North America HR News Flash: Tuesday, November 3, 2026

Workday faces California class action alleging AI hiring tools screened out protected groups

• Plaintiffs allege Workday's AI hiring tools disproportionately screened out several protected groups
• Plaintiffs seek certification of four applicant groups
• Workday denies wrongdoing; the case is unresolved, and certification would not decide whether discrimination occurred

What employers should do: Review whether AI screening tools are used in hiring and understand the vendor's bias testing and record-keeping practices; Follow case developments and discuss screening criteria with legal counsel as needed

Connecticut SB 5 takes effect: employers can't blame AI tools for discrimination, with notice duties from 2027

• Effective Oct. 1, 2026, employers cannot blame AI tools for discrimination
• Bias-testing evidence may be considered by the CHRO or courts
• From Oct. 1, 2027, AI interaction notices and pre-decision written notices are required

What employers should do: Review AI tools used in hiring, promotion, discipline and termination, and keep bias-testing records; Prepare for AI interaction and pre-decision notices required from Oct. 1, 2027; Check whether WARN notices filed with the state must disclose AI-related causes

UK government consults on employment status reform, proposing changes to three-tier system

• The UK Government launched a consultation on employment status reform on 14 October 2026
• It proposes changes to the three-tier system of employee, limb (b) worker and self-employed
• The proposals remain at consultation stage

What employers should do: If you have UK employees or contractors, follow the consultation and review current worker classifications

Alberta proposes Bill 33 to scrap DEI hiring in public institutions, basing hiring on merit

• Alberta plans to scrap DEI hiring decisions for public institutions
• Bill 33 proposes amending the Alberta Human Rights Act so hiring and promotion are based on merit
• The bill is still a proposal; an opinion piece argues preferential treatment persists

What employers should do: Monitor Bill 33's progress and update public-sector hiring policies if it passes; If your organization is a public institution or a related service provider, review whether current hiring and promotion criteria align with merit

Saskatchewan introduces human trafficking bill requiring hotels, platforms and driver-for-hire services to report suspected cases

• Saskatchewan introduced anti-human-trafficking legislation on Nov. 2 (proposal stage)
• The proposal would require hotel operators, online accommodation platforms and driver-for-hire services to report suspected trafficking to police
• Hotels would keep more detailed customer registers that police could access on reasonable grounds

What employers should do: Review reporting and recordkeeping processes for hotel, accommodation or ride-hail operations; Consider updating staff training and internal reporting policies if the bill passes

US court rules for employer in FMLA retaliation case after employee fired for misreporting time

• An employee was fired on December 30, 2022 for misrepresenting time worked, about two weeks after a leave ended
• He sued for discrimination and retaliation, but the employer won summary judgment on all claims
• The court relied on security footage, his admissions, consistent enforcement and a decisionmaker unaware of his leave

What employers should do: Verify time records and surveillance evidence before terminations, and apply enforcement consistently

Employers still winning most religious accommodation cases after Groff ruling, Cornell study finds

• Employers won pretrial dismissal in 76% of 46 post-Groff rulings
• The figure was 51% across 49 decisions over the roughly two prior decades
• The findings come from Cornell University research reviewed by Bloomberg Law

Express Entry applies new CRS rules from November 3, with draws paused for up to two weeks

• From November 3, Express Entry CRS adds a Labour Market Integration Factor
• Qualifying job offers without an LMIA regain points; high-wage Canadian work experience earns additional points
• IRCC pauses all draws for up to two weeks; cut-off scores may rise noticeably

What employers should do: Check whether open roles fall into high-wage occupations and assess the impact of job offers without an LMIA on candidates; Alert affected candidates to the draw pause and possible score changes

USCIS proposes eliminating 60-day grace period for H-1B, L-1 and other nonimmigrant workers

• The proposed rule would eliminate the 60-day grace period for H-1B, H-1B1, E-1, E-2, E-3, L-1, O-1 and TN workers
• The grace period has existed since 2017
• USCIS says the change would cut administrative burden and acknowledges more removal proceedings; the proposal remains at the proposal stage

What employers should do: Review transition arrangements for nonimmigrant employees in case the grace period is removed; Build the timing rules of each visa status into offboarding procedures

Plan renewal season is when COBRA compliance is most likely to break down, with $100 per person per day excise tax exposure

