Arkansas Business Sue Department Of Labor To Prevent “Persuader” Rule Regulations

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Photo courtesy of the U.S. Department of Labor.

ARKANSAS (KFSM) — Several Arkansas businesses have filed a lawsuit against the U.S. Department of Labor in an effort to prevent enforcement of the new “Persuader” rule regulations, according to a press release.

The businesses include the Associated Builders and Contractors of Arkansas, Associated Builders and Contractors, Inc., the Arkansas State Chamber of Commerce/Associated Industries of Arkansas, The Arkansas Hospitality Association, Inc., the Coalition for a Democratic Workplace, the National Association of Manufacturers, and the law firm of Cross, Gunter, Witherspoon & Galchus, P.C. (the firm which filed the release).

Under the new rule, which was issued on March 24, employers, their attorneys, and their consultants would be required to file reports when they engage in routine, indirect activities such as attending union avoidance seminars, drafting certain handbook policies, and providing managers with scripted material regarding union organizing efforts, the release stated.

Before, the Labor-Management Reporting and Disclosure Act only required businesses to file reports with the federal government when they hire consultants to speak directly with employees about unionizing, according to the release.

The release also states: “Because it is so vague and unclear, the Rule violates an employer’s right to the due process guaranteed by the Fifth Amendment of the U.S. Constitution.”