Obama Administration Releases Labor Organizing “Persuader Rule”

This week the Department of Labor (DOL) released the anticipated Persuader Rule, which reinterprets longstanding requirements on how employers can seek advice regarding labor organizing activities and when an entity has to disclose its activity to the DOL.

Under the former rules, only those entities who have direct contact with employees regarding labor organizing campaigns had to disclose their activity to DOL.

According to the administration’s fact sheet:  “The Persuader Rule requires employers and their hired consultants to report when the consultants directly persuade workers or when the consultants in one of the following four categories: 1) Plan, direct, or coordinate managers to persuade workers; 2) Provide persuader materials to employers to disseminate to workers; 3) Conduct union avoidance seminars; and 4) Develop or implement personnel policies or actions to persuade workers.

And “The Persuader Rule still exempts agreements by which the consultant agrees to merely provide “advice” to the employer, defined as “recommendations regarding a decision or course of conduct.” The Rule also exempts any agreement that involves only the provision of legal services.”

The rule will go into effect 30 days post publishing in the Federal Register, in late April, and will be applicable to arrangements and agreements on persuader type activity made on or after July 1, 2016.  National Association of Manufacturers is exploring all options on Capitol Hill and through the courts to push back on this latest regulation.

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