Independent Electrical Contractors
The Protecting the Right to Organize (PRO) Act aims to overhaul federal labor law to favor labor unions over employers and employees. The bill has passed the House twice but has stalled in the Senate.
The PRO Act includes provisions that would:
The bill seeks to reinstate labor policies rejected or abandoned in previous administrations. President Biden has endorsed the PRO Act and proposed further measures to penalize corporate interference in union organizing. Initially introduced in 2019, the PRO Act was once again introduced in 2023. IEC opposes the Protecting the Right to Organize (PRO) Act.
NLRB “Ambush Elections” Rule
Implemented in December 2014, this rule significantly shortens the period for union elections from about 38 days to as few as 14 days, limiting employers’ and employees’ time to prepare and review unionization impacts. It also requires employers to provide union organizers with employees’ private contact information. After the rule was modified by the Board under the Trump administration, the rule was put back in place by the Board during the Biden administration.
“Persuader” Rule
The Persuader rule, finalized in March 2016, aimed to make it more difficult for employers to consult legal counsel regarding unionization by narrowing the “advice” exemption. It would require more extensive disclosure of employer-consultant interactions. However, this rule was blocked by a court in 2016 and formally rescinded in 2018. The PRO Act seeks to reinstate this policy.
Secret Ballot
Legislation like the Employee Rights Act aims to protect workers’ right to a secret ballot in union elections, countering efforts to replace it with “card check” procedures. The PRO Act, however, includes provisions to eliminate the secret ballot.
Joint Employer Standard
In 2015, the NLRB adopted a new standard making it easier to classify companies as joint employers, which could increase liability for labor law violations of another contractor. The Board under the Trump modified the rule to make it clearer and more concise only to have it expanded and made more ambiguous under the Biden administration. A court later struck down the Biden NLRB’s version and the Trump rule reinstated. The PRO Actnaims to codify the broader version of the standard.
Government-mandated Project Labor Agreements (PLAs)
These agreements require union labor for federal contracts, potentially increasing costs and limiting competition. Enacted under the Obama administration, Executive Order 13502 encouraged PLAs on contractors over $25 million. Upon taking office, President Trump administration did not act on it and left the policy in place. The Biden administration expanded upon this proposal with Executive Order 14063, which mandates PLAs on contractors over $35 million. Rules implementing this EO have been finalized but are currently being challenged in court. IEC opposes governments encouraging and mandating PLAs and supports open competition.
Overtime
The DOL’s 2016 rule sought to increase the salary threshold for overtime eligibility significantly, but it was blocked and later revised. The final rule, effective January 2020, sets the threshold at $35,568 annually, lower than initially proposed. The Biden administration implemented its own rule, which sets of a threshold of $43,888 starting July 1, 2024 and raises it to $58,656 starting January 1, 2025. It also included automatic increases every three years. IEC opposes automatic increases to the overtime threshold, which avoid the notice and comment rule making process.
Blacklisting
President Obama’s 2014 Executive Order required federal contractors to report labor law violations, potentially leading to contract loss without due process. This rule was blocked and later revoked under President Trump. Efforts to implement similar blacklisting provisions through legislation continue to get introduced but, thus far, have yet to move very far through Congress. IEC opposes unnecessary and redundant blacklisting policies.
Paid Sick Leave
Implemented in 2016 under the Obama administration, this rule requires federal contractors to provide up to seven days of paid sick leave per year. IEC opposes this mandate due to its broad scope and burdensome requirements.
Davis-Bacon Act
This Act requires payment of prevailing wages on federal construction projects, often leading to higher costs and reduced competition. The Biden administration implemented a revision to these antiquated rules that, among other things, reverted to the 30 percent rule, which further increases the chances of union wage prevailing. IEC supports repeal of the Davis-Bacon Act
Salting
Union tactics involving undercover applicants (“salts”) to organize or harass contractors are a concern for IEC, which supports protections against such practices. The Start Applying Labor Transparency Act (SALT Act) was introduced by Rep. Burgess Owens (R-UT) requires union “salts” to disclose their affiliation to the Department of Labor, enhancing transparency for employees regarding whom they are working with and what their intentions are.
Prevailing Wage Rates
Current federal wage rates are determined by the DOL through inconsistent surveys. IEC supports transferring this responsibility to the Bureau of Labor Statistics for more accurate calculations.
Overall, IEC opposes labor regulations and policies that it believes increase costs, limit competition, and infringe on employers’ rights.
