Trump Rescinds Fair Pay & Safe Workplace Rule

This week President Trump made good on his promise of weakening federal requirements on employers when he rolled back the 2014 Fair Pay & Safe Workplaces rule.  One of President Obama’s multitude of Executive Orders intended to punish employers for engaging in various acts of discrimination or labor law violations, the Fair Pay & Safe Workplaces rule required that federal contractors bidding on larger federal contracts disclose their labor law violations to the government as part of the bidding process.  The idea is that bad acting contractors would then hurt their chances of being awarded the federal contract.  It also provided unions with fodder they otherwise would not have access to regarding employers’ labor law violation history.  Industry groups have been referring to the requirement antagonistically as the “blacklisting rule.”

In October a federal judge in Texas blocked the rule from taking effect.  Since then Congress passed the Congressional Review Act that, in part, rescinded the Fair Pay & Safe Workplaces rule.  And earlier this week President Trump signed the legislation, essentially keeping the court’s injunction in place indefinitely.  The result is the “blacklisting rule” is kaput, likely to the delight of federal contractors.

 
 
Thompson Coe’s Tips of the Week are not intended as a solicitation, do not constitute legal advice and do not establish an attorney-client relationship.