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North American Edition
31st March 2025
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THE HOT STORY
U.S. orders European companies to comply with Trump's diversity ban
Large companies in the EU which supply the American government have been told to comply with an executive order from President Donald Trump banning diversity, equity and inclusion programs. Companies with U.S. government contracts have been told to confirm their compliance in a questionnaire entitled "Certification Regarding Compliance With Applicable Federal Anti-Discrimination Law." The demand was sent out to firms by the U.S. embassy in Paris. The document said: “Department of State contractors must certify that they do not operate any programs promoting DEI that violate any applicable anti-discrimination laws and agree that such certification is material for purposes of the government’s payment decision and therefore subject to the False Claims Act.” The French foreign trade ministry said in a statement: “American interference in the inclusion policies of French companies — such as threats of unjustified tariffs — is unacceptable . . . France and Europe will defend their companies, their consumers, and also their values.” The letter was first reported by Les Échos newspaper.
WORKFORCE BENEFITS
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LEGAL
Trump seeks to end union rights at many federal agencies
President Donald Trump has signed an executive order abolishing union rights at more than two dozen federal agencies and offices, including the entirety of the Departments of Defense, Veterans Affairs, State and Justice, and parts of Homeland Security, Health and Human Services, Interior, Energy and Commerce, among others. The move is a major expansion of the Trump administration’s efforts to shrink the federal government. The White House cited national security concerns for terminating workers’ ability to bargain collectively, although the order applies at agencies with both direct and indirect links to national security. “President Trump is taking action to ensure that agencies vital to national security can execute their missions without delay and protect the American people,” the White House said. Later in the day, eight federal agencies including the departments of Defense, Justice, Homeland Security, and Veterans Affairs sued in Waco, Texas, federal court asking a judge to declare their union contracts void under Trump’s executive order.
Fishermen take on U.S. seafood giant
A landmark human trafficking lawsuit has been filed in California by four Indonesian fishermen against U.S. canned seafood giant Bumble Bee Seafoods. The plaintiffs allege forced labor and abuse aboard Chinese-owned vessels in Bumble Bee's supply chain, detailing withheld wages, physical mistreatment, and threats to their families. The case, believed to be the first of its kind against an American seafood company, aims to prompt systemic reform in the $350bn global seafood industry. The fishermen seek measures to ensure decent working conditions, including prohibiting transshipment and requiring vessels to return to port regularly. The lawsuit also aims to shed light on the role of staffing agencies in perpetuating these abuses.
RISK
Chinese firms target laid-off U.S. workers
Investigations indicate that a network of companies linked to a secretive Chinese tech firm is attempting to recruit recently laid-off U.S. government workers. Max Lesser, a senior analyst at the Foundation for Defense of Democracies, said that such firms are "part of a broader network of fake consulting and headhunting firms targeting former government employees and AI researchers." The companies involved share digital links and have been difficult to trace, with many contact details leading to dead ends. Lesser said that the campaign exploits the financial vulnerabilities of former federal workers affected by mass layoffs. A White House spokesperson warned that China is continuously trying to exploit the U.S. system through espionage. The FBI has also cautioned that Chinese intelligence may pose as consulting firms to target current and former U.S. government employees.
DIVERSITY, EQUITY & INCLUSION
FCC to investigate Disney and ABC over DEI practices
The Federal Communications Commission has initiated an investigation into Walt Disney's diversity, equity, and inclusion practices, suggesting they may breach equal employment opportunity regulations. In a letter to Disney, FCC Chair Brendan Carr, said: "I want to ensure that Disney ends any and all discriminatory initiatives in substance, not just name."
WORKFORCE
FDA staff struggle to meet product review deadlines
Some U.S. health regulators are facing significant challenges in meeting product review deadlines due to recent layoffs. According to scientists at the U.S. Food and Drug Administration, they have been assigned double the workload since the Trump administration's cuts, which affected around 1,000 staff members. One scientist said: "We have 180 days to complete those reviews, and we're not going to come anywhere close to that." The FDA's ability to review medical devices and tobacco products is seen as compromised, leading to concerns about delayed market entries and potential oversights in safety. Ameet Sarpatwari from Harvard Medical School warned that the loss of personnel could result in longer review times or rushed evaluations, increasing risks. The FDA has also canceled meetings with companies, further complicating the review process.
