PSC Welcomes Revocation of Executive Order on Nondisplacement of Federal Contractors

Arlington, Va. (Nov. 1, 2019)
—The Professional Services Council (PSC) welcomed Oct. 31 action by the President to revoke a 2009 Executive Order (EO) requiring a successor contractor on an agency’s covered contract to offer the predecessor’s qualified employees the right of first refusal to work on the new contract.

EO 13495
(1/30/09) applies to contracts under the Service Contract Act, which was issued by President Obama in 2009. A final Federal Acquisition Regulation (FAR) rule was issued in December 2012 and became effective Jan. 18, 2013. At that time and over the years, PSC has expressed concerns with several aspects of the rule and its implementation. 

“The Obama-era non-displacement EO has been on PSC’s list of problematic orders since it was issued and was among a list of EOs PSC provided to the Trump transition team. We welcome the revocation of this executive order, as we have continued to see implementation challenges for our member companies," said PSC Executive Vice President and Counsel Alan Chvotkin.  

PSC expects it will take up to several weeks for the existing regulations to be rescinded and will await next steps.

“We look forward to working with the Administration and the FAR Council as this moves along,” Chvotkin continued.

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Media Contact: 
Ashlei Stevens
Director, Media Relations
703.875.8974 | stevens@pscouncil.org 

About PSC: PSC is the voice of the government technology and professional services industry. PSC’s more than 400 member companies represent small, medium and large businesses that provide federal agencies with services of all kinds, including information technology, engineering, logistics, facilities management, operations and maintenance, consulting, international development, scientific, social, environmental services, and more. Together, the trade association’s members employ hundreds     of thousands of Americans in all 50 states. Follow PSC on Twitter @PSCSpeaks. To learn more, visit www.pscouncil.org.