The Department of Labor-Management Standards’ (“OLMS”) final “Persuader” rule, issued on March 23, 2016, will have a significant impact on both employers and their labor counsel during unionization campaigns. The rule is the most recent attempt by the current administration to strengthen labor unions.
The Persuader rule requires an employer to disclose details about its relationships with outside consultants—including third-party attorneys—engaged to assist in certain activities during unionization campaigns. Unlike the current rule, the revised Persuader rule requires disclosure regardless of whether the consultant or attorney has direct contact with the employees. As a result, the rule will require law firms who assist employers in such activities to disclose the relationship and their fees.
This article focuses on the Persuader rule and how it represents a major change to the Advice Exemption, potential challenges to the implementation of the rule, and the rule’s impact on employers and their labor counsel.
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