By Luke Womack
March 19, 2026Back in early 2025, President Trump, along with Health and Human Services (HHS) Secretary Robert F. Kennedy Jr., sent out an order for all federal HHS workers to return to in-person work. The order also restricted teleworking and remote working. The resulting layoffs and resignations caused chaos throughout HHS and have caused unknown damage to the public health industry.
The National Treasury Employees Union (NTEU) filed a suit against the federal administration and HHS in mid 2025, arguing that they had violated employee contracts and labor agreements.
A third-party arbitrator has now ordered that the Trump Administration's order to federal HHS workers was against their union’s contractual protections after NTEU 282 sued for breach of the law and CBA (Collective Bargaining Agreement).
The order comes almost a year after the initial return-to-work directive was given out to employees. Arbitrator Michael J. Falvo ordered that HHS rescind the directive and immediately reinstate teleworking options and remote work. The agency is also required to officially issue a public notice that the agency violated the law and the Collective Bargaining Agreement.
The Trump Administration initially fought the arbitrator’s rulings, citing that the presidential memo would supersede any labor agreements; however, Falvo ruled in favor of the 1978 Federal Services-Labor Management Relations Statute, which makes it unfair for any agency to, “enforce any rule or regulation…which is in conflict with any applicable collective bargaining agreement if the agreement was in effect before the date the rule or regulation was prescribed”
While the Trump Administration had a 30-day window to appeal the ruling, they elected not to fight the ruling. However, the move creates a massive hole through which lawsuits could come out.
Previously fired employees, and employees who resigned or quit due to threats of termination, due to the removal of teleworking and remote working, could now sue the federal government and HHS under wrongful termination areas. Employees could also sue the Human Resource departments and private personnel inside HHS.
However, for many, the ruling is already too late. Hundreds of employees either left or relocated to other jobs. Their lives were upended and completely changed, yet their justice is still in an area of uncertainty in the midst of an already intense time for federal workers.