[Federal Register Volume 61, Number 193 (Thursday, October 3, 1996)]
[Rules and Regulations]
[Pages 51596-51597]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-25276]


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DEPARTMENT OF LABOR

Office of Labor-Management Programs

29 CFR Part 270

RIN 1294-AA15


Permanent Replacement of Lawfully Striking Employees by Federal 
Contractors

AGENCY: Office of Labor-Management Programs, Labor.

ACTION: Final rule; removal of regulations.

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SUMMARY: This final rule removes the regulations found at 29 CFR Part 
270. Those regulations implemented Executive Order 12954, which was 
signed by President Clinton on March 8, 1995 (60 FR 13023, March 10, 
1995). Executive Order 12954 provided that federal contracting agencies 
may not contract with employers that permanently replace lawfully 
striking employees in some situations. The regulations are being 
removed as a result of a ruling by the Court of Appeals for the 
District of Columbia Circuit voiding Executive Order 12954.

EFFECTIVE DATE: October 3, 1996.

FOR FURTHER INFORMATION CONTACT: Kay H. Oshel, Chief, Division of 
Interpretations and Standards, Office of Labor-Management Standards, 
U.S. Department of Labor, 200 Constitution Avenue, NW., Room N-5605, 
Washington, DC 20210, (202) 219-7373. This is not a toll-free number.

SUPPLEMENTARY INFORMATION: On March 8, 1995, President Clinton signed 
Executive Order 12954, ``Ensuring the Economical and Efficient 
Administration and Completion of Federal Government Contracts'' (60 FR 
13023, March 10, 1995). The Order set forth the finding that economy 
and efficiency in procurement are generally advanced by contracting 
with employers that do not permanently replace lawfully striking 
employees, and provided that federal contracting agencies may not 
contract with employers that permanently replace lawfully striking 
employees in some situations.
    The Secretary of Labor was assigned the authority and 
responsibility for administering the Order and for issuing implementing 
regulations. The Secretary delegated that authority and responsibility 
to the Assistant Secretary for the American Workplace on March 8, 1995 
(60 FR 13602, March 13, 1995) and to Acting Deputy Assistant Secretary 
John Kotch on June 16, 1996 (61 FR 31164, June 19, 1996).

[[Page 51597]]

    On March 29, 1995, proposed regulations implementing Executive 
Order 12954 were published in the Federal Register (60 FR 16354). A 
final rule was issued on May 25, 1995 (60 FR 27856).
    On February 2, 1996, the Court of Appeals for the District of 
Columbia Circuit issued a decision voiding Executive Order 12954, 
Chamber of Commerce of the United States, et al, v. Reich, 74 F.3d 1322 
(D.C. Cir. 1996). A rehearing was denied on May 10, 1996, 83 F.3d 442 
(D.C. Cir. 1996). A petition for review on writ of certiorari was not 
filed with the Supreme Court. Consequently, the Department is removing 
the regulations implementing Executive Order 12954, 29 CFR Part 270.

Publication in Final

    The Department has determined that the removal of these regulations 
need not be published as a proposed rule, as generally required by the 
Administrative Procedure Act (APA), 5 U.S.C. 553. The agency finds that 
good cause exists for dispensing with notice and public comment as 
unnecessary since Executive Order 12954, which gave rise to Part 270, 
has been held to be void by the Court of Appeals for the District of 
Columbia Circuit. The removal of the implementing regulations is thus 
exempt from notice and comment by virtue of section 553(b)(B) of the 
APA (5 U.S.C. 553(b)(B)).

Effective Date

    This document will become effective upon publication pursuant to 5 
U.S.C. 553(d). The Department has determined that good cause exists for 
waiving the customary requirement to delay the effective date of a 
final rule for 30 days following its publication. This determination is 
based upon the fact that Executive Order 12954, which gave rise to Part 
270, has been held to be void by the Court of Appeals for the District 
of Columbia Circuit.

Executive Order 12866

    This document removes regulations for which there is now no 
authority and, therefore, is not a regulation or a rule as defined in 
section 2(d) of Executive Order 12866, 58 FR 51735 (October 4, 1993).

Regulatory Flexibility Act

    This rule was not preceded by a general notice of proposed 
rulemaking and is not a rule as defined in the Regulatory Flexibility 
Act (5 U.S.C. 601(2) and 604(a)).

Paperwork Reduction Act

    This rule contains no information collection requirements which are 
subject to review and approval by the Office of Management and Budget 
under the Paperwork Reduction Act of 1980 (44 U.S.C. 3501-3520).

Small Business Regulatory Enforcement Fairness Act

    The Department has determined that this final rule is not a ``major 
rule'' requiring prior approval by the Congress and the President 
pursuant to the Small Business Regulatory Enforcement Fairness Act of 
1996 (5 U.S.C. 804), because it is not likely to result in (1) an 
annual effect on the economy of $100 million or more, (2) a major 
increase in costs or prices for consumers, individual industries, 
Federal, State, or local government agencies, or geographic regions, or 
(3) significant adverse effects on competition, employment, investment, 
productivity, innovation, or the ability of United States-based 
enterprises to compete with foreign-based enterprises in domestic and 
export markets.
    Further, since the Department has determined, for good cause, that 
publication of a proposed rule and solicitation of comments on this 
rule removing 29 CFR Part 270 is not necessary, under 5 U.S.C. 808(2), 
this final rule is effective immediately upon publication as stated 
previously in this notice.

Unfunded Mandates Reform Act

    For purposes of Section 2 of the Unfunded Mandates Reform Act of 
1995, 2 U.S.C. 1532, as well as Executive Order 12875, (58 FR 58093, 
October 28, 1993), this rule does not include any federal mandate that 
may result in increased expenditures by State, local and tribal 
governments, or increased expenditures by the private sector of more 
than $100 million.

List of Subjects in 29 CFR Part 270

    Administrative practice and procedure; Government contracts; 
Federal contractors and subcontractors.

    Accordingly, Chapter II of Title 29 of the Code of Federal 
Regulations is amended by removing Part 270.

    Signed at Washington, DC, this 27th day of September, 1996.
John Kotch,
Acting Deputy Assistant Secretary.
[FR Doc. 96-25276 Filed 10-2-96; 8:45 am]
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