A Biden administration task force focused on organized labor has issued a report with 70 recommendations for facilitating unionization efforts, but critics say certain suggested strategies could lead the federal government to discriminate against non-union companies in the awarding of grants and federal contracts.

While a timeframe wasn’t clear, Biden has said he intends to take action on the recommendations. Companies in the promotional products industry and beyond, particularly federal contractors, may be wise to keep an eye on any developments that could potentially affect their businesses.

The Wall Street Journal was among the critics that opined that certain recommendations could create “a bias toward unions in awarding (federal) contracts,” which “would run up against federal law” – something that could impact promo companies that are federal contractors or subcontractors, or who aim to be. 

For instance, one task force recommendation would have the Department of Labor, the Office of Management and Budget, the Department of Defense, and the Department of Health and Human Services help “ensure that federal contract dollars are not spent on anti-union campaigns and that the anti-union campaign activities by federal contractors are publicly disclosed.”

Says the Journal: “The report suggests that federal assistance ‘cannot be used to deny workers the right to organize,’ but that’s already true. In practice, the new policy could let the government discriminate against a company that has fought an effort to organize its workforce.”

Relatedly, the task force also advocates for the creation of a “job quality matrix” that would, in application, engender preferential treatment for unionized companies when it comes to considering the awarding of federal grants and contracts, critics believe.

Another recommendation would seek to improve federal reporting on so-called “persuader activity,” which the government describes as employers hiring third-party consultants to develop communications and campaign strategies designed to deter union organization efforts at their companies.

Unions benefit all of us. @VP and @SecMartyWalsh have delivered a report to @POTUS detailing 70 actions our Administration will take to promote worker organizing and collective bargaining.

Read more: https://t.co/Qn1dglqckr pic.twitter.com/HrzNpOrQQs

— The White House (@WhiteHouse) February 7, 2022

Congress currently requires employers/persuaders to file disclosure reports on the activity with the Labor Department’s Office of Labor-Management Standards (OLMS). As part of proposed union-friendly improvements on persuader activity, the task force says OLMS should require employers/persuaders to indicate on their disclosure reports if they are a federal contractor and whether or not the persuader activity is related to employees working on or in connection with a federal contract, as well as which agency/agencies the company contracts with. 

Again, critics believe such disclosures could create more bias in federal contracting. The Wall Street Journal notes that “companies have a First Amendment right to resist (union) organization, and agencies can’t hold that stance against them when disbursing funds. A federal judge in 2016 upheld this standard to block an executive order by President Obama, which would have required federal grantees to disclose any alleged labor violations publicly.”

The report “from the White House task force is nothing more than pro-union propaganda and exemplifies how entrenched pro-union allies are in this administration,” said Kristen Swearingen, chair of the Coalition for a Democratic Workplace, an organization made up of more than 500 business groups, including the U.S. Chamber of Commerce and the American Trucking Association.

Swearingen continued: “Instead of trying to solve any of the many problems real American families are facing, like inflation or the supply chain crisis, union allies in the White House are focused on finding ways to boost union membership to pad their coffers and restore the influence of their former employers.”

President Joe Biden has pledged that he would be the “most pro-union president” the nation has ever seen, as he believes that “unions built the middle class [and] lift up workers, both union and non-union.” Still, some of his pro-union actions, such as trying to implement the Pro Act, have not come to fruition. The task force’s recommendations, if implemented, would help advance the pro-union platform.

“At its core,” the task force said in its report, “it is our administration’s belief that unions benefit all of us. Unions have fought for and helped win many aspects of our work lives many of us take for granted today, like the 40-hour workweek and the weekend, as well as landmark programs like Medicare. Unions continue their fight for higher wages, greater job security, safety and health protections, health insurance and retirement plans, and protections from discrimination and harassment for all workers.”

In 2021, 10.3% of workers in the United States belonged to a union, according to the Labor Department. That’s down from 20.1% in 1983. Union proponents, including those on the task force, believe the decline in union membership has coincided with a larger proportion of income going to the top 10% of earners in the U.S.

The task force asked Biden to allow it to continue its work and submit a supplemental report in six months.