Contractors Must Inform Workers of Their Right to Join a Union
May 25, 2010
by Richard L. Connors
Stinson Morrison Hecker LLP
Copyright © 2010
Many federal contractors and subcontractors will soon be required to post a new workplace poster that notifies their employees of their rights under federal labor law – including the right to "organize a union," to discuss terms and conditions of employment or union organizing with co-workers or a union, and to "take action" by raising work-related complaints and "seeking help from a union" – under a final rule issued by the U.S. Department of Labor (DOL) on May 20, 2010.
President Obama’s Executive Order – The new requirement is the result of an Executive Order signed by President Obama on January 30, 2009. The Executive Order requires nonexempt federal departments and agencies to include within their government contracts specific provisions requiring contractors and subcontractors to post notices informing their employees of their rights under federal labor laws.
Covered Contracts – Generally, the new rule applies to non-exempt federal contracts of $100,000 or more issued after June 21, 2010 and applies to both the government contractor and its subcontractors at any tier (except subcontracts that do not exceed $10,000). However, contracts and subcontracts for work performed exclusively outside the territorial United States are not covered by the new rule.
Content of Poster – The required 11"×17" poster lists employees’ rights under the National Labor Relations Act "to form, join, and support a union and to bargain collectively with their employer; provides examples of unlawful employer and union conduct that interferes with those rights; and indicates how employees can contact the National Labor Relations Board with questions or to file complaints."
Where to Obtain the New Poster – A poster with the required employee notice is available at the DOL Office of Labor-Management Standards’ website.
- Translated Posters: "Where a significant portion of a contractor’s or subcontractor’s workforce is not proficient in English, they must provide the employee notice in languages spoken by employees. The DOL will provide translations of the employee notice that can be used to comply with the physical and electronic posting requirements."
- May Reproduce Posters: "Contractors may reproduce and use exact duplicate copies of the DOL’s official poster."
Where to Physically Post the New Poster – "A contractor or subcontractor that posts notices to employees physically must also post the required notice physically." The employee notice must be placed:
- "In conspicuous places in and about the contractor’s plants and offices so that the notice is prominent and readily seen by employees. Such conspicuous placement includes, but is not limited to, areas in which the contractor posts notices to employees about the employees’ terms and conditions of employment;" and
- "Where employees covered by the National Labor Relations Act engage in activities relating to the performance of the contract. An employee will be considered to be so engaged if the duties of the employee’s position include work that fulfills a contractual obligation, or work that is necessary to, or that facilitates, performance of the contract or a provision of the contract."
Electronic Posting – A contractor or subcontractor that customarily posts notices to employees electronically must also post the required notice electronically.
- Website: "Such contractors or subcontractors satisfy the electronic posting requirements by displaying prominently on any web site that is maintained by the contractor or subcontractor, whether external or internal, and customarily used for notices to employees about terms and conditions of employment, a link to the DOL’s website that contains the full text of the poster."
- Link: The link to the DOL website must read, "Important Notice About Employee Rights to Organize and Bargain Collectively with Their Employers." The link can be no less prominent than other employee notices. Electronic posting cannot be used as a substitute for physical posting.
Complaints – "Employees may file complaints with the DOL about contractors and subcontractors who do not comply with the DOL posting requirements or do not include the notice provisions in contacts or subcontracts."
Investigations and Sanctions for Noncompliance – The DOL’s Office of Federal Contracts Compliance Programs "may conduct evaluations to determine compliance. Contractors who violate the regulations may be subject to sanctions for non-compliance, including suspension or cancellation of an existing contact; debarment from future Federal contracts and subcontracts; and inclusion on a list published and distributed by the Director of OLMS to all executive agencies listing the names of contractors and subcontractors declared ineligible for future contracts as a result of non-compliance with these requirements. A contractor will have an opportunity for a hearing and an appeal before the imposition of any sanctions."
Additional Resources – A helpful Fact Sheet and the new poster may be downloaded from the DOL Office of Labor-Management Standards website.
Richard L. Connors is an attorney with Stinson Morrison Hecker LLP, one of the country's largest law firms with more than 300 attorneys in more than 45-industry-focused areas. Mr. Connors represents management exclusively in employment and labor law.
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