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North American Edition
24th October 2025
 
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THE HOT STORY

Senate stalls on federal worker pay

The Senate has failed to advance two partisan bills aimed at compensating federal workers during the ongoing government shutdown, which has now lasted 23 days, marking the second-longest in U.S. history. One bill, backed by Republicans, sought to ensure pay for essential employees, including troops and TSA agents, while the Democratic proposal aimed to pay all federal employees and prevent mass layoffs. "We certainly shouldn't set up a system where the president of the United States gets to decide what agencies to shut down," said Sen. Chris Van Hollen, (D-MD). The Republican measure did not secure the necessary 60 votes, and Democrats blocked a vote on their version. As the shutdown continues, both parties remain at an impasse, with no clear path to reopening the government.
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WORKFORCE

CMS recalls furloughed workers for enrollment

The Center for Medicare and Medicaid Services (CMS) will temporarily recall all furloughed employees starting Monday to manage health insurance open enrollment. A spokesperson said this decision is necessary to “best serve the American people amid the Medicare and Marketplace open enrollment seasons.” The recall comes during a government shutdown that has significantly impacted federal operations, especially as millions select health insurance plans. CMS provides coverage to over 160m people. Approximately 3,000 furloughed workers are expected to return, as Congress remains deadlocked over expiring subsidies affecting ACA enrollees.

Economists report rise in new jobless claims

The number of Americans filing new applications for jobless benefits increased last week, according to economist estimates made in the absence of Labor Department data. In the seven days to October 18th, initial claims for state unemployment benefits rose to a seasonally adjusted 232,000, from 220,000 the prior week, economists at Citigroup and Nationwide calculated. Goldman Sachs estimated claims at 227,000 while JPMorgan put the number at 229,000. States continue to collect the claims figures, submitting them to the Labor Department despite a shutdown of the U.S. government that has caused an economic data blackout. Economists have taken the unadjusted data to make estimates using seasonal adjustment factors the government published earlier this year, providing some view of the labor market.

Target cuts 1,800 jobs to streamline

Target is eliminating approximately 1,800 corporate positions to enhance decision-making and rejuvenate its customer base. Chief operating officer Michael Fiddelke, who will become chief executive on February 1, commented: “The truth is, the complexity we've created over time has been holding us back.” The layoffs will affect about 1,000 employees who will receive notices next week, along with 800 vacant positions being cut. This reduction represents around 8% of Target's global corporate workforce, primarily impacting the Minneapolis headquarters. Fiddelke emphasized the need for a streamlined structure to improve retail leadership and execution. The layoffs will not impact store employees or those in supply chain roles, and affected workers will receive pay and benefits until January 8.

Visa fee hike threatens rural healthcare

Dr. Mahesh Anantha, a vital interventional cardiologist in Batesville, Arkansas, faces uncertainty due to a proposed increase in H-1B visa fees to $100,000. This change, announced by the Trump administration, has raised concerns among the 50,000 India-trained doctors in the U.S., many of whom work in underserved rural areas. Dr Bobby Mukkamala, president of the American Medical Association (AMA), said: "This fee would be devastating," highlighting fears that higher costs could deter hospitals from hiring foreign doctors. The AMA emphasises that immigrant physicians fill critical gaps in care, especially in rural communities.

ConocoPhillips cuts jobs in Canada

ConocoPhillips plans to lay off up to 25% of its global workforce, beginning with its Canadian operations in early November, according to a company memo reviewed by Reuters. Employees in Calgary will be notified virtually on November 5, while staff at the Surmont and Montney sites will be informed in person. The company employed 950 people in Canada at the end of 2024. Declining oil prices are driving industry-wide cuts, with Chevron and BP also reducing staff. “We will not be sharing area-specific workforce numbers,” said spokesperson Dennis Nuss.

Applied Materials cuts 4% workforce

Applied Materials is laying off 4% of its 36,100 employees—about 1,444 people—across all levels globally, according to a company filing. The move follows a projected $600m revenue hit in fiscal 2026 due to new U.S. export restrictions. The company cites “automation, digitalization and geographic shifts” as reshaping its workforce needs. It aims to build “high-velocity, high-productivity teams” and streamline operations. The layoffs will cost $160m–$180m in severance and related benefits. Executives say the restructuring will enhance competitiveness and productivity as the company adapts to changing global and technological pressures.

Rivian cuts jobs to save cash

Rivian, the electric truck and SUV manufacturer, is set to lay off approximately 600 employees, representing about 4% of its workforce, as it seeks to cut costs amid declining federal support for electric vehicle adoption. The layoffs follow the expiration of a federal tax credit that previously incentivized customers to purchase electric vehicles. Despite a 32% increase in vehicle sales in the third quarter, Rivian has lowered its sales forecast for the year.
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HEALTH & SAFETY

Heat stress: a growing threat

Pregnant agricultural workers are increasingly vulnerable to extreme heat, with rising temperatures linked to climate change exacerbating health risks. Clarisa Lugo, an expectant mother, experienced severe heat illness while working in Illinois. Experts highlight that pregnant workers face heightened risks of miscarriages and other complications due to heat exposure. Many workers, often low-income Latino immigrants, fear seeking medical help due to immigration enforcement. While some states have protections, enforcement is lacking. Ayana DeGaia, an assistant professor, noted the insufficient legal safeguards contribute to high maternal and infant mortality rates in the U.S.
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WORKPLACE CULTURE

