New Employee Rights Poster for Federal Contractors

Pursuant to Executive Order 13496, and its implementing regulations 29 CFR, Part 471, federal contractors and subcontractors must notify employees about their rights under the National Labor Relations Act (NLRA) as of June 21, 2010. The NLRA is the primary law governing relations between unions and employers in the private sector and guarantees the right of employees to organize and bargain collectively with their employer and to engage in other protective concerted activity with or without a union, or to refrain from all such activity.

This new posting requirement applies to all government contractors with contracts in excess of $100,000 and subcontractors with contracts in excess of $10,000. This new Executive Order was signed by President Obama shortly after his inauguration on Jan. 30, 2009.

Content of Notice

The required notice lists employees' rights under the NLRA to form, join and support a union and to bargain collectively with their employer; provide examples of unlawful employer and union conduct that interferes with those rights; and indicates how employees can contact the National Labor Relations Board (NLRB), the federal agency that enforces those rights, with questions or to file complaints. The text of the employee notice and the provisions that must be inserted by federal contractors and subcontractors is set forth in 29 CFR, pt. 471, Appendix A.

Physical and Electronic Posting

Contractors and subcontractors must post the employee notice conspicuously in and around their plants and offices so that it is prominent and readily seen by employees. In particular, contractors and subcontractors must post the notice where other notices to employees about their jobs are posted.

Additionally, contractors and subcontractors who post notices to employees electronically must also post the required notice electronically via a link to the ADL Web site. When posting electronically, the link to the notice must be placed where the contractor customarily places other electronic notices to employees about their jobs. The link can be no less prominent than other employee notices. Electronic posting cannot be used as a substitute for physical posting.

The new employee notice can be accessed at www.dol.gov/olms/regs/compliance/employeerightsposter 11x17_final.pdf.

Where significant portions of a contractor or subcontractor's work force are not proficient in English, they must provide the employee notice in languages spoken by employees. The Office of Labor and Management Standards (OLMS) will provide translations of the employee notice that can be used to comply with the physical and electronic posting requirements.

Employees may file complaints with the Department of Labor about contractors and subcontractors who do not comply with the posting requirements or who do not include the notice provision in contracts and subcontracts. If a complaint is filed, the Office of Federal Contract Compliance Programs (OFCCP) may conduct evaluations to determine compliance. Contractors who violate the regulations may be subject to sanctions for noncompliance, including suspension or cancellation of an existing contract; debarment from future federal contracts and subcontracts; and inclusion on a list published and distributed
by OLMS to all executive agencies listing the names of contractors and subcontractors declared ineligible for future contracts as a result of noncompliance.

Kevin McCormick, a member of this newsletter's Board of Editors, is a Partner in the Baltimore office of Whiteford Taylor Preston, LLP. He provides advice and counsel to public and private employers on all phases of the employment relationship.

Pursuant to Executive Order 13496, and its implementing regulations 29 CFR, Part 471, federal contractors and subcontractors must notify employees about their rights under the National Labor Relations Act (NLRA) as of June 21, 2010. The NLRA is the primary law governing relations between unions and employers in the private sector and guarantees the right of employees to organize and bargain collectively with their employer and to engage in other protective concerted activity with or without a union, or to refrain from all such activity.

This new posting requirement applies to all government contractors with contracts in excess of $100,000 and subcontractors with contracts in excess of $10,000. This new Executive Order was signed by President Obama shortly after his inauguration on Jan. 30, 2009.

Content of Notice

The required notice lists employees' rights under the NLRA to form, join and support a union and to bargain collectively with their employer; provide examples of unlawful employer and union conduct that interferes with those rights; and indicates how employees can contact the National Labor Relations Board (NLRB), the federal agency that enforces those rights, with questions or to file complaints. The text of the employee notice and the provisions that must be inserted by federal contractors and subcontractors is set forth in 29 CFR, pt. 471, Appendix A.

Physical and Electronic Posting

Contractors and subcontractors must post the employee notice conspicuously in and around their plants and offices so that it is prominent and readily seen by employees. In particular, contractors and subcontractors must post the notice where other notices to employees about their jobs are posted.

Additionally, contractors and subcontractors who post notices to employees electronically must also post the required notice electronically via a link to the ADL Web site. When posting electronically, the link to the notice must be placed where the contractor customarily places other electronic notices to employees about their jobs. The link can be no less prominent than other employee notices. Electronic posting cannot be used as a substitute for physical posting.

The new employee notice can be accessed at www.dol.gov/olms/regs/compliance/employeerightsposter 11x17_final.pdf.

Where significant portions of a contractor or subcontractor's work force are not proficient in English, they must provide the employee notice in languages spoken by employees. The Office of Labor and Management Standards (OLMS) will provide translations of the employee notice that can be used to comply with the physical and electronic posting requirements.

Employees may file complaints with the Department of Labor about contractors and subcontractors who do not comply with the posting requirements or who do not include the notice provision in contracts and subcontracts. If a complaint is filed, the Office of Federal Contract Compliance Programs (OFCCP) may conduct evaluations to determine compliance. Contractors who violate the regulations may be subject to sanctions for noncompliance, including suspension or cancellation of an existing contract; debarment from future federal contracts and subcontracts; and inclusion on a list published and distributed
by OLMS to all executive agencies listing the names of contractors and subcontractors declared ineligible for future contracts as a result of noncompliance.

Kevin McCormick, a member of this newsletter's Board of Editors, is a Partner in the Baltimore office of Whiteford Taylor Preston, LLP. He provides advice and counsel to public and private employers on all phases of the employment relationship.