Labor Department Formally Moves to Rescind "Persuader Rule"
The U.S. Department of Labor has issued a proposed rule to rescind the controversial “persuader rule” issued by the previous administration. AGC plans to submit comments in support of the rescission prior to the August 11 deadline.
The “persuader” rule expands the reporting obligations of labor relations “consultants” – which is broadly defined to include attorneys and associations – who conduct activities to persuade employees about their rights to join a union or bargain collectively, as well as the reporting obligations of employers who receive assistance from such consultants. The rule was expected to have a substantial chilling effect on employers’ willingness and ability to seek needed advice from experts on labor matters.
The rule was issued last year but never implemented, because it was enjoined by a federal district court on a nationwide basis. Long-standing reporting obligations under regulations in place before the Obama Administration’s rulemaking remain in effect. They require reporting only when consultants are hired to communicate directly with employees to persuade them concerning unionization. The enjoined rule would have expanded reporting obligations to situations in which consultants only indirectly communicate with employees, among other things. For more information on the current regulations and the changes imposed by the enjoined rule, click here.
For more info, contact Denise Gold, Associate General Counsel, at firstname.lastname@example.org or (703) 837-5326.
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