A prior Labor Department rule under the Labor Management Reporting and Disclosure Act had required employers to disclose their hiring of outside counsel to deal with workers’ unionizing efforts (referred to as the “persuader rule”). In November 2016, a federal district court had blocked the rule from taking effect, agreeing with the NFIB’s argument that the rule violated an employer’s First Amendment rights and attorney-client privilege. Now, the DOL has rescinded the persuader rule, reverting to the former rule mandating an employer to disclose fees paid to consultants but exempts legal advice.
New blog today! What You Should Know about the Streamlined Sales Tax