U.S. Department of Health & Human Services v. Federal Labor Relations Authority

WILKINSON, Circuit Judge:

In 1983, the Office of Management and Budget issued the current version of its Circular A-76. The Circular establishes executive branch policy for the performance of commercial activities. It guides agency managers in deciding whether a given activity should be performed “in-house” by government workers or should be “contracted out” to the private sector.

In collective bargaining negotiations between the United States Department of Health and Human Services and the American Federation of Government Employees, the union proposed a contract provision that would require…