PSC praises repeal of rule on nondisplacement of federal contractors

The Professional Services Council is praising a new Federal Acquisition Regulation rule that repeals a 2009 executive order on nondisplacement of federal contractors.

The original executive order mandated that a new contractor had to offer its predecessor's employees the right of first refusal to work on the new contract. This rule became effective in 2013, according to PSC.

That executive order argued that a "carryover workforce reduces disruption to the delivery of services during the period of transition between contractors and provides the Federal Government the benefits of an experienced and trained workforce that is familiar with the Federal Government's personnel, facilities, and requirements."

The new rule responds to a 2019 executive order, which revoked the 2009 one.

In a statement, Alan Chvotkin of PSC said the organization has always included the rule on "PSC's list of problematic orders," adding that his group included it on a list of executive orders given to President Trump's transition team.

Chvotkin said in the statement that the repeal "provides the contractor community with the flexibilities to recruit the needed talent to fulfill government mission needs."

The new rule is effective June 5.