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Federal Employee Unions Sue Pentagon Chief Over Union Contract Termination
Military Defense One Jul 9, 2026

Federal Employee Unions Sue Pentagon Chief Over Union Contract Termination

A pair of federal employee unions recently filed a lawsuit against Defense Secretary Pete Hegseth over his directive to terminate most collective bargaining agreements within the Department of Defense. The American Federation for Government Employees and the National Federation of Federal Employees argue that Hegseth violated the Administrative Procedure Act by abruptly ending union contracts without proper notice or explanation, causing widespread confusion and chaos among Pentagon workers.

The unions' lawsuit stems from a series of executive orders issued in 2025 by former President Trump aimed at stripping federal employees of their collective bargaining rights on national-security grounds. Despite these orders, agencies had largely refrained from terminating union contracts until last August when the Office of Personnel Management suggested they could choose to do so. In February, OPM recommended that agencies should terminate these agreements.

The unions contend that Hegseth's directive to cancel CBAs within 24 hours without a clear plan for implementation led to significant disruptions and uncertainty among employees. The lawsuit highlights instances where local union leaders received vague or no communication about the status of their contracts, resulting in many workers losing their union protections despite being ostensibly exempt under Trump’s executive orders.

This legal challenge mirrors a previous case brought by the International Federation of Professional and Technical Employees last year, which successfully halted the Defense Department from terminating its contracts. The unions argue that since Hegseth did not act on OPM's earlier recommendations to terminate CBAs until April 2026, he was required under federal law to provide a rationale for this sudden change in policy.

The lawsuit underscores ongoing tensions between executive branch directives and labor protections within the federal workforce, with implications extending beyond the Pentagon to other government agencies grappling with similar issues.

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