Yesterday, June 27, 2016, the Northern District Court of Texas issued a nationwide injunction against the Department of Labor’s (DOL) Persuader Rule. The Court’s conclusion defined the rule as “defective to its core because it entirely eliminates the Labor Management Reporting Disclosure Act’s (LMRDA) advice exemption.” This injunction will prevent the DOL’s Persuader Rule from going into effect Friday, July 1, 2016, and will for the time being, relieve employers from having to comply with the new burdensome regulation.
The Persuader Rule, a regulatory priority for the DOL, was set to go into effect this Friday, and would demand employers as well as their advisors (i.e. attorneys and consultants) to file public reports with the DOL disclosing any conversations that incidentally “persuades” employees upon union organizing or collective bargaining. Furthermore, the regulation changes the federal disclosure rules which would make it extremely difficult for employers to obtain confidential legal advice or similar advice regarding labor and employee relations issues. This would lead to complications with the employer’s ability to discuss employee relations and legally communicate with employees about unionization.
Argentum is continuing to monitor this issue and will keep you updated regarding any changes. For more information please contact Alexis de Armas.
Since 1990, Argentum has advocated for choice, accessibility, independence, dignity, and quality of life for all older adults. Argentum’s programs promote business and operational excellence designed to foster innovation and entrepreneurism in the field of senior living.
Alexis de Armas, Director of Government Relations
Argentum – Expanding Senior Living
703.562.1178 | email@example.com
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