His decision leaves federal contractors free to disobey labor laws, job safety laws and even paying their taxes without the fear of having the feds yank their business away.
Elimination of the rule is important since the federal government annually awards billions of dollars in contracts, and past studies show many such pacts went to labor law-breakers and/or corporate tax evaders. One recent study, by Demos, showed 40 percent of federal contractors broke labor or job safety laws.
“Every worker deserves strong protections on the job,” said Teamsters President Jim Hoffa. “The Fair Play and Safe Workplaces Executive Order” – which the Labor Department’s rules implemented – “not only protected workers at federal contractors but ensured our tax dollars were not going to be given to companies that violate labor law.”
With Republican governors flanking him as he signed the law, Trump called it “the blacklisting rule,” the GOP’s and business’ pet name for it. Manufacturers, Trump said, called the rule “a disaster” that “made it too easy for trial lawyers to get rich” by going after firms.