The Department of Labor today began the process of formally rescinding the Obama administration’s final “persuader” rule. The proposal to withdraw the rule is expected to be published in the Federal Register in the coming weeks, where it will be open to public comment.
As reported previously in NAHBNow, the association scored a major legal victory last November when the U.S. District Court for the Northern District of Texas granted NAHB, the Texas Association of Builders, the National Federation of Independent Business and other Texas business groups a permanent stay of the persuader rule.
The rule would unfairly discourage employers from receiving confidential legal advice concerning union organizing because it required employers to disclose the names of lawyers and consultants to the Department of Labor.
In short, unions were seeking to prevent employers from talking to their lawyers in response to union organizing. The court ruling essentially put an end to the union effort.
Rather than appeal the Texas court’s decision, the administration has decided to rescind the rule in its entirety.
For more information, please contact Amy Chai at 800-368-5242 x8232 or Alexis Moch at x8407.