An Obama administration rule that would require federal contractors and subcontractors to disclose past labor-law violations puts the contractor groups and organized labor at odds. The contractors hope a preliminary injunction temporarily halting the rule is a signal that their challenge to the regulation will prevail. But organized labor opposes that view and wants to see the rule take effect.
Judge Marcia Crone, of the U.S. District Court for the Eastern District of Texas, on Oct. 24 ruled that, if it were to take effect, the Fair Pay and Safe Workplaces regulation would cause “irreparable harm” to contractors and subcontractors. The rule, which contractors have dubbed the “blacklisting” regulation, had an effective date of Oct. 25.