Welcome to the North America (Canada, Mexico and USA) Monthly Spotlight for June 2024. In this edition, we explore the dynamic regulatory landscape across the region, highlighting the implications for businesses. Each segment details key regulatory updates, assessing their impacts and the necessary actions enterprises must take to navigate these changes.
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Canada
Key Regulatory Updates Major Regulatory Changes in Canada
- 28 June 2024 – The Employment and Social Development Canada launched a public consultation on the proposed regulations for the Canada Disability Benefit.
- Impact: The consultation will shape the final regulations, affecting over 600,000 low-income Canadians with disabilities by potentially increasing their financial well-being.
- Action Required: Stakeholders and the public should submit feedback by September 23, 2024.
- Read More: https://www.canada.ca/en/employment-social-development/news/2024/06/canadians-invited-to-comment-on-proposed-regulations-for-the-canada-disability-benefit.html
- 21 June 2024 – The Ministry of Labour welcomed royal assent of legislative changes to support federally regulated employees when it comes to accessing the benefits and protections they’re entitled to, maintaining a healthy work-life balance and having the time they need for health challenges or becoming a parent.
- Impact: Enhances benefits and protections for federally regulated employees, supporting work-life balance and health-related needs.
- Action Required: Federally regulated employers should update their policies to align with new legislative changes.
- Read More: https://www.canada.ca/en/employment-social-development/news/2024/06/government-of-canada-protects-federally-regulated-workers.html
- 21 June 2024 – The Ministry of Environment and Climate Change, welcomed the Royal Assent of Bill C-226 – An Act Respecting the Development of a National Strategy to Assess, Prevent and Address Environmental Racism and to Advance Environmental Justice, which was introduced by Elizabeth May, Member of Parliament for Saanich—Gulf Islands, British Columbia.
- Impact: Establishes a national strategy to combat environmental racism and promote environmental justice, addressing disproportionate impacts on marginalized communities.
- Action Required: Government agencies and stakeholders should collaborate to implement the strategy effectively.
- Read More: https://www.canada.ca/en/environment-climate-change/news/2024/06/government-supports-bill-toward-progress-on-environmental-justice.html
- 21 June 2024 – The legislation to ban the use of replacement workers received royal assent.
- Impact: Prohibits the use of replacement workers during strikes, impacting labor negotiations and workforce dynamics.
- Action Required: Employers should adjust strike contingency plans and labor relations strategies accordingly.
- Read More: https://www.canada.ca/en/employment-social-development/news/2024/06/legislation-to-ban-the-use-of-replacement-workers-receives-royal-assent.html
- 20 June 2024 – Canadian securities regulators announce multilateral initiative to support capital-raising by extending the role of Exempt Market Dealers.
- Impact: Facilitates capital-raising efforts for businesses by broadening the role of Exempt Market Dealers, potentially increasing market liquidity and investment opportunities.
- Action Required: Market participants should understand the new provisions and adjust their capital-raising strategies.
- Read More: https://www.securities-administrators.ca/news/canadian-securities-regulators-announce-multilateral-initiative-to-support-capital-raising-by-extending-the-role-of-exempt-market-dealers/
- 20 June 2024 – Important changes to the Competition Act became law that strengthen the Competition Bureau’s ability to protect competition and prevent anti-competitive mergers and conduct.
- Impact: Enhances regulatory powers to prevent anti-competitive practices, affecting business mergers and competitive behavior.
- Action Required: Businesses should review merger plans and competitive practices to ensure compliance with strengthened regulations.
- Read More: https://www.canada.ca/en/competition-bureau/news/2024/06/significant-changes-to-strengthen-the-competition-act-become-law.html
- 19 June 2024 – The Government of Canada announced the publication of the final Regulations Amending the Products Containing Mercury Regulations, which will prohibit the import and manufacture of the most common lamps containing mercury for general lighting purposes as of December 31, 2025.
- Impact: Aims to reduce environmental and health risks associated with mercury, promoting safer lighting alternatives.
- Action Required: Manufacturers and importers should transition to mercury-free lighting products by the deadline.
