Investing in Workers (E.O. 14126)

Summary

Makes sure that government money for big projects goes to companies that create good, safe, and fair jobs for American workers.

What problem does this solve?

The government is spending a lot of money on new projects, but there is no guarantee this spending will create high-quality jobs. This order tells government agencies to give money to projects that promise good wages, benefits, worker safety, and the right to form a union.

What does this order do?

Prioritizes projects with high labor standards

Requires federal agencies to give preference to funding applicants who use project labor agreements, collective bargaining, and other pro-union policies to ensure projects are completed efficiently.

Promotes family-sustaining wages

Encourages agencies to favor projects that pay workers at least the local prevailing wage or higher and promote equal pay for all workers.

Establishes the Investing in Good Jobs Task Force

Creates a new task force within the White House to coordinate policy and ensure the order is implemented effectively across government agencies.

Encourages critical worker benefits

Gives priority to projects that offer benefits like paid leave, health care, retirement plans, and child care assistance.

Expands access for underserved communities

Prioritizes projects with plans to recruit, hire, and retain workers from underserved and local communities and to prevent workplace discrimination.

Strengthens workforce development

Favors projects that expand worker access to high-quality training, such as registered apprenticeships and pre-apprenticeship programs.

Who does this affect?

Construction and manufacturing workers
Companies seeking federal funding
Labor unions

What is the real world impact?

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Supports American workers

Uses the government's massive spending power to improve job quality across the country. Aims to ensure that taxpayer-funded projects result in good wages, strong benefits, and safe working conditions for the people building them.

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Strengthens union support

Directs federal agencies to give preference to projects that use union labor and collective bargaining. This could be seen as a way to reward political allies and may be criticized for potentially increasing project costs or excluding non-union companies from competing for federal money.

When does this start?

This order becomes effective on September 6, 2024.