Through a new Executive Order, President Biden has revived and revamped the Obama-era requirement that successor contractors with Service Contract Act contracts hire their predecessor’s employees.
In 2009, President Obama issued Executive Order 3495, “Nondisplacement of Qualified Workers under Service Contracts,” which provided protection in the form of a right of first refusal for continued employment to qualified service workers when a government contract was replaced with a new contract and a successor contractor at the same location. EO 13495 and its implementing regulations applied to any contract or subcontract for services entered into by the federal government or its contractors covered by the McNamara-O’Hara Service Contract Act (SCA). EO 13495 required that qualified workers, i.e., non-exempt workers covered by the SCA’s requirements on a covered contract who stood to lose their jobs because of the completion or expiration of a contract be given a right of first refusal for employment with the successor contractor.
Generally, the successor contractor was prohibited from hiring any new employees under the successor contract until qualified workers performing the prior contract were provided the opportunity to accept a job with the successor. EO 13495 applied only to successor contracts for the performance of the same or similar services at the same location. In October 2019, President Trump revoked EO 13495 on October 31, 2019 through Executive Order...
By Musa Ubandawaki, Sokoto SOKOTO:– The lingering contest over project ownership between the administrations of Senator Aliyu Magatakarda Wamakko and Senator Aminu Waziri Tambuwal has once again s...