government contractor and technology; emerging growth companies
tax; business advisory
Abstract:
A new rule published by the Department of Labor (DOL) will take effect June 21, 2010. The rule requires some government contractors to post notices and include specific language in their contracts, informing the employees of certain rights. This notification that needs to be posted physically and electronically refers to employee rights under the National Labor Relations Act. This rule affects contracts solicited on or after June 21, 2010. Therefore, current contracts are not affected.
The rule applies to government contracts over $100,000. Subcontractors, regardless of their tier level, with subcontracts of at least $10,000 are also affected by the new rule. The notice must be posted physically and electronically where like notices are customarily posted. If physically posted, the notice should be in an area where employees engage in activities relating to the performance of the contract. If the notification is electronic, it must include a link to the DOL website where full text concerning the notice can be found.
The rule applies to government contracts over $100,000. Subcontractors, regardless of their tier level, with subcontracts of at least $10,000 are also affected by the new rule.
The content of the notice informs the employees of their general rights under the National Labor Relations Act. Some subjects that are included in the notice are:
• collective bargaining with an employer
• union-related matters
• concerted activities with coworkers
• strike/picketing
• filing of a grievance if an employee believes his/her rights have been violated