for at least four hours in any given week. The ordinance includes a tip offset for food and beverage workers. No more than $3.02 per hour in tip income, or tip credit, can be used to partially offset the minimum wage rate. If the county’s local wage conflicts with another higher wage—for instance, a state or
federal minimum wage—the greater wage rate must be paid. Employers must post notice of the wage in the workplace.
Providing notice on an individual basis in paper or electronic form is allowed if the display of a physical notice is
not feasible. The wage will increase each January, beginning on January 1, 2025, in an amount that keeps pace with the year- over-year increase in the Consumer Price Index. (Ordinance 2023-4 enacted on November 2, 2023)
The minimum wage in Denver, Colorado is $17.29 per hour for 2023. It will increase to $18.29 per hour on January 1, 2024. The minimum wage for tipped food and beverage workers will be $15.27 per hour.
The minimum wage in Colorado (outside of specifically designated areas) is $13.65 per hour for 2023. It will increase to
$14.42 per hour on January 1, 2024. The minimum wage for tipped food and beverage workers will be $11.40 per hour..
12/5 – 2022 EEO-1 Component 1 Filing Deadline
12/29 – Gag Clause Prohibition Compliance Attestation (Group Health Plans, insurers, and insurance brokers) – more information, click here.
Nothing for this Month
2/1 – Deadline for Posting OSHA Form 300A
Lighthouse HR Support (LHRS) provides practical human resource information and guidance based upon our knowledge and experience in the industry and with our clients. LHRS services are not intended to be a substitute for legal advice. LHRS services are designed to provide general information to human resources and/or business professionals regarding human resource concerns commonly encountered. Given the changing nature of federal, state and local legislation and the changing nature of court decisions, LHRS cannot and will not guarantee that the information is completely current or accurate. LHRS services do not include or constitute legal, business, international, regulatory, insurance, tax or financial advice. Use of our services, whether by phone, email or in person shall indicate your acceptance of this knowledge.
