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North American Edition
17th July 2026
 
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THE HOT STORY

Sonderling aims for Labor Secretary role

During a Senate confirmation hearing, Keith Sonderling, President Donald Trump's nominee for Labor Secretary, emphasized his extensive experience in labor law. He has served as acting secretary since April, following Lori Chavez-DeRemer's departure. "Few people have had the opportunity to experience the department from so many perspectives," Sonderling said. Despite his qualifications, he faced criticism from Democratic senators, particularly Patty Murray, who expressed concerns over the rescinding of a Biden-era overtime pay rule that could have benefited 4m workers. Murray warned that confirming Sonderling might lead to further erosion of worker protections. Sonderling also addressed concerns about the management of Department of Education grants and the impact of artificial intelligence on jobs, stating: "What we believe we're going to see is that AI-impacted jobs can potentially make you more productive." He is expected to be confirmed despite the contentious hearing.
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WORKFORCE

Unemployment claims hit 10-week low

Filings for unemployment benefits in the U.S. decreased to 208,000 for the week ending July 11, marking the lowest level in 10 weeks, according to the Labor Department. This figure is significantly below the 219,000 applications predicted by analysts from FactSet. The decline in jobless claims suggests a stable job market, despite a slowdown in hiring, with only 57,000 jobs added in June. The unemployment rate slightly decreased to 4.2%, primarily due to many individuals ceasing their job search. Notably, companies like Microsoft announced job cuts, with 4,800 positions eliminated, reflecting ongoing caution in the labor market.

Trump's $100k green card bond proposal

The Trump administration is considering a $100,000 bond for green card applicants to ensure they are “financially self-sufficient” and contribute positively to society, according to State Department spokesperson Tommy Pigott. The initiative aims to enforce U.S. immigration laws and protect public benefits from potential burdens posed by immigrants with significant medical needs. Pigott stated: “We are working closely with the Department of Homeland Security to introduce commonsense and effective procedures.” The proposed bond would be collected from applicants or their U.S.-based family members and returned later. This follows a previous attempt to impose a similar fee for H-1B visa applications, which was blocked by a federal judge. The administration's focus on financial requirements reflects ongoing efforts to tighten immigration policies.

Talent is the new gold rush

Worker shortages in the U.S. have improved since the pandemic, yet companies still seek skilled employees. "Talent is always the No. 1 site selection criterion," said Larry Gigerich, executive managing director of Ginovus. States are actively promoting their talent pools to attract businesses, with workforce quality being a significant factor in CNBC's annual America's Top States for Business study, which accounts for 13.8% of a state's score. States like Virginia, Colorado, and Florida are making strides in workforce education and training, while Texas leads in attracting workers. Despite progress, challenges remain, particularly in matching skills with job openings.

TSA nominee defends private screening plan

During a Senate confirmation hearing, David Cummins, President Donald Trump's nominee to lead the Transportation Security Administration (TSA), addressed concerns regarding the expansion of the Screening Partnership Program, which allows private contractors to conduct airport screenings. Cummins emphasized that the program is “pro-worker” and will not threaten TSA's workforce, which consists of about 60,000 employees. He stated: “The challenges ahead are significant,” but highlighted the potential for transformation as the TSA approaches its 25th anniversary. Cummins also expressed his commitment to supporting TSA employees, pledging to visit airports and ensure they feel protected. He supports the bipartisan Keep America Flying Act to guarantee pay during funding lapses, stating: “There is too much at stake” to leave the agency vulnerable to political issues.
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HEALTH & WELLBEING

States target big employers on Medicaid

As the Trump administration's January deadline for Medicaid work requirements approaches, some state lawmakers are advocating for transparency by publicly naming large companies with employees enrolled in Medicaid. California's Democratic state Sen. Lola Smallwood-Cuevas expressed concern, stating: “We think this is a bill that's about fairness.” Nearly 5m Medi-Cal recipients will be affected by the new rules. Companies like Walmart and Amazon have been highlighted for their high numbers of Medicaid enrollees, with Walmart's spokesperson asserting that they provide affordable healthcare options. The push to identify these employers aims to address the burden on taxpayers who subsidize healthcare for low-wage workers. Yvanna Cancela, a former Nevada lawmaker, emphasized the need for dialogue about the economy, questioning the fairness of full-time workers lacking health insurance. The situation reflects broader issues of healthcare access and economic stability.