Apprenticeship
IEC is a strong advocate for expanding registered apprenticeship opportunities to enhance skills and practical experience in the electrical trade. In June 2017, President Trump signed an Executive Order aimed at expanding apprenticeships, leading to the creation of a Task Force on Apprenticeship Expansion. This Task Force, which included merit shop representation, recommended the establishment of Industry Recognized Apprenticeship Programs (IRAPs) to promote apprenticeships in sectors with insufficient programs. However, the final rules excluded construction from participating in IRAPs. The Biden administration ultimately rescinded the rules creating the IRAP system.
In 2024, the U.S. Department of Labor (DOL) published a notice of proposed rulemaking called the “National Apprenticeship System Enhancements.” The proposed rule includes a litany of new mandates and reporting requirements on program sponsors and participating employers. This new regulatory framework would be imposed on all participants of the registered system, whether they are governed by the U.S. DOL Office of Apprenticeship or a state apprenticeship agency. IEC opposes the DOL’s proposed rule.
Perkins Act
IEC is focused on improving the Carl D. Perkins Career and Technical Education Act, which funds career and technical education programs. The Perkins Act, renewed in 2018, is crucial for preparing students for skilled jobs. IEC supports increasing funding for this program to better address workforce demands.
Workforce Innovation and Opportunity Act
IEC supports improving the Workforce Innovation and Opportunity Act (WIOA) which was signed into law on July 22, 2014. WIOA is designed to help job seekers access employment, education, training, and support services to succeed in the labor market and to match employers with the skilled workers they need to compete in the global economy. In 2024, the House passed the bipartisan Stronger Workforce for America Act (H.R. 6655) which improves WIOA by, among other things, providing greater flexibility to respond to local needs and focusing on outcomes and ensure eligible programs are aligned with the skill and hiring demands of employers. IEC supports WIOA and the improvements offered by H.R. 6655.
Workforce Pell
IEC favors policies that permit Pell funds to be used for short-term, non-accredited degree programs in community colleges. In the 118th Congress, the Committee on Education and the Workforce passed the Bipartisan Workforce Pell Act (H.R. 6585), which provides opportunities for students and workers looking to gain skills in high-demand fields by allowing Pell Grants to support students enrolled in high-quality, short-term workforce programs that will lead to career advancement.
Tax Reform
In late 2017, Congress passed a significant tax reform bill impacting small businesses and pass-through entities:
IEC supports the renewal of each of the tax policies prior to their expiration.
IEC advocates for expanded incentives for renewable energy, including solar and wind, and supports reducing the recovery period for investments in electricity transmission and smart grids from 20 to 10 years. During the Biden administration, Congress passed the Inflation Reduction Act (IRA), which includes tax incentives for certain “clean” energy projects. The IRA includes provisions that permit developers to receive enhanced tax incentives should they meet certain registered apprenticeship and prevailing wage requirements. The final rules implemented by the Biden administration exempted projects operating under a project labor agreement from penalty payments should they be found to violate these labor requirements. IEC opposed this exemption and connecting tax incentives to labor mandates.
Commercial Building Tax Deduction (179D):
Solar Investment Tax Credit (ITC):
The Inflation Reduction Act (IRA) included enhanced tax credits for solar projects.
Overall, IEC supports continued efforts to enhance tax benefits and incentives related to energy efficiency and renewable energy but does not support these improvements to be contingent upon apprenticeship and prevailing wage requirements.
IEC supports commonsense procurement reforms to improve the delivery of federal construction services, and that benefit the government, taxpayers, small businesses, and the entire construction industry.
Change Orders
It is common with any construction project for change orders, which include work that must be added or removed from the original contract, to arise. According to research conducted by the Government Accountability Office (GAO), delays in processing contract changes and making payments can create challenges for contractors, especially small firms. IEC supports the GAO proposal that agencies collect adequate data on the effects of change orders and lay out a strategy to address them throughout the government construction sector.
Small Business Participation
Current Small Business Administration rules require set-asides for small business subcontractors, but prohibit prime contractors from truly accounting for the total amount of dollars flowing to small businesses. If an other-than-small business is included in first tier subcontractors, a prime contractor is disqualified from reporting further dollars going to small businesses. This happens regardless of whether small business subcontractors comprise other tiers or even the rest of the first tier. IEC supports changes to policy that would permit prime contractors the ability to report small business subcontracting at all tiers in order to more accurately account for small business participation. This helps federal agencies better meet set-aside goals established by the Small Business Act and give prime contractors get credit for small business participation.
