The United States Department of Labor (DOL) has announced that it will publish its final rule relating to “persuader” activity under the Labor-Management Reporting and Disclosure Act (LMRDA) on March 24, 2016, almost five years after first proposing it. The rule (which was opposed by, among others, the American Bar Association, Association of Corporate Counsel, the Attorneys General of many states, most employers and many key trade associations) is briefly summarized below.
Although scheduled to take effect 30 days after publication (i.e. late April 2016), it is likely that the new rule’s implementation and legality will be challenged in court in the next few days. Other efforts (e.g., through Congress) to stop the new rule from being implemented also are likely. The rule will be applicable to agreements, arrangements and payments made on or after July 1, 2016.
We will provide further updates and information regarding the rule prior to the late April 2016 effective date. For an analysis of the new rule, click here.