Legislative Update

Posts Tagged 'Persuader Rule'

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Court Blocks DOL's Final Persuader Rule

On March 23, the DOL issued its final persuader rule, officially titled the Interpretation of the 'Advice' Exemption in Section 203(c) of the Labor-Management Reporting and Disclosure Act (LMRDA), which drastically redefines "persuader" activity under Section 203 of the LMRDA. On June 27, the U.S. District Court for the Northern District of Texas issued a nationwide preliminary injunction that blocked the DOL from implementing the final persuader rule, which was scheduled to take effect  July 1. On Nov. 16, the court found the rule to be unlawful and permanently blocked it from going into effect. 

Persuader Rule Update

March 2014 - In November 2013, the Department of Labor announced its final rule regarding the Persuader Rule would be issued March 2014; however, the department has recently postponed their decision.

DOL Persuader Rule Would Threaten U.S. Business

The Department of Labor ("DOL") intends to implement a new rule that would reverse the DOL’s longstanding interpretation of the advice exemption to the Labor-Management Reporting and Disclosure Act ("LMRDA") and expand the scope of employer activities that would trigger reporting requirements under the LMRDA. The so-call "persuader" rule is a linchpin of organized labor’s efforts to increase union membership. This proposed change, which the DOL seeks to implement by November 2013, is expected to have a significant impact on employers and others, including employer associations and attorneys who provide advice to employers in labor and employment matters. As union membership and interest in organizing has waned, this is yet another attempt by organized labor to remain relevant.

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