With Congress unwilling or unable to pass federal laws in other areas of employment, and federal agencies unlikely to issue broad regulations, the states will take over. The result will be a fragmented legal landscape that will pose significant challenges for businesses as they grapple with a mix of different and even contradictory policies in states where they operate. State policies in four areas will be particularly challenging to navigate: the use of noncompete agreements, paid-leave policies, pay-transparency requirements, and AI regulation.