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02/21/13


Darla McClure publishes article on “Non-Displacement of Qualified Workers under Service Contract”

By: Darla J. McClure

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Montgomery County Society for Human Resource Management (MCSHRM) Chapter Newsletter

Darla McClure publishes MC SHRM Legislative Affairs Update for February 2013.

Employers under Federal Contracts Must Offer Employment to Displaced Workers under the Predecessor Contract

Executive Order 13495 titled “Non-Displacement of Qualified Workers under Service Contract” was issued over four (4) years ago but did not go into effect until January 18, 2013, when the Federal Acquisition Regulatory (FAR) Council issued its regulations. Under this new regulation, when a new contract succeeds an existing government service contract, the contractors and subcontractors under the new contract are required to offer the predecessor contractors’ employees a right of first refusal of employment. This is a required obligation, however, only if the work performed by the employees under the new contract is the same or similar and at the same location as the work under the prior contract. Successor contractors are allowed to reduce the size of the workforce and to give first preference to certain of their current employees.

This article is reprinted with permission from MC SHRM.


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