News of the Day

DOL Issues Opinion Letters Addressing Emergency Pay, Tip Pooling, Family Medical Leave, FLSA Compliance

The U.S. Department of Labor’s Wage and Hour Division today announced four opinion letters designed to promote clarity, consistency, and transparency in the application of federal labor standards.

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:

  • FLSA2025-03: Addressing whether a restaurant employer may include “front-of-house” oyster shuckers in a traditional tip pool with servers for whom the employer takes a tip credit under section 3(m)(2)(A) of the FLSA.
  • FLSA2025-04: Addressing whether “emergency pay” provided to firefighters and other employees of a city must be included in the regular rate of pay used to calculate overtime premiums under section 7(e) of the FLSA, and, if so, how to calculate the regular rate when such pay is included.
  • FLSA2025-05: Addressing whether two entities that are physically connected, and whose ownership, management, and operations appear common, are jointly and severally liable for all aspects of compliance under the FLSA.
  • FMLA2025-02-A: Addressing how to calculate the number of hours of Family and Medical Leave Act leave available to correctional law enforcement employees who work a fixed “Pitman Schedule” requiring 12-hour shifts over a two-week cycle that includes mandatory overtime.

The public is encouraged to use the division’s new opinion letters page to explore past guidance and submit new requests. The division will exercise discretion in determining whether and how it will respond to each request, which will focus primarily on attempting to address issues of broad-based concern.

The Wage and Hour Division offers multiple compliance assistance resources to provide employers the information they need to comply with the law. Employers and workers can contact the division at its toll-free number, 1-866-4-US-WAGE (487-9243).

Point Beach Nuclear Plant’s License Renewal Extends Operations through 2053

The Point Beach Nuclear Plant along the lakeshore will operate for an additional 20 years. The U.S. Nuclear Regulatory Commission (NRC) approved subsequent license renewal for Point Beach Nuclear Plant Units 1 and 2, extending operations through 2050 and 2053, respectively.

“This approval ensures that Wisconsin’s only nuclear plant will continue to provide safe, reliable, low-cost energy for generations to come,” said Brian Bolster, NextEra Energy Resources president and chief executive officer. “We are proud that Point Beach will remain an integral part of Wisconsin’s energy future and a vital contributor to the state and local economies.”

Since beginning commercial operations in 1970 (Unit 1) and 1973 (Unit 2), Point Beach has been a cornerstone of Wisconsin’s energy infrastructure. The facility:

  • Generates enough electricity to power nearly 1 million homes and businesses.
  • Supplies approximately 14% of Wisconsin’s total electricity.
  • Maintains grid stability.
  • Operates on a 1,200-acre site along Lake Michigan.

Wisconsin PSC Approves New Clean Energy Projects

State utility regulators approved a pair of renewable energy projects last week, including Wisconsin’s first large-scale wind farm in more than a decade.

The Badger Hollow Wind Project in Iowa and Grant counties and the Whitewater Solar Project in Jefferson and Walworth counties received approval from the Public Service Commission of Wisconsin, or PSC, on Thursday.

The Badger Hollow Wind Project is a 118-megawatt wind farm that will be able to generate enough electricity to power more than 30,000 homes, while the Whitewater Solar Project is a 180-megawatt solar farm that will be able to generate enough electricity to power more than 21,000 homes, according to the developers.

Because both were proposed by developers and not state electric utilities, they were not required to provide their project cost to the PSC. Regulators would review costs to Wisconsin energy providers and ratepayers if the facility or power from the facility is purchased by state utilities.

Wisconsin Supreme Court Orders Legal Briefs in Congressional Map Challenges

The Wisconsin Supreme Court has asked parties to file briefs on whether two redistricting lawsuits filed in Dane County Circuit Court should be allowed to proceed.

The court issued its order in response to two requests asking justices to appoint a judicial panel to consider the constitutionality of Wisconsin’s congressional voting map ahead of the 2026 midterms.

The lawsuits were filed in circuit court in July by two liberal law firms. They asked the Supreme Court to appoint three-judge panels to decide whether Wisconsin’s congressional districts are unconstitutional. Until Thursday, the court hadn’t responded.

