Not a Joiner? Maybe you should be…
It’s Friday, but I might be able to make your day a little brighter!
There is a big piece of breaking news related to the DOL persuader rule. It’s not all completely clear right now, but several sources including the US Chamber of Commerce are reporting, and the DOL seems to be confirming that any agreement related to so-called “persuader” services including legal, consulting and association services that are in place prior to July 1st will NOT BE subject to reporting under the new requirements.
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The excerpt below is from a status report filed by DOL in the Arkansas challenge to the new LRMDA requirements, the , pertinent part which is excerpted below:
On March 24, 2016, the Department of Labor’s (“the Department”) Office
of Labor-Management Standards published a rule entitled “Interpretation
of the ‘Advice’ Exemption in Section 203(c) of the Labor-Management
Reporting and Disclosure Act,” 81 Fed. Reg. 15924 (“the Rule”). While
the effective date of the Rule is April 25, 2016, the rule is only applicable
to arrangements and agreements made on or after July 1, 2016, and to
payments made pursuant to arrangements and agreements entered into on
or after July 1, 2016. 81 Fed Reg. 15924. The Rule revises the reporting
requirements, and related recordkeeping requirements, for certain
agreements and arrangements entered into between employers and labor
relations consultants or other independent contractors, and payments made
pursuant to those agreements and arrangements. The Department will not
apply the Rule to arrangements or agreements entered into prior to July 1,
2016, or payments made pursuant to such arrangements or agreements.
Consequently, under the Rule no employer, labor relations consultant, or
other independent contractor will have to report or keep records on any
activities engaged in prior to July 1 that are not presently subject to
reporting, or file the new Forms LM-10 or LM-20 (revised pursuant to the
Rule) for any purpose prior to July 1.
NOTE: THIS IS NOT INTENDED AS LEGAL ADVICE. BE SURE TO SEEK LEGAL ADVICE ON THIS MATTER BEFORE TAKING ANY ACTION!!!