Aligning Federal Contracting and Hiring Practices With the Interests of American Workers

Executive Order 13940 of August 3, 2020

Aligning Federal Contracting and Hiring Practices
With the Interests of American Workers

By the authority vested in me as President by the
Constitution and the laws of the United States of
America, it is hereby ordered as follows:

Section 1. Policy. It is the policy of the executive
branch to create opportunities for United States
workers to compete for jobs, including jobs created
through Federal contracts. These opportunities,
particularly in regions where the Federal Government
remains the largest employer, are especially critical
during the economic dislocation caused by the 2019
novel coronavirus (COVID-19) pandemic. When employers
trade American jobs for temporary foreign labor, for
example, it reduces opportunities for United States
workers in a manner inconsistent with the role guest-
worker programs are meant to play in the Nation's
economy.

Sec. 2. Review of Contracting and Hiring Practices. (a)
The head of each executive department and agency
(agency) that enters into contracts shall review, to
the extent practicable, performance of contracts
(including subcontracts) awarded by the agency in
fiscal years 2018 and 2019 to assess:

(i) whether contractors (including subcontractors) used temporary foreign
labor for contracts performed in the United States, and, if so, the nature
of the work performed by temporary foreign labor on such contracts; whether
opportunities for United States workers were affected by such hiring; and
any potential effects on the national security caused by such hiring; and

(ii) whether contractors (including subcontractors) performed in foreign
countries services previously performed in the United States, and, if so,
whether opportunities for United States workers were affected by such
offshoring; whether affected United States workers were eligible for
assistance under the Trade Adjustment Assistance program authorized by the
Trade Act of 1974; and any potential effects on the national security
caused by such offshoring.

    (b) The head of each agency that enters into
contracts shall assess any negative impact of
contractors' and subcontractors' temporary foreign
labor hiring practices or offshoring practices on the
economy and efficiency of Federal procurement and on
the national security, and propose action, if necessary
and as appropriate and consistent with applicable law,
to improve the economy and efficiency of Federal
procurement and protect the national security.
    (c) The head of each agency shall, in coordination
with the Director of the Office of Personnel
Management, review the employment policies of the
agency to assess the agency's compliance with Executive
Order 11935 of September 2, 1976 (Citizenship
Requirements for Federal Employment), and section 704
of the Consolidated Appropriations Act, 2020, Public
Law 116-93.
    (d) Within 120 days of the date of this order, the
head of each agency shall submit a report to the
Director of the Office of Management and Budget
summarizing the results of the reviews required by
subsections (a) through (c) of this section;
recommending, if necessary, corrective actions that may
be taken by the agency and timeframes to implement such
actions; and proposing any Presidential actions that
may be appropriate.

Sec. 3. Measures to Prevent Adverse Effects on United
States Workers. Within 45 days of the date of this
order, the Secretaries of Labor and Homeland Security
shall take action, as appropriate and consistent with
applicable law, to protect United States workers from
any adverse effects on wages and working conditions
caused by the employment of H-1B visa holders at job
sites (including third-party job sites), including
measures to ensure that all employers of H-1B visa
holders, including secondary employers, adhere to the
requirements of section 212(n)(1) of the Immigration
and Nationality Act (8 U.S.C. 1182(n)(1)).

Sec. 4. General Provisions. (a) Nothing in this order
shall be construed to impair or otherwise affect:

(i) the authority granted by law to an executive department or agency, or
the head thereof; or

(ii) the functions of the Director of the Office of Management and Budget
relating to budgetary, administrative, or legislative proposals.

    (b) This order shall be implemented consistent with
applicable law and subject to the availability of
appropriations.
    (c) This order is not intended to, and does not,
create any right or benefit, substantive or procedural,
enforceable at law or in equity by any party against
the United States, its departments, agencies, or
entities, its officers, employees, or agents, or any
other person.

    (Presidential Sig.)

THE WHITE HOUSE,

    August 3, 2020.