Brian Dake

The U.S. Department of Labor’s Wage and Hour Division today issued six opinion letters designed to promote clarity, consistency, and transparency in the application of federal labor standards under the Fair Labor Standards Act and Family and Medical Leave Act.

The opinion letters provide official written interpretations from the division that address real-world questions and explain how laws apply to specific factual circumstances presented by individuals or organizations, that may also have a broader interest to those impacted by the issue presented.

The opinion letters issued today are:

• FLSA2026-1: Whether an employee’s role meets the criteria for the learned professional exemption under section 13(a)(1) of the FLSA, and, if so, whether an employer is nevertheless permitted to reclassify the employee as non-exempt.
• FLSA2026-2: Whether section 7(e) of the FLSA permits an employer to exclude certain bonus payments from an employee’s regular rate of pay. The letter also addresses how to include these payments in the calculation of employee overtime premiums if the payments must be included in an employee’s regular rate of pay.
• FLSA2026-3: Whether a union and employer can enter into a collective bargaining agreement that mandates a 15-minute “roll call” prior to each scheduled shift but excludes that time when calculating overtime premiums under the FLSA.
• FLSA2026-4: Whether, for purposes of the overtime exemption for certain commissioned employees in section 7(i) of the FLSA, an employer in a jurisdiction in which the state minimum wage exceeds the federal minimum wage must use the federal minimum wage, or alternatively, the higher state minimum wage, to determine whether it has satisfied the minimum pay standard in section 7(i)(1), and whether tips are deemed compensation for purposes of section 7(i)(2)’s requirement that more than half the employee’s compensation consist of commissions.
• FMLA2026-1: How a school closure of less than a full week impacts the amount of leave a school employee uses under the FMLA.
• FMLA2026-2: Whether FMLA leave may be used for time spent traveling to or from medical appointments, including where an employee provided the employer with medical certification from a health care provider that confirms the employee’s need for the appointment, but the certification does not address travel to or from the appointment.

In June, Deputy Secretary of Labor Keith Sonderling announced the launch of the department’s opinion letter program, which expands the department’s longstanding commitment to providing meaningful compliance assistance that helps workers, employers, and other stakeholders understand how federal labor laws apply in specific workplace situations.

Crude oil prices generally declined in 2025 with supplies in the global crude oil market exceeding demand. Crude oil inventory builds in China muted some of the price decline.

On a monthly average basis, the price of Brent crude oil declined from a high of $79 per barrel (b) in January to a low of $63/b in December, which was the lowest monthly average price since early 2021. The annual average price was $69/b, the lowest since 2020, even when adjusting for inflation.

In the first half of the year, crude oil prices declined in response to slowing economic activity, which can affect global oil demand. Prices decreased in the first quarter (1Q25) with a contraction in U.S. GDP, and prices fell nearly $15/b further in April amid expectations that escalating tariffs among large economies could continue to slow economic growth.

In the second half of the year, OPEC+ announcements that increased crude oil production targets for the group increased the prospect of an oversupplied market. The EIA estimates that global production of crude oil and liquid fuels outpaced consumption throughout 2025, with implied stock builds of more than 2.5 million barrels per day in the final two quarters of the year. These stock builds were the largest recorded since 2000, aside from in 2020.

Generally, crude oil prices tend to decrease as global petroleum stocks increase.

Wisconsin has another jam-packed election season in 2026, and for the first time in years, the future of which party holds power at the Capitol and controls state government is truly up in the air.

Over the summer, Democratic Governor Tony Evers announced he would retire at the end of his current term, leaving the seat of the state’s chief executive wide open for the first time since 2010. A long list of Democrats have jumped in the race to replace him, and two Republicans have also announced bids.

In the state Legislature, Democrats also see a chance to flip at least the Senate if not the Assembly after the state’s legislative maps were redrawn to be more competitive.