Senate overturns rule capping bank overdraft fees
The Senate has voted 52-48 to overturn a rule that limited most bank overdraft fees to $5 — and which was set to save Americans billions of dollars annually. The resolution now moves on to the House. The rule, which was enacted by the Consumer Financial Protection Bureau last year, would have restricted the fees that banks and credit unions are able to charge when customers spend more than they have in their accounts. The American Bankers Association said it welcomed the Senate’s action. “If implemented, the C.F.P.B.’s 11th-hour rule imposing government price controls would force many banks to limit or eliminate overdraft protection as we know it,” its chief executive Rob Nichols said, adding: “Many Americans would be driven to less regulated and higher risk non-bank lenders to cover unexpected or emergency expenses.” But consumer advocates argue that the removal of the rule would allow banks and credit unions to charge higher fees than what the service actually costs them.
TECHNOLOGY
Meet the LinkedIn superusers
The FT takes a look at LinkedIn superusers — professionals that have amassed networks sometimes reaching tens or even hundreds of thousands of people, which they use to build their brand.
INTERNATIONAL
Workers 'shun apps and video calls'
Research from the U.K. conciliation service Acas suggests that many employees are unhappy with video calls and messaging apps. A survey of 1,000 workers found that one in three disliked video calls, while one in four found platforms like Teams and Zoom irritating. Ahead of World Autism Day on April 2, Acas has highlighted the need for training line managers to better support neurodiverse staff. Acas interim chief executive Dan Ellis said: "The way we communicate at work can impact us all. Some staff, such as neurodivergent workers, may prefer to communicate in a specific way. We know good communications are really important to business success. Clear communications are not just good for neurodivergent people but for everyone who wants clarity. The key for bosses is talking to staff to find out what works for them as well as the business, and finding solutions that encourage people to talk to each other most effectively."
Taiwan probes talent poaching
Taiwan's authorities are investigating China's Semiconductor Manufacturing International Corporation (SMIC) for allegedly luring Taiwanese tech workers through a shell company posing as a Samoan firm. The probe by the investigation bureau of Taiwan's justice ministry follows concerns over illegal activities by Chinese companies aimed at stealing expertise and attracting talent in the semiconductor sector. This month, 180 officials have raided 11 companies suspected of such practices, including SMIC, as part of a broader effort to protect Taiwan's vital high-tech industry. Since 2020, over 100 cases have been investigated, highlighting the ongoing tensions surrounding semiconductor technology in the region.
Trump cuts programs that fight child labor abroad
President Donald Trump's administration is ending U.S.-backed programs that combat child labor, forced labor and other abuses in dozens of countries around the world. The cuts are expected to end 69 programs that have allocated more than $500m to fight child labor, forced labor and human trafficking, and to enforce labor standards in more than 40 countries. John Clark, a Trump-appointed official, justified the cuts by citing a “lack of alignment with agency priorities and national interest.” Courtney Parella, a spokesperson for the U.S. Department of Labor’s bureau of international labor affairs, said that the administration wants to prioritize “investments in the American workforce.”
Mayor's comments spark outrage over wildfires
Kim Doo-gyeom, the mayor of Ulsan in South Korea, has faced significant backlash for his comments during a local wildfire briefing, where he attributed difficulties in firefighting to the presence of female employees. Implying that it was challenging to send women into rugged mountain areas, he said: “There are limitations on the number of public officials we can mobilize when a wildfire breaks out.” His remarks sparked outrage on social media. The wildfires, which began on March 21, have resulted in 28 fatalities and forced 37,800 evacuations, with significant destruction reported.
OTHER
Contactless payments are keeping children out of hospital
Analysis published in The Annals of the Royal College of Surgeons of England has found a "significant decline" in the number of children in the U.K. being admitted to hospital to remove objects lodged in their throats, noses, and airways. The analysis attributes the decline to the declining popularity of coins as contactless payments became more common. The study found a "significant decline" in cases from 2,405 in 2012 to 1,716 in 2022.
 


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