Labor Department Rescinds Protections for Service Contract Staff

The Labor Department Monday will rescind Biden-era job protections for federal employees working under service contracts.

A 2023 rule required contractors to provide a right of first refusal to current employees when they take over a federal service contract if those staff would lose their jobs as a result of the new contract. The White House first indicated it wanted to withdraw the regulation in September.

The rescission comes without a notice and comment period after President Donald Trump authorized agencies to strip regulations with fewer procedural hurdles. The department also said Trump canceled an executive order from ...