This week, an attorney representing plaintiffs in one of those cases sent a letter to the Supreme Court stating a Dane County judge denied their request to set a briefing schedule in the case because doing so would violate the law passed by the Legislature more than a decade before.

On Thursday, the majority responded. Instead of appointing the judicial panel requested by the liberal firms, they ordered legal briefs arguing whether or not the lawsuits filed in Dane County constitute a valid “action to challenge the apportionment of a congressional or state legislative district.”

Conservative Justice Annette Ziegler “reluctantly” concurred with the court’s order, but warned fellow justices “that this court should not redraw partisan maps, especially since the issue has already been settled.”

Ziegler was referring to a redistricting challenge filed in 2021 in which the court ordered any new maps make the least changes possible. While Wisconsin’s current eight-district congressional map was drawn by Democratic Gov. Tony Evers, it largely resembles the map drawn by Republicans a decade earlier when they controlled all of state government.

Zeigler said the legal challenges to the state’s congressional map have been “repeatedly mounted and consistently denied.” She said she reluctantly agreed with the majority’s call for briefs to discuss the validity of the challenges in Dane County Circuit Court, but noted “briefing should not be confused with a decision to grant relief sought.”

“Constitutionally, it is the responsibility of the legislature and the governor — not the judiciary — to redistrict,” Zeigler said. “This case has been filed long after the completion of the most recent decennial census. Unlike the past, this filing does not come to the court because of an impasse between the political branches requiring this court to act so that partisan elections can occur.”

President to Impose Tariffs on Imported Drugs, Heavy Trucks, and Home Goods

President Donald Trump announced his newest round of tariffs set to take effect on October 1 in a series of Truth Social posts Thursday evening.

The tariffs will target pharmaceuticals, home goods and heavy trucks, and Trump said he believes the move will strengthen U.S. manufacturing and protect national security.

In one post, he declared that branded and patented pharmaceutical products will face a 100% tariff unless the company is actively building a plant in the United States. He went on to define that as breaking ground or under construction. His reasoning is that the measure will force drugmakers to shift production to American soil.

President Trump also announced plans to stop the “flooding” of imports that threaten American manufacturers by imposing a 50% tariff on kitchen cabinets, bathroom vanities and related products, and a 30% tariff on upholstered furniture.

“The reason for this is the large scale ‘FLOODING’ of these products into the United States by other outside Countries. It is a very unfair practice, but we must protect, for National Security and other reasons, our Manufacturing process. Thank you for your attention to this matter!” the president wrote.

He also said he will impose a 25% tariff on heavy trucks built outside the U.S., a move aimed at shielding domestic companies such as Peterbilt, Kenworth, Freightliner and Mack Trucks.

“In order to protect our Great Heavy Truck Manufacturers from unfair outside competition, I will be imposing, as of October 1, 2025, a 25% Tariff on all ‘Heavy (Big!) Trucks’ made in other parts of the World,” the post said.

Wisconsin Realtors Association Releases August 2025 Report

The Wisconsin REALTORS® Association (WRA) has released its August 2025 Real Estate Report, revealing a slight increase in existing home sales by 1.8% compared to August 2024. The statewide median home price rose 5.3% to $338,000.

Affordability remained almost unchanged, decreasing just 0.1% since August 2024 as rising prices and mortgage rates offset a 4.8% increase in median family income.

WRA President and CEO Tom Larson said several indicators suggest a softening market, which could benefit first-time buyers.

“Improving inventory, moderating price appreciation and increasing days on the market are signs that the strong seller’s markets we’ve seen over the last few years continue to soften,” Larson said. “This is welcomed news for young families still struggling to buy their first home.”

The report also noted that year-to-date home sales increased by 1.1% compared to the first eight months of 2024, and homes were on the market for an average of 69 days. The average 30-year fixed mortgage rate slightly increased from 6.50% in August 2024 to 6.59% in August 2025.

Newly Unveiled Bills Aim to Boost Wisconsin’s Affordable Housing Supply

Republican state lawmakers are seeking co-sponsors for more than half a dozen bills they say are aimed at increasing Wisconsin’s supply of affordable housing.

