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Recent Editions

North America
Human Times
The IRS is planning to reduce its workforce of approximately 90,000 employees by up to 50% through layoffs, attrition, and incentivized buyouts. The initiative is part of the Trump administration's broader strategy to downsize the federal workforce, which includes closing agencies and offering buyouts to federal employees. John Koskinen, a former IRS commissioner, warned that such drastic cuts would make the IRS "dysfunctional." In addition to the planned layoffs, the Trump administration intends to lend IRS workers to the Department of Homeland Security to assist with immigration enforcement. Federal agencies are expected to develop a report by March 13 on their reduction in force plans, but it is unclear whether the White House will approve the IRS' reorganization plan and over what period of time it would be implemented.
Full Issue
UK
Human Times
The government has announced a series of changes to the Employment Rights Bill, which Labour says will provide “the biggest upgrade to workers' rights in a generation.” Business Secretary Jonathan Reynolds revealed that the bill will include around 250 amendments following extensive consultations. Key changes include entitlement to sick pay from the first day of illness, protections against unfair dismissal from day one, and new regulations for zero-hours contracts, which will also apply to agency staff. Unison general secretary, Christina McAnea, said there were huge improvements that had been made to the bill, saying it was “what working people and decent employers have been waiting for.” However, concerns have been raised by Martin McTague, chair of the Federation of Small Businesses, who noted that 92% of members are "very concerned" about the bill's implications for hiring.
Full Issue
USA
Education Slice
President Donald Trump is expected to issue an executive order today directing his newly confirmed education secretary to work to close the department she now leads, according to two people familiar with the situation. The Wall Street Journal reports that a draft of the order directs Education Secretary Linda McMahon to "take all necessary steps to facilitate the closure of the Education Department” based on “the maximum extent appropriate and permitted by law.” The draft acknowledges that the power to close the department resides in Congress, and not the Oval Office. Sixty "yes" votes in the Senate, where the Republicans hold 53 seats, would be needed for the department to be shuttered. The Education Department is among the smallest of all federal agencies, with around 4,200 employees. According to the website for the Department of Government Efficiency (DOGE), the wages of Education Department employees account for 0.31% of all federal wages.

USA
Accountancy Slice
More than 130 House Democrats have in a letter expressed their concern regarding the IRS' decision to lay off around 7,000 probationary employees, particularly in compliance departments, just before the 2025 tax season. It is said the move could worsen the agency's existing challenges and hinder its ability to serve taxpayers effectively. The lawmakers' letter highlights the crucial role compliance personnel play in enforcing tax laws and recovering revenue, noting that the Biden administration's efforts have already recovered over $1.3bn in back taxes. The letter says the timing of the layoffs raises questions about the IRS's preparedness to handle increased demand for services, potentially leading to longer processing delays and increased wait times for taxpayers, and urges the IRS to provide a clear plan to ensure effective assistance during tax season.
Full Issue
Scotland
Legal Matters Scotland
As the costs of legal services soar, law firms are increasingly moving away from traditional billable hours to flat-fee billing systems. Research by Clio indicates that 54% of UK law firms expect fixed-fee billing to rise in the coming year. Sarah Murphy, general manager of EMEA at Clio, said: “Clients are pushing for more predictable pricing structures, and many firms are recognising that hourly billing doesn't always reflect the value of the work delivered.” The integration of AI into legal practices is a significant factor driving this change, with 62% of firms anticipating increased AI use. This shift aims to enhance client satisfaction and align with corporate budgeting needs, as general counsels express concerns over rising legal costs. Despite this trend, many top firms still maintain internal targets for billable hours, indicating a complex transition in the industry.
Full Issue
North America
Legal Slice
Utah has become the first state to enact legislation mandating app stores to verify users' ages and obtain parental consent for minors downloading apps. The bill, which is awaiting Gov. Spencer Cox's signature, has sparked a debate between Meta, Apple, and Google regarding responsibility for age verification. Meta said: “Parents want a one-stop shop to verify their child's age and grant permission for them to download apps in a privacy-preserving way.” Critics, including Apple, argue that this requirement could compromise user privacy and safety, as it may necessitate sensitive information from all users. The law aims to simplify age verification, linking minor accounts to their parents and requiring approval for app downloads with in-app purchases. If signed, the law will take effect on May 7th. Similar proposals are being considered in at least eight other states.
Full Issue
Europe
Risk Channel
The government is preparing to launch a consultation aimed at reducing regulatory burdens in the alternative investment sector. Speaking at a British Private Equity & Venture Capital Association dinner, City minister Emma Reynolds stressed the sector's role in driving UK growth, saying: “Freeing fund managers from costly and burdensome rules will enhance the attractiveness of the UK as an asset management hub.” The consultation will focus on simplifying regulations for fund managers who invest in assets beyond stocks and bonds, such as property and infrastructure. This initiative is part of a broader government strategy to modernise the UK's financial services infrastructure, which includes a shift to a ‘T+1' standard for settling securities trades by 2027.
Full Issue
North America
CFO Slice
U.S. President Donald Trump is reportedly contemplating exempting specific agricultural products from tariffs currently imposed on Canada and Mexico. Amid deep concern from farm state lawmakers over the fallout for the U.S. agriculture sector, officials are discussing waiving the 25% duty on some agriculture products, including Canadian potash, a key ingredient in fertilizer. The president has gone one step further on imports from Mexico and Canada for U.S. automakers, granting a one-month exemption. In a statement, Ford said: "We will continue to have a healthy and candid dialogue with the administration to help achieve a bright future for our industry and U.S. manufacturing." Additionally, GM thanked Trump "for his approach, which enables American automakers like GM to compete and invest domestically."
Full Issue