Bill Text: MS SB2849 | 2025 | Regular Session | Engrossed
Bill Title: Economic development incentives; require agreements to secure employee freedom and privacy regarding unionization decisions.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed) 2025-02-11 - Transmitted To House [SB2849 Detail]
Download: Mississippi-2025-SB2849-Engrossed.html
MISSISSIPPI LEGISLATURE
2025 Regular Session
To: Labor; Finance
By: Senator(s) Harkins
Senate Bill 2849
(As Passed the Senate)
AN ACT TO PROVIDE THAT, TO BE ELIGIBLE FOR AN ECONOMIC DEVELOPMENT INCENTIVE, AN EMPLOYER MUST NOT GRANT RECOGNITION RIGHTS FOR EMPLOYEES SOLELY AND EXCLUSIVELY ON THE BASIS OF SIGNED UNION AUTHORIZATION CARDS IF THE SELECTION OF A BARGAINING REPRESENTATIVE MAY INSTEAD BE CONDUCTED THROUGH A SECRET BALLOT ELECTION CONDUCTED BY THE NATIONAL LABOR RELATIONS BOARD, MUST NOT VOLUNTARILY DISCLOSE AN EMPLOYEE'S PERSONAL CONTACT INFORMATION TO A LABOR ORGANIZATION, OR TO A THIRD PARTY ACTING ON BEHALF OF A LABOR ORGANIZATION, WITHOUT THE EMPLOYEE'S PRIOR WRITTEN CONSENT, UNLESS OTHERWISE REQUIRED BY STATE OR FEDERAL LAW, MUST NOT SIGN A NEUTRALITY AGREEMENT WITH A LABOR ORGANIZATION, AND MUST NOT REQUIRE A SUBCONTRACTOR PERFORMING WORK FOR OR PROVIDING SERVICES TO THE EMPLOYER TO ENGAGE IN THESE PROHIBITED ACTIVITIES; TO PROVIDE FOR REPORTING OF VIOLATIONS TO THE MISSISSIPPI ATTORNEY GENERAL; TO SPECIFY THAT THE REQUIREMENTS OF THIS ACT APPLY ONLY TO AGREEMENTS EXECUTED ON OR AFTER THE EFFECTIVE DATE OF THIS ACT; TO REQUIRE THE STATE TO EXECUTE A SEPARATE AGREEMENT WITH THE RECIPIENT OF AN ECONOMIC DEVELOPMENT INCENTIVE RESERVING THE RIGHT OF THE STATE TO RECOVER THE MONIES DISBURSED BY THE STATE IF THE RECIPIENT BENEFITTING FROM SUCH INCENTIVE FAILS TO COMPLY WITH THIS ACT; TO SPECIFY THE REQUIRED TERM FOR SUCH AN AGREEMENT; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. (1) The Legislature finds that the State of Mississippi, as part of its economic development policy:
(a) Has the right to set terms and conditions in connection with the awarding of economic development incentives;
(b) Ought to play an integral role in the formulation of economic opportunities, conditions of grants, and general management of compliance with such awards for monies;
(c) Will oftentimes, in awarding economic development incentives, oversee compliance with land use regulations, including management of the subdivision of property, offer and provide water and wastewater services, require fire protection systems and mechanical systems for buildings and structures, approve capital grants, and ensure such monies are approved by the state;
(d) Will oftentimes, in awarding economic development incentives, also require a private business to hire a certain number of new full-time employees, require a specific amount of company investment, and ensure workers obtain certain skills and knowledge; and
(e) Has a vested interest in seeking to advance and preserve its own interest in projects receiving economic development incentives as a financer of projects contributing to the state's overall economic health.
