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What You Need To Know in 2019 Series: Federal Employment Law Updates

What You Need To Know in 2019 Series:
Federal Law Updates
4 of 6

Federal Employment Law Updates


A number of Federal employment & labor law changes are coming into effect this year. From new mileage reimbursement rates to the effects of #MeToo, we’ve chosen a few of the most relevant and timely updates to share with you in this newsletter. Read more about 2019 changes to Federal law below.


New Mileage Reimbursement Rates for 2019:

The IRS has issued standard mileage rates for 2019! The new reimbursement rate is 58 cents per mile driven for business use. This is up 3.5 cents from the rate for 2018.


Don’t forget to use new I-9 Form:

The I-9 Form, or the Employment Eligibility Verification Form, has been updated as of midway through 2017. The newest Form I-9 was published by U.S. Citizenship and Immigration Services on July 17, 2017.

Get the current form at:

M-274 Handbook for Employers also available at:


#MeToo Movement’s Effect on Sexual Harassment Settlements: New Federal Tax Law Makes Settlements for Harassment Claims Non-Deductible:

Sex Harassment claims and the #metoo movement are all over the media. The result is heightened concern and awareness that sex harassment in the workplace has been kept quiet by the way of confidential settlements, so the IRS has stepped in to make such confidential settlements not as appealing.  

  • Employers have been largely able to treat settlement amounts and legal fees as tax deductible.
  • New Tax Cuts and Jobs Act now prohibits deductions of amounts paid in confidential settlements involving sexual harassment/abuse.
  • New rule applies not only to settlement payments to claimants, but also attorneys’ fees.
  • Employers now have a Hobson’s choice if they want to settle harassment claims:
    • Agree to non-confidentiality and preserve available tax deductions, or:
    • Enter into a confidential settlement and lose ability to deduct the amounts paid to settle.


What Can Employers Do In The Age of #MeToo?

  • Harassment Prevention Efforts – Compliant and consistent policies and training are now more critical than ever
  • Supervisor training and separate staff training is recommended
  • Prompt and appropriate investigations
  • Prompt remedying of problem situations

This update is the fourth of six, don’t miss out on the remainder of the
What You Need To Know in 2019 Series.

What You Need To Know in 2019 Series: Important ...
What You Need To Know in 2019 Series: San Franci...

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Tel: 650-615-4860
Fax: 650-615-4861

2175 N. California Blvd, Suite 710
Walnut Creek, CA 94596
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Tel: 925-322-8889
Fax: 925-322-8890