Understanding the "Nondisplacement of Qualified Workers" Rule
Topic: Contract Law, Policies, & Rules of Engagement
Original Air Date: Wednesday, October 12, 2011
Program Code: 170046
Join a dynamic discussion on the Final Rule issued by the U.S. Department of Labor on August 29, 2011. This rule implements Executive Order (E.O.) 13495, “Nondisplacement of Qualified Workers Under Service Contracts.” The E.O. and the rule apply to contracts and solicitations for services covered by the Service Contract Act for performance of the same or similar services at the same location as a predecessor contract. They require the successor contractor and its subcontractors to offer employees under the predecessor contract, whose employment will be otherwise terminated as a result of the award of the successor contract, a right of first refusal of employment under the successor contract for positions for which they qualified.
- What contracts and workers are covered;
- What does it mean for the new contractor;
- What does it mean for the new contractor's subcontractors;
- What does it mean for the old contractor;
- What does it mean for contract transition - a help or a hindrance;
- What does it mean for competition strategies in the future, and
- What sorts of disputes are likely and how will they be resolved
Alan Chvotkin, Fellow, Executive Vice President and Counsel, Professional Services Council
Stephen Kaye, Counsel, Bryan Cave, LLP
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