Health insurance premiums set to soar

Employers in California are preparing for a significant increase in health insurance premiums, projected to exceed $30,000 for family coverage by 2027. According to a survey by PwC, medical service and prescription drug costs are expected to rise by 9%, marking the highest increase since 2011. Glenn Melnick, a USC professor of healthcare finance, stated, “It's going to erode the standard of living for lots of California families.” The rising premiums are impacting wages and forcing some businesses to reduce employee hours or increase prices for consumers. The California Healthcare Foundation reported that excessive profits and administrative waste account for a significant portion of healthcare spending. Additionally, a new tax on private plans to support Medi-Cal is expected to further increase premiums, costing families an estimated $400 next year.
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HIRING

ICE expands workforce amid scrutiny

Immigration and Customs Enforcement (ICE) is rapidly expanding its workforce, hiring thousands of new officers as part of the Trump administration's immigration enforcement strategy. This surge, fueled by billions in funding from Congress, has raised concerns about the agency's hiring practices and the vetting of new recruits. "This expansion of a well-trained and well-vetted workforce will help further ICE's ability to execute the president's and secretary's bold agenda," said Todd Lyons, ICE's former acting director. However, reports indicate that some applicants may not have undergone thorough background checks. Additionally, there are worries about a reduction in training for new officers, with claims that the agency has shortened training programs to expedite hiring. Homeland Security Secretary Markwayne Mullin announced an increase in training duration from 42 to 72 days, addressing some of these concerns.
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LEGAL

Two ex-TD Bank employees sentenced

Two former TD Bank employees, Wilfredo Aquino and Edward Low, were sentenced for their involvement in financial crimes that defrauded customers and moved millions through the bank. Aquino received 46 months for facilitating a money laundering network that processed approximately $474m, while Low was sentenced to 24 months for wire fraud and falsifying bank records. Aquino exploited his role as an assistant store manager, processing over $92m in checks without reporting suspicious activity, despite warnings. Low accepted bribes and stole confidential customer information, facilitating $484,572.16 in fraud.
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TRAINING & DEVELOPMENT

Skills should define education quality

Charla Long, president of the Competency-Based Education Network, argues that new federal accountability rules linking student-loan eligibility to graduate earnings offer only a narrow measure of educational value. While earnings provide useful initial data, they overlook whether graduates possess transferable skills that support long-term mobility. Long says institutions should measure competencies rather than rely on degree prestige, classroom time or starting salaries. “Focusing on what people know and can do will help ensure learners and our economy succeed,” she writes. Competency-based education can make credentials clearer, help employers verify capabilities and enable states to assess whether programmes meet regional workforce needs.
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STRATEGY

Verizon to sell stores and cut jobs in restructuring

Verizon has announced plans to sell 274 company-owned retail stores and eliminate around 500 corporate roles as part of an ongoing restructuring, affecting approximately 3,000 retail and corporate employees. Following the transaction, which is expected to complete on August 16, the U.S. telecoms group will retain around 1,000 company-owned stores, with many of the divested locations expected to continue operating under franchise owners. The move follows previous job cuts and store sales as Verizon seeks to streamline operations in the highly competitive U.S. wireless market.
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PRODUCTIVITY

Nadella criticizes Anthropic's AI limits

In a recent meeting, Microsoft chief executive Satya Nadella expressed concerns about the restrictions imposed by Anthropic on its Fable generative AI model. He stated: “It doesn't make sense,” referring to the limitations on user requests. Nadella emphasized the need for companies to develop cost-efficient AI models without relying solely on major players. He also highlighted the importance of unifying Microsoft's Copilot AI for both consumers and corporate workers, a move he believes should have been made earlier. Despite a $5bn investment in Anthropic, Microsoft is exploring its own AI models amid concerns about competition and market dynamics. Nadella's remarks reflect a push for broader access to AI capabilities, stating: “It can't be that there are only two companies in the world with token capital.”
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INTERNATIONAL

Obesity deepens Britain’s worklessness crisis

University of York research suggests that more than 600,000 people in Britain may be unemployed because of obesity, highlighting significant consequences for productivity and public spending. Analysis of 284,258 UK Biobank participants found obesity reduced the likelihood of employment by 4.2 percentage points, with a stronger effect among men at 6.6 points compared with 2.1 points for women. Lower education levels were also linked to greater employment risks, while having a degree appeared to offer some protection. Lead author Dr Aharon Katz said: “Tackling obesity isn’t just a health imperative, it’s an opportunity to boost economic productivity.” Researchers called for targeted workplace policies that challenge discrimination and improve inclusion. Separate findings showed weight-loss injections reduced sickness absence by 45% after nine months and long-term absences by 56%. With two in three UK adults overweight or obese, policymakers are exploring treatments to help unemployed people return to work, although NHS access remains limited.

Germany backs flexible job trials

Germany’s cabinet has approved Labour Minister Bärbel Bas’s proposal allowing employees to test a potential new job for up to four weeks, or six weeks exceptionally, without immediately resigning or accepting a permanent offer. The “job-to-job trial” is designed to move skilled workers quickly from declining industries into sectors facing shortages. Bas said workers should be able to change industries “quickly and easily” when companies cut jobs. The legislation would also make digital communication standard for unemployment benefit recipients, ending the requirement to remain available for postal correspondence. Further measures include video access to employment agencies, digital-first applications and reduced workplace-safety administration, potentially removing up to 123,000 safety officer roles in smaller businesses.
 
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