H.R. 10250: No Preference Act

This bill would prohibit federal agencies from requiring, or giving preference to, companies that plan to use unionized workers when bidding on federal contracts.

What it would change

• For executive agencies, contracting officials could not favor a bidder because it says it will use workers covered by a collective bargaining agreement (a union contract).
• For the Department of Defense, the same rule would apply: defense contracting officials could not require or prefer union labor as a condition of awarding a contract.

What it means in practice

• Companies bidding on federal contracts would be evaluated without regard to whether they use union labor.
• Federal agencies would be barred from using union-labor status as a selection factor in contract decisions.
• The bill does not ban unions, and it does not stop contractors from using union workers; it only restricts federal officials from treating that as a positive or required factor in contracting.

Changes to federal law

• It adds a new section to federal procurement law under title 41 of the U.S. Code for executive agencies.
• It adds a similar rule under title 10 of the U.S. Code for defense contracts.
• It also makes a technical update to the table of contents for the procurement statute.

Relevant Companies

None found