- Read More: https://www.canada.ca/en/environment-climate-change/news/2024/06/government-of-canada-takes-action-to-further-phase-out-mercury-containing-lamps.html
- 19 June 2024 – The Competition Bureau and the Public Prosecution Service of Canada (PPSC) issued updated Immunity and Leniency Programs to include the Competition Act’s new wage-fixing and no-poaching provisions.
- Impact: Strengthens enforcement against wage-fixing and no-poaching agreements, aiming to protect fair labor practices.
- Action Required: Employers should review and amend employment agreements to comply with new provisions.
- Read More: https://www.canada.ca/en/competition-bureau/news/2024/06/immunity-and-leniency-programs-updated-to-include-wage-fixing-and-no-poaching-agreements.html
- 13 June 2024 – The Ministry of Environment and Climate Change, announced the release of Canada’s 2030 Nature Strategy and introduced an Act respecting transparency and accountability in relation to certain commitments Canada has made under the Convention on Biological Diversity (the Nature Accountability Bill).
- Impact: Sets a strategic framework for biodiversity protection and accountability, influencing environmental policies and conservation efforts.
- Action Required: Environmental organizations and stakeholders should align their initiatives with the new strategy and monitor compliance with the accountability measures.
- Read More: https://www.canada.ca/en/environment-climate-change/news/2024/06/national-strategy-to-protect-nature-in-canada-unveiled-alongside-bill-to-ensure-accountability.html
- 10 June 2024 – The Office of the Privacy Commissioner of Canada (OPC) launched an exploratory consultation on the privacy implications of age-assurance systems.
- Impact: Evaluates privacy concerns related to age-assurance technologies, potentially influencing future regulations.
- Action Required: Stakeholders should participate in the consultation to share insights and address privacy challenges.
- Read More: https://www.priv.gc.ca/en/opc-news/news-and-announcements/2024/nr-c_240610/
Compliance Tips
- Federally Regulated Employee Protections: Update company policies and employee handbooks to reflect the new legislative changes ensuring federally regulated employees receive their entitled benefits and protections.
- Environmental Racism and Justice Strategy: Integrate environmental justice principles into your corporate social responsibility initiatives and ensure your operations do not disproportionately impact marginalized communities.
- Replacement Workers Legislation: Review and revise labor relations and strike contingency plans to comply with the new ban on replacement workers during strikes.
- Capital-Raising Initiative: Understand the expanded role of Exempt Market Dealers and adjust your capital-raising strategies to leverage new opportunities..
- Strengthened Competition Act: Evaluate and modify your business practices to avoid anti-competitive behavior, ensuring compliance with the updated Competition Act.
- Mercury-Containing Lamps Ban: Transition to mercury-free lighting products and adjust your supply chain to comply with the upcoming ban on mercury-containing lamps by December 31, 2025.
- Updated Wage-Fixing and No-Poaching Provisions: Review employment agreements and human resources policies to eliminate any wage-fixing or no-poaching agreements, ensuring adherence to new legal requirements.
- 2030 Nature Strategy and Accountability Act: Align your environmental initiatives with the 2030 Nature Strategy and monitor compliance with new transparency and accountability measures.
Important Dates to Remember
- 23 September 2024 – Comments due on the draft regulations for the Canada Disability Benefit.
- 10 September 2024 – Comments due on OPC’s exploratory consultation on age assurance.
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Mexico
Key Regulatory Updates Major Regulatory Changes in Mexico
- 4 June 2024 – Agreement No. CFCE-131-2024 which modifies the Organic Statute of the Federal Economic Competition Commission was published.
- Impact: The modification updates the internal structure and operational guidelines of the Federal Economic Competition Commission, potentially improving its efficiency and effectiveness in regulating economic competition.
- Action Required: Businesses and legal professionals should review the changes to understand new compliance requirements and adjust their practices accordingly.
- Read More: https://www.cofece.mx/informacion-dof-4junio2024-01/
Compliance Tips
- Review Changes to the Organic Statute: Examine the modifications in Agreement No. CFCE-131-2024 to understand how the updated structure and guidelines of the Federal Economic Competition Commission (COFECE) might impact your business operations and compliance requirements.
