Impact of Recent Court Decisions Upholding Trump Executive Order
The legal challenges against the Executive Order issued by President Trump, citing national security as a reason to eliminate unions in a number of federal agencies, are moving forward.
Court of Appeals Overturns Stay of Executive Order Banning Unions Based on National Security Concerns is a summary of the most recent court decision. The article also outlines why this recent decision puts the survival of federal employee unions at risk of their survival.
This decision by the 9th Circuit Court of Appeals follows a decision from the DC Court of Appeals. Both of these courts essentially upheld the ability of the government to, at least temporarily, proceed with implementing the Executive Order removing unions from some of the government’s largest federal agencies based on national security concerns.
It is not a coincidence that the decision summarized in this recent article came out on Friday, and the Department of Veterans Affairs (VA) announced less than one week later that “VA terminates union contracts for most bargaining-unit employees”.
The court decisions noted above and the action by the VA are based on the Executive Order entitled Exclusions from Federal Labor-Management Relations Programs.
Impact of VA Action and Amount Spent on Union Activity in Past Years
The decision by the VA will impact, at least indirectly, hundreds of thousands of federal employees, effective immediately. Exemptions include approximately 4,000 VA police officers, firefighters, and security guards.
The VA stated that this move frees up resources—both in time and taxpayer dollars—previously dedicated to union activities (notably, over 750,000 hours annually and millions in costs) and enables the agency to better promote high-performing employees, hold poor performers accountable, and improve services for veterans.
The press release notes that “instead of spending millions of taxpayer dollars and approximately 750,000 hours per year on union activities”, the decision to terminate labor agreements “will make it easier for VA leaders to promote high-performing employees, hold poor performers accountable, and improve benefits and services to America’s Veterans.”
The specific amount spent in support of federal employee unions was not noted in the press release. But, in an article published in 2020, it explained that the Department of Veterans Affairs was significantly ahead of other agencies in terms of the amount spent on official time in 2016. The cost in fiscal year (FY) 2016 was $49,142,863.90. In FY 2014, the cost of official time at the agency was $48,640,351.72.
In 2019, the total cost of official time in the VA was $21,006,419.70 (including salary and benefits) as 502,082.05 hours were spent on official time by federal employees. In 2016, 1,048,569 hours were spent on official time.
Back in 2016, the VA spent more than any other federal agency on taxpayer-funded union time — $49 million, according to Office of Personnel Management data.
Under President Biden, the requirement for agencies to track and report time spent on union activities was eliminated, so recent data are not available.
Rationale Given by VA
The agency writes in its press release that the “decision is good news for Veterans, families, caregivers and survivors…” The reasons cited by the VA are:
- VA staff will spend more time with Veterans: In 2024 alone, over 1,900 VA bargaining-unit employees spent more than 750,000 hours of work on taxpayer-funded union time.
- VA facilities can focus on treating Veterans instead of hosting unions: More than 187,000 square feet of VA’s office and clinical space is currently being used by union representatives, free of charge. The agency says its decision will ensure VA facilities are fully focused on helping Veterans get the care and benefits they’ve earned, instead of serving as free regional offices for unions opposed to the agency’s efforts.
- VA can manage its staff according to Veterans’ needs, not union demands: Labor contracts have restricted managers’ ability to hire, promote, and reward high-performing employees, hold poor performers accountable, and implement reforms to better serve Veterans.
Union Reaction to VA Action to Remove Union Contracts
The American Federation of Government Employees (AFGE) is the largest union in the VA. AFGE represents over 291,000 VA employees, including nurses, doctors, claims processors, housekeeping staff, and other support personnel.
The union is the bargaining representative for the VA’s largest bargaining unit. The union wrote in a press release:
Secretary Collins’ decision to rip up the negotiated union contract for majority of its workforce is another clear example of retaliation against AFGE members for speaking out against the illegal, anti-worker, and anti-veteran policies of this administration.
The real reason Collins wants AFGE out of the VA is because we have successfully fought against disastrous, anti-veteran recommendations from the Asset Infrastructure Review (AIR) Commission which would have shut down several rural VA hospitals and clinics, opposed the Trump administration’s plan dismantle veteran health care through the cutting of 83,000 jobs, and consistently educated the American people about how private, for-profit veteran healthcare is more expensive and results in worse outcomes for veterans.
Legal Uncertainty and Continuing Litigation
With two different appeal courts having upheld the government in its attempt to lift injunctions against implementing the Executive Order, and statements citing the president’s authority to make decisions regarding national security and to take actions that may impact this issue, the federal government is currently coming out on top on this issue.
However, in part, the decision was based on contentions that the administration had directed agencies not to move ahead with the plan until the court battle was resolved. With that instruction, the decision noted, there was a lower risk of harm to the unions and their members.
There are legal actions from unions challenging the Executive Order now in the judicial system. It is likely this issue will eventually end up before the US Supreme Court. As noted in this article, various actions by the administration have had a substantial impact on the financial security and the impact of federal employee unions on government decision-making.
The VA’s most recent action will create further problems for the unions that are impacted. Whether the federal government will continue on a winning path on this issue remains to be seen. The unions will no doubt analyze their options to challenge this decision and other executive orders, as well as their financial ability to continue challenging a wide variety of government actions in court despite staff reductions and loss of union dues.
