[Code of Federal Regulations]
[Title 29, Volume 2]
[Revised as of July 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 29CFR470.2]

[Page 230-232]
 
                             TITLE 29--LABOR
 
  CHAPTER IV--OFFICE OF LABOR-MANAGEMENT STANDARDS, DEPARTMENT OF LABOR
 
PART 470_OBLIGATIONS OF FEDERAL CONTRACTORS AND SUBCONTRACTORS; NOTICE 
 
                      Subpart A_Preliminary Matters
 
Sec. 470.2  Under the Executive Order, what employee notice clause must 
be included in Government contracts?

    (a) Government contracts. Except in contracts exempted in accordance 
with Section 470.3 and collective bargaining agreements as defined in 5 
U.S.C. 7103(a)(8), all Government contracting agencies must, to the 
extent consistent with law, include the following provisions in 
Government contracts entered

[[Page 231]]

into on or after April 28, 2004, that resulted from solicitations issued 
on or after April 18, 2001:
    ``1. During the term of this contract, the contractor agrees to post 
a notice, of such size and in such form as the Secretary of Labor will 
prescribe, in conspicuous places in and about its plants and offices, 
including all places where notices to employees are customarily posted. 
The notice must include the following information (except that the last 
two sentences must not be included in notices posted in the plants or 
offices of carriers subject to the Railway Labor Act, as amended (45 
U.S.C. 151-188)).


``NOTICE TO EMPLOYEES

    ``Under Federal law, employees cannot be required to join a union or 
maintain membership in a union in order to retain their jobs. Under 
certain conditions, the law permits a union and an employer to enter 
into a union-security agreement requiring employees to pay uniform 
periodic dues and initiation fees. However, employees who are not union 
members can object to the use of their payments for certain purposes and 
can only be required to pay their share of union costs relating to 
collective bargaining, contract administration, and grievance 
adjustment.
    ``If you do not want to pay that portion of dues or fees used to 
support activities not related to collective bargaining, contract 
administration, or grievance adjustment, you are entitled to an 
appropriate reduction in your payment. If you believe that you have been 
required to pay dues or fees used in part to support activities not 
related to collective bargaining, contract administration, or grievance 
adjustment, you may be entitled to a refund and to an appropriate 
reduction in future payments.
    ``For further information concerning your rights, you may wish to 
contact the National Labor Relations Board (NLRB) either at one of its 
Regional offices or at the following address or toll-free 
number:National Labor Relations Board, Division of Information, 1099 
14th Street, NW., Washington, D.C. 20570, 1-866-667-6572, 1-866-315-6572 
(TTY).
    ``To locate the nearest NLRB office, see NLRB's website at http://
www.nlrb.gov.''
    ``2. The contractor will comply with all provisions of Executive 
Order 13201 of February 17, 2001, and related rules, regulations, and 
orders of the Secretary of Labor.
    ``3. In the event that the contractor does not comply with any of 
the requirements set forth in paragraphs (1) or (2) above, this contract 
may be cancelled, terminated, or suspended in whole or in part, and the 
contractor may be declared ineligible for further Government contracts 
in accordance with procedures authorized in or adopted pursuant to 
Executive Order 13201 of February 17, 2001. Such other sanctions or 
remedies may be imposed as are provided in Executive Order 13201 of 
February 17, 2001, or by rule, regulation, or order of the Secretary of 
Labor, or as are otherwise provided by law.
    ``4. The contractor will include the provisions of paragraphs (1) 
through (4) herein in every subcontract or purchase order entered into 
in connection with this contract unless exempted by rules, regulations, 
or orders of the Secretary of Labor issued pursuant to section 3 of 
Executive Order 13201 of February 17, 2001, so that such provisions will 
be binding upon each subcontractor or vendor. The contractor will take 
such action with respect to any such subcontract or purchase order as 
may be directed by the Secretary of Labor as a means of enforcing such 
provisions, including the imposition of sanctions for noncompliance: 
However, if the contractor becomes involved in litigation with a 
subcontractor or vendor, or is threatened with such involvement, as a 
result of such direction, the contractor may request the United States 
to enter into such litigation to protect the interests of the United 
States.''
    (b) Inclusion by reference. The employee notice clause need not be 
quoted verbatim in a contract, subcontract, or purchase order. The 
clause may be made part of the contract, subcontract, or purchase order 
by citation to 29 CFR part 470.
    (c) Adaptation of language. The Assistant Secretary may make such 
changes in the contractual provisions

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of the Executive Order as may be necessary to reflect Acts of Congress, 
clarifications in the law by the courts, or otherwise to fully and 
accurately inform employees of their rights under the Executive Order.
    (d) Obtaining employee notice poster. The required employee notice 
poster, printed by the Department, will be provided by the Federal 
contracting agency or may be obtained from the 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, or from any field office of the Department's 
Office of Labor-Management Standards or Office of Federal Contract 
Compliance Programs. A copy of the poster may also be downloaded from 
the Office of Labor-Management Standards Web site at www.olms.dol.gov. 
Additionally, contractors may reproduce and use exact duplicate copies 
of the Department's official poster.