- Adjust Compliance Practices: Update your internal compliance procedures to align with the new operational guidelines set by COFECE. Ensure that all relevant departments are informed and trained on these changes.
- Monitor Regulatory Updates: Stay updated with any further announcements or guidelines from COFECE to ensure ongoing compliance and avoid potential penalties for non-compliance.
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United States
Key Regulatory Updates Major Regulatory Changes in United States
- 27 June 2024 – The US Federal Trade Commision (FTC) announced the final Eyeglass Rule implementing updates to promote competition and expand consumer choice.
- Impact: Enhances consumer access to eyeglass prescriptions, promoting market competition and consumer choice.
- Action Required: Eye care providers must obtain patient signatures confirming receipt of prescriptions and retain these records for at least three years.
- Read More: https://www.ftc.gov/news-events/news/press-releases/2024/06/ftc-announces-final-eyeglass-rule-implementing-updates-promote-competition-expand-consumer-choice
- 25 June 2024 – The Consumer Financial Protection Bureau (CFPB) extended compliance dates for the Small Business Lending Rule.
- Impact: Provides additional time for small businesses to comply with new lending regulations, reducing immediate compliance pressure.
- Action Required: Small businesses should adjust their compliance timelines to meet the new deadlines.
- Read More: https://www.consumerfinance.gov/about-us/newsroom/cfpb-extends-compliance-dates-for-small-business-lending-rule/
- 21 June 2024 – The Federal Reserve Board announced that it will extend until September 6, 2024, the comment period on proposal to expand operating days of the Federal Reserve Banks’ two large-value payments services, Fedwire Funds Service and the National Settlement Service.
- Impact: Allows stakeholders more time to provide input on proposed changes, potentially leading to more efficient payment services.
- Action Required: Stakeholders should submit their comments by the new deadline.
- Read More: https://www.federalreserve.gov/newsevents/pressreleases/bcreg20240621b.htm
- 20 June 2024 – The Cybersecurity and Infrastructure Security Agency (CISA) released a guidance on Single Sign-On (SSO) adoption for small and medium-sized businesses..
- Impact: Helps businesses enhance security and simplify access management.
- Action Required: Implement CISA’s SSO recommendations to improve cybersecurity measures.
- Read More: https://www.cisa.gov/news-events/alerts/2024/06/20/cisa-releases-guidance-single-sign-sso-adoption-small-and-medium-sized-businesses-smbs
- 20 June 2024 – The Federal Deposit Insurance Corporation (FDIC) Board of Directors approved the Final Revised Rule to Strengthen Resolution Planning for Large Banks.
- Impact: Strengthens resolution planning requirements, enhancing financial stability.
- Action Required: Large banks must update their resolution plans to comply with the new rule.
- Read More: https://www.fdic.gov/news/press-releases/fdic-board-directors-approves-final-revised-rule-strengthen-resolution-planning
- 18 June 2024 – The Equal Employment Opportunity Commission (EEOC) released a guide on Promising Practices for Preventing Harassment in the Construction Industry.
- Impact: Aims to reduce harassment and improve workplace culture in the construction industry.
- Action Required: Construction companies should implement the recommended practices to prevent harassment.
- Read More: https://www.eeoc.gov/newsroom/eeoc-releases-promising-practices-preventing-harassment-construction-industry
- 18 June 2024 – The FTC submitted a comment supporting a proposed U.S. Patent and Trademark Office (USPTO) rule involving the disclosure of patent settlement agreements.
- Impact: Enhances transparency in patent settlements, promoting fair competition.
- Action Required: Monitor the progress of the proposed rule and prepare for compliance with potential new disclosure requirements.
- Read More: https://www.ftc.gov/news-events/news/press-releases/2024/06/ftc-submits-comment-supporting-proposed-uspto-rule
- 6 June 2024 – The National Credit Union Administration granted a federal charter and Share Insurance Fund coverage to Fair Break Federal Credit Union in Memphis, Tenn.
- Impact: Expands financial services and insurance coverage to a new credit union, promoting financial inclusion.
- Action Required: Stakeholders should engage with the new credit union to explore opportunities and services.