• December and January, peak group health plan renewal months, are when COBRA administration is most likely to break down
• If premium, carrier or plan changes do not reach the COBRA administrator in time, beneficiaries may get notices with wrong rates
• Under IRC Section 4980B, an excise tax of $100 per affected qualified beneficiary per day applies while noncompliance continues

What employers should do: Notify the COBRA administrator of premium, carrier or plan changes before renewal; Check that rates in COBRA notices sent after renewal are correct

Judi Health backs US Department of Labor push for health plan and PBM transparency

• Judi Health announced on November 3 its support for the DOL's push on transparency requirements
• The requirements aim to require disclosure of healthcare prices and PBM and other vendor charges
• Reports say the rules would shift power toward purchasers

What employers should do: Monitor the final content and timeline of the health plan and PBM transparency rules

Yahoo Tech tracker: over 195,000 tech layoffs in 2026, with Oracle cutting 21,000 jobs

• Yahoo Tech counts more than 195,000 tech layoffs in 2026
• Oracle cut 21,000 jobs over the past year, about 13% of its workforce, citing AI adoption
• Microsoft cut 4,800 jobs in July, mostly in Xbox; about 14,000 cuts in June at Lucid, Bungie, Robinhood and others

US employers announced 573,195 job cuts through September, 120,136 citing AI; young workers' hiring hit

• US employers announced 573,195 job cuts through September, with 120,136 citing AI, the top reason this year
• Tech cuts totaled 165,925, up 54%; total cuts fell 39%
• Stanford research using ADP data found 22-25-year-olds in the most AI-exposed jobs were about 19% below trend as of June

About 250 watchmen at LA/Long Beach ports poised to strike Wednesday, raising congestion fears

• About 250 port watchmen may strike at 5pm Pacific on Wednesday if talks fail
• Watchmen have worked under extensions since their July 2025 contract expired; talks extended to November 4
• PMA says a stoppage would affect 85% of Long Beach and 33% of Los Angeles container traffic

US job openings rise to 7.523 million in September, above expectations, Labor Department says

• Job openings rose to 7.523 million in September, from an upwardly revised 7.190 million in August; economists expected 7.160 million
• Hires rose to 5.402 million; quits climbed to 3.365 million
• Layoffs and discharges fell to 1.641 million

Gartner analyst outlines four L&D trends to expect in 2027

• Four trends outlined by Gartner's Rebecca Burton at the Oct. 26 symposium
• Drivers of a learning reset include rapid upskilling and reskilling, AI literacy demand and cost pressure
• In a board director poll, L&D tasks took three of the top five spots for CHROs preparing for AI

Upwork agrees to acquire global employment platform WorkMotion, launches Upwork Now and names new CFO

• Upwork agreed to acquire global employment platform WorkMotion to deepen international hiring services
• Introduced Upwork Now, an AI-based instant hiring product matching clients with talent in real time
• Appointed a new chief financial officer

Paychex: Small business employees worked more hours in October; hourly earnings growth below 3% for 26th month

• October hourly earnings growth was 2.88%, weekly hours growth 0.11%, weekly earnings growth 3.04%
• Hourly earnings growth has stayed below 3% for 26 consecutive months
• Weekly hours growth has been positive for eight consecutive months; the jobs index rose to 99.21

Continuum Economics: US September JOLTS openings up 333k, quits up 321k

• September openings rose 333k, fully reversing August's 145k decline
• Hires rose 131k and separations rose 144k
• The separations increase was fully due to a 321k rise in quits

JOLTS: US job openings, hiring and quits rise in September while layoffs edge down

• Job openings and hiring rose in September
• Quits increased while layoffs edged down
• Seeking Alpha said openings topped estimates

Workday launches headless AI agent platform for HR and finance

• Workday launches a headless AI agent platform covering HR and finance solutions
• Small Business Trends describes it as a safer approach

Over 2,500 Canadian federal employees accepted for voluntary departure, most choosing lump-sum payouts

• As of October 14, 2026, 2,763 core public administration employees volunteered to leave and 2,555 were accepted
• Of 4,854 employees who made a choice, 3,023 took the lump-sum transition support measure
• The Comprehensive Expenditure Review aims to cut an estimated 16,000 full-time equivalents over three years