Business / Community News

Repeal of Rule Preserves Employers’ First Amendment Rights

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(July 17, 2018) Washington, D.C.– NFIB, the nation’s leading small business advocacy organization, lauded the Department of Labor’s decision today to rescind the union persuader rule, a rule that NFIB challenged in a federal district court.

“The Department of Labor’s rescission of the union persuader rule is a relief for many in the small business community,” said NFIB Small Business Legal Center Executive Director Karen Harned. “We have been working to rescind this harmful rule, which puts small businesses who simply do not have the means to employ in-house lawyers or compliance officers at a distinct disadvantage when it comes to dealing with union elections and employee relations.”

The union persuader rule required business owners to publicly report to DOL any communication with outside consultants or legal counsel about employee relations or union organizing. Previously, business owners were only required to report when outside counsel directly communicated with employees.

In April 2016, NFIB filed a lawsuit against the Department of Labor in the United States District Court, Northern District of Texas, Lubbock Division, maintaining that the union persuader rule violated the First Amendment’s guarantee of freedom of speech and right of association.

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