President trump revokes executive order and provides more hiring freedom for prevailing wage contractors

Greater hiring freedom for prevailing wage contractors

Executive Order 13495 was signed into law by President Obama in January of 2009. This law mandated that when a service contract expires and a follow-on contract is awarded to a new contractor for the same service (at the same location) the new contractor must make good faith employment offers to all previously covered employees. The intent of this Executive Order was to protect workers from displacement and reduce disruption in services in transitioning to a new workforce.

On October 31 President Trump revoked this order in an effort to improve operations and competitiveness for federal contractors covered under the Service Contract Act.

While this executive order has been officially revoked it will take time for the government to fully implement the change so contractors should be careful when bidding fMore or any open contracts to ensure adherence to this order is not a requirement.

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