The Corporate Transparency Act (CTA), which was enacted in 2021 and went into effect on January 1, 2024, requires corporations, LLCs, or similar entities with 20 or fewer employees and $5 million or less in gross receipts or sales, as reflected in the previous year’s federal tax return, to report their beneficial ownership information to a new federal database maintained by the Financial Crimes Enforcement Network (FinCEN). Filing and maintaining this information is burdensome and redundant as the information already exists. The new directory opens employers up to more scams and leaked personal information. IEC supports legislation introduced in 2024 by Representative Warren Davidson (R-OH) and Senator Tommy Tuberville (R-AL) to repeal the Corporate Transparency Act (CTA).
IEC contractor members value the competitive wages and benefits they offer and have long advocated for health care reforms to reduce costs, increase efficiency, and ease the burden on both employers and employees. They support market-driven reforms that ensure affordability, expand consumer choice, and make it easier for small businesses to provide quality health care.
IEC opposed the Patient Protection and Affordable Care Act (PPACA) due to its costly mandates and uncertainty for small businesses. While complete repeal of PPACA seems unlikely, IEC backs amendments to reduce its negative impacts. The PPACA also included a health insurance tax (HIT) that raised premiums for small businesses. This tax was permanently repealed, effective January 2021.
In 2017, President Trump signed an Executive Order for association health plans (AHP), but a 2019 court ruling invalidated the rules and in 2023, the Biden administration announced it would formally repeal the AHP rules.
IEC supports expanding foreign worker visa programs to address labor shortages and aid economic recovery. On employee verification, IEC emphasizes the importance of vetting employees to ensure legal work status and supports a mandatory verification system with a “knowing” intent standard for employer liability. IEC favors a reliable method of verifying the work authorization of new hires and protection from liability for hiring or firing decisions based on a government-mandated system.
Please click here to login. If you are already logged in and not seeing this page, and you believe your login credentials should allow you to see this page, please contact the IEC National Office at [email protected] or (703) 549-7351.
If you’re not currently an IEC member, please contact your local IEC chapter to inquire about membership. Click here to locate your local IEC chapter.
Please click here to login. If you are already logged in and not seeing this page, and you believe your login credentials should allow you to see this page, please contact the IEC National Office at [email protected] or (703) 549-7351.
If you’re not currently an IEC member, please contact your local IEC chapter to inquire about membership. Click here to locate your local IEC chapter.
Please click here to login. If you are already logged in and not seeing this page, and you believe your login credentials should allow you to see this page, please contact the IEC National Office at [email protected] or (703) 549-7351.
If you’re not currently an IEC member, please contact your local IEC chapter to inquire about membership. Click here to locate your local IEC chapter.
Take action on pending legislation and regulations through IEC’s automated grassroot portal and review the most recent scorecard on how your Representatives and Senators stand on key issues.
Receive exclusive breaking IEC Advocacy Alerts on your mobile phone by texting ‘IECACT’ to 50457
Submit the PAC Authorization form to receive IEC Insider, IEC PAC’s exclusive monthly newsletter that provides an inside view of the latest news from
Washington, D.C.
A merit shop operates on the principle that employee advancement, such as hiring, promotions, salaries, and terminations, should be based on individual performance and capability rather than on age, race, or other personal characteristics. It emphasizes that employees receive rewards directly proportional to their contributions. A merit shop is neutral regarding union affiliations and focuses on free enterprise.
IEC advocates for open competition and a merit-based approach to awarding contracts, irrespective of labor affiliation. It supports fair compensation, employee performance, and mutual respect between employers and employees. IEC endorses sound legislation in workers’ compensation, safety, and unemployment. It believes in non-discrimination and equal work opportunities for all legal residents and opposes violence, coercion, and unjust practices. IEC stresses that government contracts should go to the lowest responsible bidder and rejects monopolies and price-fixing. Overall, it supports free enterprise, democratic principles, and active civic engagement by business leaders.
Exclusive Member Benefit: Manager’s Practical Guide to Stay Union Free
IEC is actively involved in the legislation and politics surrounding the electrical contracting and systems industries. IEC’s Government Affairs department and the member-based Government Affairs Committee work hard to ensure member companies are able to operate in a free and open market.
This involvement comes with a price tag, which is why IEC National vigorously fundraises for the IEC PAC and IEC Freedom Fund.