But nothing is certain, said University of Wisconsin-La Crosse political science professor Anthony Chergosky. He said it’s completely possible for Democrats to win a trifecta and control both the Legislature and the governor’s seat, but Republicans also stand a chance. The power could also be split between the parties again, he said.

“There is genuine uncertainty in a way that we have not seen in a long time about the balance of power in Wisconsin government. When we look ahead to this election cycle, I mean, pick your combination,” Chergosky said. “Mix and match your options and all of them are on the table.”

Yesterday, the Internal Revenue Service (IRS) announced that the optional standard mileage rate for business use of automobiles will increase by 2.5 cents in 2026, while the mileage rate for vehicles used for medical purposes will decrease by half a cent, reflecting updated cost data and annual inflation adjustments.

Optional standard mileage rates are used to calculate the deductible costs of operating vehicles for business, charitable, and medical purposes. Additionally, the optional standard mileage rate may be used to calculate the deductible costs of operating vehicles for moving purposes for certain active-duty members of the Armed Forces, and now, under the One, Big, Beautiful Bill, certain members of the intelligence community.

Beginning Jan. 1, 2026, the standard mileage rates for the use of a car, van, pickup or panel truck will be:

• 72.5 cents per mile driven for business use, up 2.5 cents from 2025.
• 20.5 cents per mile driven for medical purposes, down a half cent from 2025.
• 20.5 cents per mile driven for moving purposes for certain active-duty members of the Armed Forces (and now certain members of the intelligence community), reduced by a half cent from last year.
• 14 cents per mile driven in service of charitable organizations, equal to the rate in 2025.

The rates apply to fully-electric and hybrid automobiles, as well as gasoline and diesel-powered vehicles.

While the mileage rate for charitable use is set by statute, the mileage rate for business use is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical and moving purposes, meanwhile, is based on only the variable costs from the annual study.

Under the law, taxpayers cannot claim a miscellaneous itemized deduction for unreimbursed employee travel expenses, except for certain educator expenses. However, deductions for expenses that are deductible in determining adjusted gross income remain allowable, such as for certain members of a reserve component of the Armed Forces, certain state and local government officials, certain performing artists, and eligible educators. Alternatively, eligible educators may claim an itemized deduction for certain unreimbursed employee travel expenses. In addition, only taxpayers who are members of the military on active duty or certain members of the intelligence community may claim a deduction for moving expenses incurred while relocating under orders to a permanent change of station.

Use of the standard mileage rates is optional. Taxpayers may instead choose to calculate the actual costs of using their vehicle.

Taxpayers using the standard mileage rate for a vehicle they own and use for business must choose to use the rate in the first year the automobile is available for business use. Then, in later years, they can choose to use the standard mileage rate or actual expenses.

For a leased vehicle, taxpayers using the standard mileage rate must employ that method for the entire lease period, including renewals.

Sales for U.S. retailers have increased by about 4% so far this holiday season as Americans balanced tighter budgets with a desire to upgrade gadgets and refresh wardrobes, according to preliminary figures released by Visa and Mastercard last Tuesday.

Shoppers were more deliberate with their purchases, often using artificial intelligence tools to discover and compare prices so that they could stretch discretionary budgets, Visa’s chief economist, Wayne Best, said in a statement. Michelle Meyer, chief economist at Mastercard Economics Institute, added that consumers shopped early and leaned on promotions to get the best deals.

Visa reported total U.S. retail spending, excluding autos, gasoline and restaurants, rose 4.2% in the November 1 to December 21 period, slightly below its October forecast of 4.6% growth for the full two‑month period.

Mastercard, which included sales at retail and food service establishments in its data, said sales climbed 3.9% year‑over‑year during the same period, topping its prior forecast of 3.6%. The sets of figures from Visa and Mastercard were not adjusted for inflation.

Both companies noted that early promotions and the convenience of shopping from home helped lift online sales, which outpaced growth at brick‑and‑mortar stores. Still, Visa said physical outlets remained dominant, accounting for 73% of transactions compared with 27% online.