- Read More: https://ncua.gov/newsroom/press-release/2024/ncua-charters-fair-break-federal-credit-union
- 5 June 2024 – The FTC issued final amendments to the Amplifier Rule to make testing methods more useful to consumers.
- Impact: Provides clearer guidelines for amplifier testing, ensuring better consumer information.
- Action Required: Manufacturers should adopt the new testing methods to comply with the updated rule.
- Read More: https://www.ftc.gov/news-events/news/press-releases/2024/06/ftc-issues-final-amendments-amplifier-rule-make-testing-methods-more-useful-consumers
- 5 June 2024 – The Environmental Protection Agency (EPA) launched a public consultation on the proposed requirements to protect workers and consumers from exposure to toxic solvent N-Methylpyrrolidone.
- Impact: Aims to enhance safety measures against toxic exposure, protecting public health.
- Action Required: Participate in the consultation and prepare to implement new safety requirements.
- Read More: https://www.epa.gov/newsreleases/epa-proposes-requirements-protect-workers-and-consumers-exposure-toxic-solvent-n
- 5 June 2024 – The CFPB finalized a rule outlining the qualifications to become a recognized industry standard setting body, which can issue standards that companies can use to help them comply with the CFPB’s upcoming Personal Financial Data Rights Rule.
- Impact: Establishes a framework for industry standards, aiding compliance with data rights regulations.
- Action Required: Organizations should understand the qualifications and seek recognition if applicable.
- Read More: https://www.consumerfinance.gov/about-us/newsroom/cfpb-launches-process-to-recognize-open-banking-standards/
- 4 June 2024 – The FDIC issued a list of banks examined for CRA compliance.
- Impact: Provides transparency on banks’ compliance with the Community Reinvestment Act, impacting community investment strategies.
- Action Required: Banks should review their CRA compliance status and address any deficiencies.
- Read More: https://www.fdic.gov/news/press-releases/fdic-issues-list-banks-examined-cra-compliance-0
- 3 June 2024 – The CFPB created a registry to detect corporate repeat offenders.
- Impact: Enhances regulatory oversight and accountability for corporations with repeated violations.
- Action Required: Corporations should ensure robust compliance programs to avoid repeat offenses.
- Read More: https://www.consumerfinance.gov/about-us/newsroom/cfpb-crea-registro-para-detectar-infractores-corporativos-reincidentes/
Compliance Tips
- FTC Eyeglass Rule: Eye care providers should update practices to ensure patient signatures are obtained and retained for three years, confirming receipt of prescriptions.
- CFPB Small Business Lending Rule: Adjust compliance timelines to meet extended deadlines, ensuring all lending practices adhere to new regulations.
- Federal Reserve Payment Services: Companies involved in frequent acquisitions should be prepared to provide detailed information about their acquisition practices as requested by the FTC and DOJ.
- CISA SSO Guidance: Implement Single Sign-On (SSO) solutions following CISA’s guidelines to enhance cybersecurity measures.
- FDIC Resolution Planning Rule: Large banks should revise resolution plans to align with the strengthened requirements for financial stability.
- EEOC Harassment Prevention Guide: Construction companies should adopt EEOC’s recommended practices to prevent harassment and improve workplace culture.
- FTC Comment on USPTO Rule: Monitor the progress of the USPTO rule and prepare for potential new disclosure requirements for patent settlements.
- NCUA Federal Credit Union Charter: Engage with Fair Break Federal Credit Union to explore new financial services and opportunities.
- FTC Amplifier Rule: Manufacturers should update testing methods to comply with new guidelines, ensuring better consumer information.
- CFPB Industry Standard Rule: Understand the qualifications for becoming a recognized standard-setting body and seek recognition if applicable.
- FDIC CRA Compliance: Review and address any deficiencies in CRA compliance to ensure transparency and meet regulatory expectations.
- CFPB Repeat Offenders Registry: Strengthen compliance programs to avoid repeat offenses and ensure adherence to regulatory standards.
Important Dates to Remember
- 6 September 2024 – Comments due on the proposal by Federal Reserve Payment Services, to ensure your concerns and suggestions are considered.
- 29 July 2024 – Comments due on EPA’s consultation to implement new safety measures for handling N-Methylpyrrolidone.
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