Preservation of Open Competition and Government Neutrality Towards Government Contractors'Labor Relations on Federal and Federally Funded Construction Projects

2001-02-22Executive Order 13202
Signed by: George W. Bush
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Headline: Bars Government from Favoring Union Agreements in Construction Contracts

What it does: Agencies must ensure contract and project documents do not require, forbid, or discriminate over contractors' agreements with labor groups.

Real World Impact:
  • Prevents federal construction contracts from forcing or banning union agreements.
  • Applies the prohibition to projects funded by federal grants and cooperative agreements.
  • Allows agency heads to exempt specific projects for public health or national security threats.
Topics: government contracting, labor relations, construction projects, competition

Summary

This order bars federal authorities from writing construction contract rules that require or forbid contractors to enter into agreements with labor organizations or to discriminate based on such affiliation. It covers contracts awarded by agencies and construction projects funded by federal grants or cooperative agreements.

Agencies must act to enforce this neutrality and may exempt particular projects only for imminent threats to public health or national security. The order says its goals are to promote open competition, reduce costs, expand opportunities for small and disadvantaged businesses, and prevent labor-based discrimination.

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