“When I refer to affordable housing, I want to be clear, we’re not talking about subsidized housing,” said state Rep. Rob Brooks, a Saukville Republican who also works as a real estate broker. “What I’m talking about is the housing stock that was built just a generation or two ago. We’re talking about small ranch homes, bungalow homes, some of those homes built without garages or alleyways.”

Brooks and other backers introduced the package of bills at a state Capitol news conference Tuesday.

They say one of the proposals aims to streamline the process for creating new lots for housing subdivisions.

Another bill would allow smaller homes, known as accessory dwelling units or ADUs, to be built statewide. Those homes, which are often referred to as coach houses, are typically built on the same property near a larger single-family home.

In a cosponsorship memo, state Rep. Joy Goeben, R-Hoebert, said by allowing coach houses across Wisconsin, the bill aims to address the state’s housing shortage and support a “variety of housing options.”

“Under current law, Wisconsin does not have a statewide framework for ADUs, instead it is up to local governments to regulate these types of units,” the memo said. “This creates a patchwork of regulation across the state, making it confusing for property owners and renters alike. Allowing ADUs statewide, in the limited capacity being proposed in this bill, provides property owners with a reasonable pathway to realize the benefits of ADUs.”

The bill specifies ADUs could be created by converting an existing structure, like a garage, into a home. It also specifies that any accessory dwelling unit created after the bill took effect could not be used as a short-term rental.

Another part of the package would set aside $10 million to create a revolving loan program, allowing first-time home buyers to get second mortgage loans at zero percent interest. That’s in addition to a bill that would award grants to property owners, so they can convert multi-family housing into condos.

Treasury and IRS Issue Proposed Regulations Around “No Tax on Tips” Deduction

Yesterday, the Treasury Department and IRS issued proposed regulations identifying the occupations that customarily and regularly received tips before 2025, and therefore may be eligible for the deduction. The proposed regulations also address the definition of “qualified tips” and other requirements taxpayers must comply with to claim the deduction.

The “No Tax on Tips” provision, enacted with OBBBA, allows employees and self-employed individuals to deduct up to $25,000 of qualified tips they received in a year, per return. Eligible taxpayers may claim the deduction on their 2025 tax return that they file next year.

The deduction for qualified tips is available to eligible taxpayers who itemize their deductions, as well as those who do not itemize and take the standard deduction. The deduction phases out for taxpayers with incomes above $150,000 (or $300,000 in the case of a joint return).

More information can be found here:

Trump Administration Imposes $100,000 Fee on New H-1B Visas

Major technology companies and foreign governments are rushing to respond after President Donald Trump late Friday announced plans to impose a $100,000 fee on H-1B visas.

The fee would apply to new H-1B applicants, not renewals or current visa holders, according to a White House official. It will first apply in the upcoming lottery cycle, and it does not apply to 2025 lottery winners, the person said. The White House also clarified that the new $100,000 fee is not an annual charge, as previously reported by several media outlets.

Amazon employed the most H-1B holders — more than 14,000 as of the end of June. Microsoft, Meta, Apple and Google had over 4,000 such visas each, among the top 10 recipients for the fiscal year 2025.

 

Common Ground Will Stop Offering Health Insurance Coverage in 11 Wisconsin Counties

A health insurance provider will stop offering individual and family coverage through the Affordable Care Act marketplace in 11 Wisconsin counties next year, meaning about 24,000 people will have to find a new insurer.

Common Ground Healthcare Cooperative plans to stop offering marketplace plans in Milwaukee, Kenosha, Racine, Outagamie, Winnebago, Fond du Lac, Sheboygan, Calumet, Dodge, Waushara and Waupaca counties beginning in January.

A spokesperson for CareSource, the parent company of Common Ground, said in a statement that it had made “the difficult decision to exit 11 counties.” The spokesperson said about 24,000 affected members will continue to receive coverage through 2025 but will have to look for a new health plan when open enrollment begins November 1.

Common Ground will continue to offer coverage in 13 Wisconsin counties: Brown, Door, Green Lake, Jefferson, Kewaunee, Manitowoc, Marinette, Oconto, Ozaukee, Shawano, Walworth, Washington and Waukesha.

Common Ground has been offering ACA marketplace coverage in eastern Wisconsin since 2014. On its website, Common Ground said the decision to discontinue coverage in parts of the state was not related to its recent merger with CareSource.