Making Sense of Trends in Modern Workplace Disputes

In a recent webcast on the Lex Machina 2026 Employment Litigation Report, product experts and leading practitioners convened to discuss what the data shows in recent federal labor and employment disputes, and how employers can translate those shifts into strategy.  

Request your copy of the report now on  the Lex Machina Litigation Reports page. You can also view a recording of the webcast here immediately following registration.  

Sara Allyn Liva, a legal data expert for Lex Machina, spoke with Daniel Cotter, member of Aronberg Goldgehn Davis & Garmisa in Chicago, and Preston Satchell, content manager for labor and employment resources in LexisNexis Practical Guidance. 

Panelists explored how total federal employment filings have rebounded from the pandemic era, but the mix of claims is changing quickly. Federal wage-and-hour lawsuit filings continue to fall, while FMLA, discrimination, and disability accommodation filings are moving in the opposite direction. For employers and counsel tracking employment law trends, understanding that composition shift is crucial to assess workplace liability risks in the 2020s. 

FLSA Lawsuits on Decline 

Federal claims under the Fair Labor Standards Act have trended downward over the past decade, with only a brief disruption around the pandemic years. Panelists connected that decline predominantly to the increasing prevalence of arbitration. 

“Arbitration is a major driver, and perhaps the leading one,” said Cotter, who also serves as an arbitrator for the American Arbitration Association. “Companies have been increasingly successful in having their motions to compel arbitration granted by judges in both state and federal courts.” 

As more employers embed enforceable arbitration clauses in employment agreements and handbooks, fewer wage-and-hour disputes show up as public court filings.  

Preston Satchell agreed the direction is unlikely to reverse without a meaningful policy change or shift in case law. “Arbitration clauses and internal dispute resolution remain widely used, which can divert many FLSA claims away from federal courts and into private processes,” said Satchell. “Enhanced compliance efforts by employers based on past litigation experience also can reduce the incidence of violations that would give rise to lawsuits.” 

See in Lexis Practical Guidance: Employment Litigation Resource Kit; New Content Resource Kit: Labor & Employment. 

Disability Accommodation Filings Rise  

In contrast, disability accommodation litigation surged. From 2016 through 2022, filings remained relatively stable. Beginning in 2023, filings increased sharply and reached 6,785 cases. 

Dan Cotter pointed to overlapping drivers that align with workplace reality since 2020, including health issues associated with “Long Covid”, mental health accommodation disputes, and an aging workforce.  

“Post-pandemic workplace practices, including work from home, have also given employers and workers new issues to tussle about when it comes to requests for accommodations,” said Cotter. He also noted that large damage awards can influence plaintiff behavior. 

“There’s also a ‘success begets success’ type of phenomenon taking place in this arena,” said Cotter, noting a string of eight-figure jury verdicts for disability accommodations plaintiffs since 2020. 

FMLA Filings Accelerated 

Family and Medical Leave Act litigation followed a similar trajectory. After years of relative stability in the low 3,000s, filings rose sharply after the pandemic and reached 4,707 cases in 2025. Panelists tied the increase to broader workplace health and caregiving pressures. 

“To a certain extent, the factors behind the increase in disability accommodations lawsuits also apply to FMLA lawsuits,” said Preston Satchell. 

See Practice Notes in Lexis Practical Guidance: Settlement Agreements: Initial Assessment, Drafting, and Negotiating Techniques (Pro-Employer); Settlement Agreements: Negotiation Techniques (Pro-Employee). 

Discrimination Filings Reach Highs 

Federal employment discrimination filings have exceeded historical averages since 2022. In 2025, filings topped 20,000 for the first time in at least 15 years. 

Dan Cotter pointed to developments in Supreme Court case law that have affected how claims are framed and how courts evaluate them, including decisions such as in Ames v. Ohio, 605 U.S. 303, 305 (2025) and Muldrow v. St. Louis, 601 U.S. 346, 350 (2024) that effectively reinforced routes of recovery for Title VII discrimination plaintiffs.  

Pro Se Filings Increase with AI Use 

Another striking development is the growth in self-represented plaintiffs. From 2021 through 2025, pro se employment filings more than doubled. By 2025, more than 16 percent of federal employment lawsuits were filed without counsel. 

Sara Liva described how growth among unrepresented plaintiffs outpaced growth among represented filings, but pro se plaintiffs’ results have remained stark. From 2023 through 2025, pro se plaintiffs lost on the merits at a ratio greater than 40 to 1. 

“Artificial intelligence has democratized employment law practice. The difficulty is that there are subtleties, exceptions and judgment calls that are needed especially when representing employees,” said Preston Satchell. “Regardless, many unrepresented plaintiffs for better or worse feel comfortable relying on AI to compose their legal documents. For most, they are probably unaware of their severely reduced odds for recovery.”  

That said, even the most obvious of AI-generated output requires careful responses. 

“Even AI-generated briefs and pleadings must be responded to, and that takes lawyers’ time,” said Dan Cotter.  

Outcomes And Timing Shape Case Strategy 

Settlement remains the most common resolution in federal employment litigation, though a smaller proportion of employment cases settle compared to certain other civil categories. 

Cases that reach trial often take close to three years. Even a defense win through dispositive motion practice often takes about two years from the case’s initiation.  

“Implement arbitration clauses where possible, conduct early fact investigation, and develop a plan for dispositive motions from the outset,” said Dan Cotter. 

Turning Litigation Data Into Decisions 

For employers and counsel, recent employment litigation trends demonstrate the rapidly shifting liability risk profiles for modern employers. Is your team ready to take the next step? Schedule a Lex Machina demonstration today.