Sales of electronics like TVs and smartphones led spending, rising 5.8% in Visa’s data, followed by clothing and accessories at 5.3%. Mastercard said seasonal deals and colder weather encouraged wardrobe refreshes, while jewelry also drew more buyers this year.

Wisconsin’s maximum Worker’s Compensation rate will increase to $1,375 per week for temporary total disability, permanent total disability and death benefits for injuries occurring on or after January 1, 2026. The new average weekly wage used to compute the maximum rate is $2,026.50. Using this new wage raises the maximum death benefit for fatal injuries occurring on or after January 1, 2026, to $412,500. The maximum burial expense remains $10,000 and the death benefit to unestranged parents remains $6,500.

The maximum weekly indemnity rate for permanent partial disability remains $446 for injuries occurring on or after January 1, 2026.

The 2026 maximum limit for private vocational rehabilitation services increased by 2.7009% to $2,183. When the Department of Workforce Development’s Division of Vocational Rehabilitation (DVR) is unable to provide services to eligible injured workers, insurers are required to pay the reasonable and necessary vocational rehabilitation costs including the costs of services provided by the vocational rehabilitation specialists in the private sector. This change is based on the average annual percentage change in the U.S. Consumer Price Index for all urban consumers. The new limit applies regardless of the date of injury.

President Donald Trump signed an executive order Thursday to fast-track the reclassification of cannabis, which would pave the way for the Food and Drug Administration to study its medicinal uses.

“It is the policy of my Administration to increase medical marijuana and CBD research to better inform patients and doctors. It is critical to close the gap between current medical marijuana and CBD use and medical knowledge of risks and benefits,” the order says.

The order does not make cannabis legal nationwide, he said.

“It doesn’t legalize marijuana in any way, shape or form or and in no way sanctions its use as a recreational drug,” he said, adding that the order is aimed at helping people struggling with chronic pain.

Trump also indicated he would not be open to legalizing cannabis for recreational use. “It’s never safe to use powerful controlled substances in a recreational manner,” he said. “So unless a drug is recommended by a doctor for medical reasons, just don’t do it,” he said.

Changing the classification to Schedule III would ease regulatory hurdles and allow the FDA to study medical applications for cannabis, potentially opening it up for wider medical use by seniors, veterans and others as a pharmaceutical, irrespective of state laws.

The goal of the order, a senior administration official said ahead of the signing, is to “remove barriers to research” and to “start working to improve the medical marijuana and CBD research to better inform patients and doctors. That’s the primary goal.”

The order also specifically addresses CBD — cannabidiol — which is derived from hemp plants and does not cause a high by itself. It directs the White House deputy chief of staff for legislative, political and public affairs to work with Congress to allow people in the U.S. to benefit from access to CBD products while still restricting sale and access to products that pose serious health risks, the administration official said.

Statewide home sales declined 9.2% over the year in November, signaling a “cooling market” as the year comes to a close.

That’s according to the Wisconsin Realtors Association, which is rolling out their latest monthly housing report today. A total of 5,093 homes were sold in the state last month, compared to 5,612 in November 2024, the report shows.

The group notes that’s the first monthly decline the state has seen since May.

Meanwhile, total listings continue on an upward trend with a 3.7% year-over-year increase in November. That’s the 26th month in a row where listings have risen on an annualized basis, WRA says.

“Although new listings have been somewhat variable this year, the trend of growth in total listings is now moving into its third year, which is a good sign that the total supply of homes has been steadily improving,” said Chris DeVincentis, chair of the WRA board of directors.

Still, prices continue to rise, with the state’s median home price increasing 4.8% to reach $325,000 in November, the report shows.

WRA President and CEO Tom Larson says affordability remains an issue in Wisconsin though he points to “some promising trends” over the year.

“Mortgage rates continue to trend downward, and the annual rate of home price appreciation averaged just 5.5% through the first 11 months of the year,” he said. “We hope these trends continue and lead to sustained improvements in affordability in 2026.”