Blacklisting Rule Under Attack in Federal Court as Effective Date Approaches

October 21, 2016

With the Fair Pay and Safe Workplaces (a.k.a., Blacklisting) Executive Order taking effect on October 25, the Associated Builders and Contractors recently filed suit in a federal district court in Texas, seeking a preliminary injunction against it, as HR Policy and other business groups consider filing a separate suit soon. The court was set to hear arguments today on whether to halt the order before it takes effect.  There is a very high bar for such a preemptive action, so even if the request fails, the Order can still be struck down at a later date.  The Blacklisting Executive Order ties alleged violations of virtually all federal employment laws and their state counterparts to the awarding of federal contracts, imposing substantial and costly reporting requirements.  HR Policy is working closely with a coalition that includes the U.S. Chamber of Commerce and the National Association of Manufacturers in considering a challenge in a different federal court to ensure ultimate review by the U.S. Supreme Court.