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President Trump Revokes Obama-Era Protections for Service Workers

In an Executive Order issued yesterday, President Trump revoked Obama-Era Executive Order 13495, which provided some protection – a right of first refusal for continued employment – to qualified service workers when a government contract was replaced with a new contract and successor contractor at the same location.  President Trump’s Executive Order provides no explanation for the revocation, but the move was likely influenced by the new Secretary of Labor, Eugene Scalia.

Executive Order (EO) 13495 and its implementing regulations, applied to any contract or subcontract for services entered into by the Federal Government or its contractors covered by the McNamara-O’Hara Service Contract Act.  It required that qualified workers (non-exempt workers covered by the SCA’s requirements) on a covered contract who stood to lose their jobs due to the completion or expiration of a contract be given a right of first refusal for employment with the successor contractor.  Generally, the successor contractor was prohibited from hiring any new employees under the successor contract until qualified workers performing the prior contact were provided the opportunity to accept a job with the successor.  However, EO 13495 applied only to successor contracts for the performance of the same or similar services at the same location.

The revoked Order required the predecessor contractor to provide written notice to eligible employees either via a conspicuous workplace posting or via notices delivered to the employees individually. Federal contractors are no longer required to post or provide any EO 13495 notices. Please note this revocation does not affect contractor obligations with respect compliance with Executive Order 13496.

President Trump’s Order requires the Labor Secretary and others to “promptly move to rescind any orders, rules, regulations, guidelines, programs, or policies implementing or enforcing Executive Order 13495.”  Significantly, the Order terminates immediately any existing investigations or compliance actions based on EO 13495.

You may recall the President has revoked other Executive Orders entered by President Obama, including the “Blacklisting” Order. and there may be more to come.

Jackson Lewis P.C. © 2020National Law Review, Volume IX, Number 305


About this Author

Laura Mitchell, Jackson Lewis, Management Representation lawyer, Contractual Drafting Attorney

Laura A. Mitchell is a Principal in the Denver, Colorado, office of Jackson Lewis P.C. She represents management exclusively in all areas of employment law, focusing on affirmative action and government contractor compliance.

Ms. Mitchell is a Principal in the firm’s Affirmative Action and OFCCP Defense practice group, representing government and non-government contractors in Office of Federal Contract Compliance Programs (OFCCP) matters, preparing for and defending OFCCP audits, and counseling employers on issues stemming...

F. Christopher Chrisbens, Jackson Lewis, litigation attorney, employment law, intellectual property legal counsel, OFCCP compliance lawyer
Of Counsel

F. Christopher Chrisbens is Of Counsel in the Denver, Colorado, office of Jackson Lewis P.C. Over his years as a litigation attorney, manager, trainer and workplace investigator, Mr. Chrisbens has developed a diverse array of employment law skills serving employers in a variety of legal and corporate settings.

Mr. Chrisbens began his career as a litigator and appellate practitioner in Los Angeles, California, and later returned to Boulder, Colorado where he was partner in a Boulder firm practicing in the areas of commercial, intellectual property and employment litigation.

Mr. Chrisbens joined Jackson Lewis after many subsequent years as the manager of affirmative action planning and OFCCP compliance in both the law firm and employer association settings. He now counsels, represents, and provides training to federal contractors in all facets of affirmative action planning and OFCCP compliance, including all phases of OFCCP compliance audits. Mr. Chrisbens has successfully and efficiently guided many federal contractors through OFCCP audits, including on-site investigations, compensation scrutiny and applicant tracking analyses. Mr. Chrisbens also provides customized on-site affirmative action and investigations training, and frequently accepts speaking engagements on both topics.