Federal Judge Puts the Brakes on DOL’s “Persuader Rule”
Last Wednesday, Federal District Court Judge Sam Cummings ruled in favor of the National Federation of Independent Business’ (NFIB) motion for a permanent injunction on the Department of Labor’s (DOL) new “persuader rule.” This essentially blocks the DOL from implementing its new rule in light of Donald Trump’s election to the White House.
Judge Sam Cummings had placed a temporary hold on the “persuader rule” earlier this summer due to concerns that it violated attorney-client privilege and possibly the First Amendment. Effectively, the rule would have forced employers to publically report to the DOL when they receive advice from a lawyer on matters that would “affect an employee’s decisions regarding his or her representation or collective bargaining rights.” Business friendly groups, including the NFIB, recognized the DOL’s persuader rule as another tool labor unions could use to undermine the ability of employers to persuade their workers not to join a union.
Throughout his eight years in office, President Obama used the DOL to wind back the clock and reassert the power of union bosses over employers and their workers, even as labor unions continue to fall out of popularity. President-elect Trump should officially withdraw the persuader rule from the DOL, along with many others, including the overtime rule, soon after he takes office.