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Recent Editions
North America
Human Times
A group of Republican-led U.S. states has filed a lawsuit to block the U.S. Equal Employment Opportunity Commission (EEOC) from enforcing broad legal protections for transgender workers. The states argue that the EEOC lacks the authority to assert that federal law allows transgender workers to use bathrooms that match their gender identity. The EEOC recently updated its guidance on workplace harassment, stating that discriminating against gay and transgender workers is a form of unlawful sex bias. However, the states claim that federal law only protects transgender workers from being fired but does not require employers to accommodate them. The lawsuit also challenges the constitutionality of the EEOC's structure as an independent agency. The states involved in the lawsuit include Tennessee, Alabama, Georgia, Indiana, Missouri, Ohio, South Carolina, and Virginia.
Full IssueUK
Human Times
Office for National Statistics (ONS) data shows that while the unemployment rate increased to 4.3% between January and March, pay rises, excluding bonuses, remained at 6% despite predictions of a decline. Liz McKeown, director of economic statistics at the ONS, said that once inflation was taken into account, "real pay growth remains at its highest level in well over two years." The report also shows that the number of jobs on offer dropped by 26,000 to 898,000 between February and April. The number of unemployed people per vacancy rose to 1.6 in Q1, up from 1.4 between October and December 2023. The ONS said: "Although this ratio remains low by historical standards, it does demonstrate a slight easing in the labour market, with vacancies falling alongside rising unemployment." The number of people claiming benefits rose to 1.5m in April, with this up 29,300 compared to April 2023. The rate of people considered economically inactive - those aged between 16 and 64 who are not in work or looking for a job – dipped slightly to 22.1% in Q1.
Full IssueUSA
Education Slice
The White House's "Every Day Counts Summit" tackled the surge in chronic absenteeism since returning to in-person classes, focusing on community engagement to promote attendance. Education Secretary Miguel Cardona emphasized the crucial role of community in ensuring daily attendance, highlighting the distressing statistic that more than one in four students were chronically absent in recent years, significantly higher than pre-pandemic levels. New initiatives announced include $250m in grants for learning acceleration and a partnership with the American Academy of Pediatrics to support parents. The summit showcased strategies like Connecticut's door-knocking campaigns, which have proven effective by addressing specific family issues behind absenteeism. States like Rhode Island and Indiana are using real-time data dashboards to monitor attendance, part of broader efforts to mitigate chronic absenteeism through community and state-level engagement.
Full IssueUSA
Accountancy Slice
The IRS has implemented additional security measures to protect tax professionals and their clients from identity theft refund fraud. The Centralized Authorization File (CAF) program has been enhanced to address the risk of compromised CAF numbers, which can be used by fraudsters to obtain sensitive taxpayer information. The IRS has a process in place to suspend suspected compromised CAF numbers and contact the owners for confirmation. Changes have also been made to the Transcript Delivery System (TDS), requiring tax professionals to call the Practitioner Priority Service (PPS) line for transcript requests. Enhanced authentication is necessary, and transcripts may be mailed if the caller's identity cannot be verified. Tax professionals should be cautious of unsolicited scam emails requesting credential information. The IRS continues to work with the tax professional community to ensure the safety and security of tax information.
Full IssueScotland
Legal Matters Scotland
Wendy Sinclair-Gieben, Scotland's chief inspector of prisons, has urged ministers to “urgently” reduce the numbers of people behind bars. In a letter to ministers, Sinclair-Gieben called for immediate action to stop the "current upward surge", which has seen prisoner numbers rise to the second highest level ever. Ms Sinclair-Gieben said the prison service did not have either the buildings or the resources necessary to offer all prisoners a humane rehabilitation regime. She said that indicators suggested the volume of people in custody was likely to rise further, exacerbating her concerns. Ms Sinclair-Gieben said she had been "verbally reassured" there was a strategy to address the issue but she had "never been privileged to view the planning nor have I seen any evidence of its effectiveness". It comes after MPs in England ordered the criminal justice system to delay starting the court cases of some suspects because of overcrowding in prisons. Now, Scotland's Justice Secretary Angela Constance is expected to make a statement to Holyrood later on how she plans to tackle the growing numbers.
Full IssueNorth America
Legal Slice
The use of generative artificial intelligence (AI) technology in law firms is still in its early stages, with firms cautiously testing the software and grappling with its risks. While some programs show clear ROI, others leave the profession unsure of their value. Well-resourced firms like Paul Weiss are leading the way in understanding how to use and evaluate generative AI. However, clients are not yet able to evaluate firms based on their generative AI products. The legal tech market is expected to reach $50bn by 2027. Generative AI tools like Harvey are being used for low-hanging fruit tasks and to improve efficiency. While the technology has its limitations, it is expected to improve over time.
Full IssueEurope
Risk Channel
The European Central Bank (ECB) has called for the monitoring and regulation of artificial intelligence (AI) in finance to prevent harm to consumers and ensure market functioning. The ECB acknowledges the benefits of AI in the financial sector, including improved information processing, customer service, and cyberthreat detection. However, it also warns of risks such as herding behaviour, over-reliance on limited providers, and sophisticated cyberattacks. The ECB stresses the need for close monitoring as AI technology evolves and suggests regulatory initiatives if market failures arise. The European Union has already introduced AI rules, but the ECB notes that the adoption of AI systems by European financial institutions is still in the early stages.
Full Issue