Trump Nixes ‘Blacklisting’ Rule

The Trump regulation rollback parade rolled over a few more Obama-era rules on Monday, including the Fair Pay and Safe Workplaces rule.

(As colleague Mark McGraw noted in a previous post on the uncertain fate of the rule Obama signed in 2014, the regulation was put on hold by an October 2016 court order determining that it exceeded congressional limits.)

The rule had been aimed at forcing government contractors to disclose violations of federal labor laws as they sought more work, according to the Washington Post. The “blacklisting rule” required contractors to disclose violations of 14 federal labor laws, including those pertaining to workplace safety, wages and discrimination.

The White House argued the rule would “bog down” the federal procurement process, according to the Post report, while business groups said that it would increase compliance costs, adding that Republican lawmakers and the Trump administration have made curbing government regulation a top priority this year.

 

CNN reports the rollback was sponsored by Rep. Virginia Foxx, a North Carolina Republican who argued the rule had the potential to blacklist some government contractors. Foxx said that the rule allowed the Labor Department to deny business to contractors based on “alleged” violations.

“Under this rule, bureaucrats can determine employers are guilty until proven innocent and then deny them the ability to do business with the federal government,” Foxx said.
The White House said in a February statement that Trump intended to sign the bill.
“The administration strongly supports the actions taken by the House to begin to nullify unnecessary regulations imposed on America’s businesses,” read the statement of administration policy.

 

Dozens of resolutions pulling back various Obama-era rules have been introduced under an expedited process established through the Congressional Review Act, the Post notes. Under that process, a regulation is invalidated when a simple majority of both chambers pass a joint resolution of disapproval and the president signs it.