The first executive order, E.O. 13494 , prevents federal contractors from seeking reimbursement through federal contracts for expenses associated with attempting to influence or prevent union organizing efforts. The order will apply only to contracts resulting from solicitations issued on or after the effective date of Federal Acquisition Regulations (FAR) implementing this order, which will be issued by the FAR Council not later than 150 days from January 30, 2009.
The second executive order, E.O. 13495 , applies to contracts subject to the Service Contract Act (SCA). The order requires, with few exceptions, that a successor contractor that acquires a service contract provide predecessor contractor employees (except supervisory or managerial employees) a right of refusal of employment under the contract. The successor contractor still retains the authority to "determine the number of employees necessary for efficient performance" of the contract and can elect to employ fewer workers than the previous contractor. Additionally, a successor contractor may also retain an employee who has been with the successor contractor for at least three months prior to the start of the contract in place of a predecessor contractor employee if the successor contractor's employee would otherwise face lay-off or discharge. A successor contractor is also not required to offer a right of first refusal to any employee not covered by the SCA or any employee it reasonably believes has failed to perform suitably on the job. The new requirements will apply to solicitations issued on or after the effective date of the FAR regulations implementing this order, which will be issued by the FAR Council not later than 150 days from January 30, 2009.
The third executive order, E.O. 13496 , requires federal contractors to post a notice informing workers of their rights under the federal labor laws. The order also rescinds an executive order, signed by former President Bush, that required federal contractors to post a notice of an employees' right to refuse to join a union (commonly referred to as the "Beck" notice). The form and content of the notice of employee rights will be determined by the Secretary of Labor and will be the subject of a rulemaking proceeding that will begin within 120 days from January 30, 2009.