AI researchers burn out in race to keep pace

Top AI researchers across firms like Anthropic, Google, Meta, and Microsoft are working up to 100 hours weekly to keep pace with rapid breakthroughs. Josh Batson of Anthropic likened the work to "speedrunning 20 years of scientific progress in two years," calling it the most compelling scientific challenge today. Google DeepMind’s Madhavi Sewak described a relentless cycle: “Everyone is working all the time, it’s extremely intense.” Despite earning massive salaries, many lack time for personal lives. Work culture includes grueling “0-0-2” schedules, near-constant in-office presence, and company support systems for around-the-clock development.
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WORKPLACE

Career growth: Mercedes-Benz leads the way

According to a new study from Career Minds, workers across the U.S. are prioritizing career development, with Mercedes-Benz International in Alabama recognized as a leading employer. The study, part of Career Minds' 2025 list of the Best Companies for Career Development in the U.S., highlights companies that excel in employee training, mentoring, and internal promotions. "Workers cited companies that invest heavily in employee training as their most desirable place to work," the report noted.
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TRAINING & DEVELOPMENT

Strengthening ties: Ferguson's new order

Washington Gov. Bob Ferguson has signed an executive order aimed at enhancing collaboration with Native American tribes in the state. The directive expands training for state workers on tribal sovereignty and consultation policies, addressing ongoing tensions in tribal-state relations. The order also grants the Governor's Office of Indian Affairs a permanent seat in Ferguson's cabinet, enhancing its authority.

Funding boost for climate workforce

Six community colleges in Washington state will receive $9.26m to enhance curriculum focused on natural resource management, aiming to increase the workforce addressing climate change, particularly among Indigenous workers. The funding, part of the federal Inflation Reduction Act, will support tribal students and create a pipeline for various roles, including water specialists and program managers.
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LEGAL

SCOTUS ruling shakes ERISA landscape

The Supreme Court's unanimous decision in Cunningham v. Cornell has significant implications for the Employee Retirement Income Security Act (ERISA) community, particularly for plan sponsors. The ruling lowers the standard for pleading prohibited transaction claims, potentially leading to more claims surviving motions to dismiss. Justice Samuel Alito expressed concerns about the decision's practical consequences, warning it could lead to “untoward practical results.” The court suggested several civil procedure tools for defendants to combat meritless claims, including challenging standing and limiting discovery. However, these tools remain largely untested in ERISA litigation.

Teacher wins temporary restraining order

Melisa Crook, an English teacher in the Creston Community School District in Iowa since 2022, has secured a temporary restraining order against her potential termination due to comments made about the late conservative activist Charlie Kirk. U.S. District Judge Rebecca Goodgame Ebinger ruled that Crook is "likely to succeed in showing Stender took adverse action against her in response to exercise of her First Amendment rights." The judge's order halts the district from proceeding with Crook's employment hearing, originally set for October 21, and prevents any adverse actions based on her social media comments.
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TAX

Congress passes IRS Math and Taxpayer Help Act

The Senate has passed the Internal Revenue Service Math and Taxpayer Help Act, which now awaits President Donald Trump's signature. This legislation, supported by AICPA, mandates the IRS to clearly communicate tax-filing errors to taxpayers, detailing changes and reasons for any discrepancies in tax refunds. Rep. Randy Feenstra (R-IA) introduced the bill, which aims to enhance IRS operations and improve the taxpayer experiences.

Billionaires face new tax proposal

California is considering a one-time 5% tax on billionaires to counteract federal funding cuts to health care for low-income individuals. The proposal, backed by the Service Employees International Union, aims to gather over 870,000 signatures by spring 2026 to qualify for the November ballot. The tax could generate $100bn in revenue, with some funds allocated to K-12 education. However, Gov. Gavin Newsom has previously opposed tax increases targeting the wealthy, raising questions about the proposal's future. Proponents argue that billionaires have a societal responsibility to support California's health care system.
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PRODUCTIVITY

KPMG launches new AI platform to streamline corporate functions

KPMG has launched a new initiative called Global Business Services (GBS) with KPMG Velocity, built on the ServiceNow AI Platform, to enhance productivity across corporate functions such as finance, HR, procurement, and IT. The offering integrates artificial intelligence and human expertise through ServiceNow technology, aiming to create intelligent and resilient enterprises. KPMG’s own AI Trust services and expertise are integrated with ServiceNow’s platform to promote secure, scalable AI deployment. The partnership also focuses on advancing generative AI, upskilling KPMG professionals to better support client implementations.
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INTERNATIONAL

U.K. gender pay gap shrinks

The U.K.'s gender pay gap has decreased by over 25% in the last decade, according to the Office for National Statistics. As of April, the gap in full-time employment stands at 6.9%. Additionally, the proportion of workers in low-paid jobs has reached a record low of 2.5%. The report highlights significant progress in reducing wage disparities. A spokesperson from the Office for National Statistics stated: "These figures reflect a positive trend in the labor market."
 
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