Joanna Fantozzi

📈 President Donald Trump, after his second inauguration in January, targeted diversity, equity, and inclusion (DEI) programs via executive orders, branding them as "discriminatory." An executive order on January 21 directed federal agencies, including the Federal Aviation Administration, to enforce civil-rights laws and combat "illegal private-sector DEI preferences." Following Trump's orders, major companies such as Goldman-Sachs, Disney, Google, Amazon, Walmart, and Meta have started altering their DEI programs. McDonald's, citing a June 2023 Supreme Court ruling, changed its DEI policies on January 6. Corporate DEI efforts surged in mid-2020 following George Floyd's death, with 83% of 656 companies taking DEI action in 2021, a 13% increase from 2020. The Supreme Court decision and Trump's presidency have prompted a reevaluation of DEI, with a Resume.org survey indicating one in eight American companies are scaling back on DEI in 2025. Despite legal challenges and societal shifts, some companies, like Costco, maintain their DEI commitments.

📌 Since President Donald Trump's second term began, he has enacted numerous executive orders tightening U.S. immigration policy. Approximately 1 million undocumented immigrants work in the U.S. restaurant industry, per the U.S. Center for Migration Studies. The White House declared a National Emergency at the Southern border, enabling federal agencies to detain and remove undocumented immigrants with a daily arrest quota of 1,200-1,500 for ICE. Trump signed the Laken Riley Act on Jan. 29 mandating detention for undocumented immigrants accused of serious crimes. The National Restaurant Association reports 21% of restaurant workers are legal immigrants, but these policies may also affect them. Trump's attempt to end birthright citizenship was blocked by a Maryland federal judge. Industry experts warn of complications and a tougher labor market for restaurants if immigration restrictions tighten. Employers are advised to prepare for ICE audits and consult legal counsel.

💸 Five years past former NY Gov. Cuomo's legislation, NY lawmakers propose bills to remove tip credit for restaurant workers, led by Assemblywoman González-Rojas and State Sen. Jackson. The tip credit ranges $5.15-$5.50/hr for foodservice and $2.60-$2.75/hr for other services. Federal minimum wage is $7.25/hr. Salon workers and doormen/women to see subminimum wage end by Dec. 31, 2025, but not restaurant workers. Seven states and cities like Chicago have banned tip credits, with Chicago phasing it out in Oct 2023.

📌 California sued by business organizations over Senate Bill 399, signed 3 months prior by Gov. Gavin Newsom, banning retaliation against employees who skip mandatory meetings on religious/political matters. The California Chamber of Commerce and California Restaurant Association argue the law infringes on First and Fourteenth Amendment rights. The National Labor Relations Board, in November, ruled such meetings violate labor law, overturning the 1948 Babcock & Wilson Co. precedent. Proponents argue SB 399 prevents intimidation during unionization. Labor advocates fear President Trump's administration may reverse labor protections.