Federal contracts: no more preference for union workers
H.R. 10250 — No Preference Act · Filed by Stephanie Bice (R-OK) · 3 cosponsors · Introduced Sep 3, 2026 · Referred to committee
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What it does
This bill prohibits federal agencies and the Department of Defense from requiring or preferring contractors who use union labor when awarding federal contracts. It amends federal procurement law to bar agencies from factoring union-labor status into contract decisions, effectively neutralizing any existing federal policy that favors unionized bidders.
Why we flagged it
The bill's operative mechanism is a direct prohibition on federal agencies' ability to factor union-labor status into contract awards. This is a deregulatory measure that removes an existing policy lever—not a new mandate, but a constraint on government's ability to use procurement as a tool for labor-standards policy.
What the text implies
- Removes federal leverage to maintain wage floors on publicly-funded projects; contractors can now undercut union bids by shifting to non-union labor without penalty.
- May reduce apprenticeship and training pipelines historically funded through union-contract requirements, affecting long-term skilled-labor supply.
The full analysis lists 4 implications of this text.
Who stands to gain
non-union contractors and labor-cost arbitrage firms; construction and manufacturing companies operating on thin margins; federal agencies (reduced procurement costs in the short term)