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Modern Bonus Structures: The Rise of Multi-Factor Incentive Plans

"As investor expectations shift, regulatory pressure mounts, and business models evolve, compensation committees are moving away from short-term incentive plans that rely solely on a single financial performance measure.... [This article] outlines how public company boards and compensation committees are responding by adopting annual bonus structures that incorporate multiple performance factors, strategic goals, and clearly governed discretion frameworks."

Benefits and Compensation Impacts of the ‘One Big Beautiful Bill Act’

"[1] Public employee compensation: Expansion of deduction limit applicable to executive compensation ... [2] Continuation of employer credit for paid family and medical leave ... [3] Health Savings Account provisions ... [4] Increased limits for Dependent Care Assistance Programs ... [5] Continuation of employer-provided educational assistance ... [6] [T]he House [had] proposed eliminating the deduction for bicycle commuting reimbursements ... However, the final BBB retains the deduction for bicycle commuting reimbursements.... [7] Tax-exempt organizations: Expanded excise tax on excess compensation."

SEC Roundtable May Set the Stage for Executive Compensation Disclosure Reform

"This roundtable reflects the SEC's broader effort to reassess whether current disclosures are providing investors with decision-useful information or simply contributing to compliance-driven volume without clarity.... The current disclosure regime has grown increasingly detailed since the SEC's 2006 rule overhaul and subsequent additions required under the Dodd-Frank Act.... Chairman Paul S. Atkins has questioned whether these layers of disclosure are producing meaningful insight or merely compliance-driven volume."

Clawback Enforcement Under SEC Rule 10D-1

"While most companies completed policy adoption and disclosures in 2023-2024, Rule 10D-1 now enters its enforcement phase. This makes 2025 a critical juncture for governance readiness and ensuring that compensation committees, legal, finance, and human resources teams are fully prepared to implement clawback policies in the event of a financial restatement."

DOL Plans to Rescind Biden's Gig Worker Rule Making It Easier for Companies to Use Independent Contractors

"The May 1, 2025 announcement represents a shift in labor policy with significant implications for gig economy businesses and workers. While businesses celebrate the return to a more flexible labor market, and labor advocates warn that this change will leave many gig workers without crucial protections ... until DOL takes further action, the Biden Rule remains in effect for purposes of private litigation."

EBSA Issues Late-Breaking Changes to Defined Benefit Pension Plan Annual Funding Notices

"FAB 2025-02 provides interim guidance and solutions pending more formal regulatory being issued by the DOL.... If you have already issued your plan's 2024 AFN, consider the FAB 2025-02 guidance and make sure your AFN was consistent with FAB 2025-02. If not, revise and re-issue the AFN promptly."

The Retention Bonus Backlash: What Executives and Compensation Committees Need to Know

"Retention bonuses have long been a staple of executive compensation -- a way to secure leadership continuity during key transitions or turbulent market cycles. But in 2025, these awards are drawing sharper scrutiny than ever before. What once served as a straightforward tactic to retain top leadership can now be a flashpoint for criticism -- especially when such retention tools are not clearly tied to performance."

Navigating Executive Compensation in a Volatile Economy: 2025 Trends for Middle-Market Companies

"Shift toward cash preservation and non-cash incentives ... Realignment of performance metrics amid economic uncertainty ... Increased use of downside protection (but with guardrails) ... Growing emphasis on multi-year retention plans ... Stronger focus on resilience-based metrics ... Stakeholder scrutiny driving governance improvements ... Key recommendations for middle-market companies in 2025."

IRS Issues Guidance on Employer Ability to Post ACA Notices

"Employers and plan sponsors who wish to take advantage of this simplified ACA reporting should ... [1] [U]pdate any existing processes as necessary, including the need to annually post the notice and keep it posted for the required time period. [2] Establish a process for timely responding to requests to obtain a copy of the form ... [3] Make sure you still comply with any state reporting requirements (e.g., CA, MA, NJ, RI, DC) that may apply to your workforce. [4] Remember that you still have an obligation to file the Forms 1095-C and 1095-B with the IRS[.]"

DOL Relaxes Certain Self-Correction Rules for Tax-Qualified Retirement Plans

"While there are no immediate steps that plan officials need to take based on these DOL updates, plan officials should be regularly conducting internal reviews of their operations, as applicable, to ensure that participant contributions and loan payments are being timely deposited, participant loans are being properly handled, and prohibited transactions are not occurring."