Professional Service Agreement

New Posting Requirement for Federal Contractors and Subcontractors

June 09, 2010

The U. S. Department of Labor has implemented a regulation requiring federal contractors and subcontractors to post a notice advising employees of their rights under the National Labor Relations Act (NLRA). The rule is effective June 21, 2010.

The regulation implements Executive Order 13496 issued by President Obama. The law reverses Executive Order 13201 (the Beck Notice) issued by the Bush Administration which required Federal Contractors to notify employees of their rights not to join unions.

Federal Contractors and Subcontractors are required to post the notice "Employee Rights Under the National Labor Relations Act" in facilities and offices where employees covered by the NLRA perform contract-related activity, including all places where notices to employees are customarily posted.

The notice informs employees of Federal Contractors and Subcontractors of their rights under the NLRA to organized and bargain collectively with their employers and to engage in other protected concerted activity. Additionally, the notice provides examples of illegal conduct by employers and unions, and it provides contact information to the National Labor Relations Board (NLRB), the agency responsible for enforcing the NLRA.

Because the rule broadly defines a "Government Contract" to also include agreements whereby the federal government obtains "fund depository services", the rule will apply to banks and credit unions that have Treasury Tax & Loan accounts with federal government agencies, which provide services related to U.S. savings bonds, or that have other types of government contracts. Accordingly, banks and credit unions that provide these services should post this new notice in addition to all other Federal Contractors.

This new federal poster is available from SESCO for $10.00 plus shipping and may be ordered byclicking HEREor by phone at 423-764-4127.