(2) It is the intent of the Legislature, as part of its economic development policy, that:
(a) Whenever state funds or benefits are sought by a private business, such benefits shall be conditioned on the private business agreeing not to waive its employees' right to a secret ballot election when recognizing a labor organization as a bargaining unit or requiring subcontractors to waive their employees' right to a secret ballot election; and
(b) Whenever state funds or benefits are provided or awarded to a private business, the private business working on a project receiving state funds or benefits shall not voluntarily disclose employee personal contact information to a labor organization without the employee's prior consent, waive its right to speak to its employees, or require subcontractors to voluntarily disclose employee personal contact information to a labor organization without an employee's prior consent or to waive the subcontractor's right to speak to the subcontractor's employees.
SECTION 2. (1) As used in this section:
(a) "Contracts" includes (i) agreements between an employer and the state, and (ii) agreements between an employer and a labor organization.
(b) "Economic development incentive" means a grant for economic development purposes provided to an employer to attract or retain the employer's physical presence in this state.
(c) "Employee" means an individual who performs services for an employer for wages that are subject to withholding requirements under 26 USC § 3402.
(d) "Employer" means a business entity that voluntarily pursues economic development incentives or enters into an agreement with the state for the purpose of receiving those incentives.
(e) "Labor organization" has the meaning provided in 29 USC § 152.
(f) "Personal contact information" means an employee's home address, home or personal cell phone number, or personal email address.
(g) "Secret ballot election" means a process conducted by the National Labor Relations Board (NLRB) in which an employee casts a secret ballot for or against labor organization representation.
(h) "Subcontractor" means an individual or entity that has contracted with the employer to perform work or provide services.
(i) "Neutrality agreement" means an agreement signed with a union wherein the employer agrees to conditions including, but not limited to, committing not speak to employees about union issues.
(2) (a) To be eligible for an economic development incentive, an employer must not:
(i) Grant recognition rights for employees solely and exclusively on the basis of signed union authorization cards if the selection of a bargaining representative may instead be conducted through a secret ballot election conducted by the National Labor Relations Board (NLRB);
(ii) Voluntarily disclose an employee's personal contact information to a labor organization, or to a third party acting on behalf of a labor organization, without the employee's prior written consent, unless otherwise required by state or federal law;
(iii) Sign a neutrality agreement with a labor organization; or
(iv) Require a subcontractor performing work for or providing services to the employer to engage in activities prohibited in this subsection (2)(a).
(b) The prohibitions in paragraph (a) of this subsection (2) apply to any work or service for the employer on the project for which the economic development incentive is provided.
(3) A person or entity may report, based on a reasonable belief, a suspected violation of subsection (2)(a) of this section to the Mississippi Attorney General. Such report must be made during the term of the separate agreement entered into by and between the state and the employer. Upon receiving a report under this subsection (3), the Attorney General shall determine whether a violation has occurred. It is a breach of the separate agreement entered into between the state and the employer for the employer to refuse to provide the written statement. If the Attorney General's Office finds that an employer has violated subsection (2)(a) of this section, then it shall deliver written notice of its findings to the employer informing the employer of its intent to initiate proceedings to recover the grant funds awarded.
(4) (a) As used in this subsection (4), "agreement" includes a memorandum of understanding mutually accepted by the state and an employer prior to July 1, 2025, including a legally binding agreement subsequent and subject to such memorandum of understanding.
(b) This section applies prospectively and excludes:
(i) Any agreement between this state and an employer executed prior to July 1, 2025; and
(ii) Any agreement between an employer and a labor organization executed prior to July 1, 2025.
(c) This section shall apply to any agreement, contract or memorandum of understanding between an employer and a labor organization or the state executed, renewed or modified on or after July 1, 2025.
(5) Notwithstanding any other law to the contrary, prior to contracting to award an economic development incentive, the state must execute a separate agreement with the recipient of the incentive that reserves the right of the state to recover the monies disbursed by the state if the recipient benefitting from such incentive fails to comply with this section. This separate agreement must have a term of not less than:
(a) For an economic development incentive of less than Five Million Dollars ($5,000,000.00), the minimum term the state would require; or
(b) For an economic development incentive of Five Million Dollars ($5,000,000.00) or more, twenty (20) years.
SECTION 3. This act shall take effect and be in force from and after July 1, 2025.
