Executive Order 14126—Investing in America and Investing in American Workers

Executive Order 14126, signed on September 6, 2024, directs federal agencies to prioritize projects that use federally funded infrastructure investments to create fair competition, economic stability, and good-paying jobs for American workers. The order focuses on ensuring that recipients of federal investment under major Biden-era legislation — including the Infrastructure Investment and Jobs Act, the CHIPS and Science Act, and the Inflation Reduction Act — deliver high labor standards, support domestic manufacturing, and provide stable employment conditions. It appears to direct attention to how federal funding conditions interact with project labor agreements and workforce development.

This executive order affects federal agencies that administer infrastructure and economic investment grants and loans, as well as the contractors, unions, and workers involved in federally assisted projects. American workers in construction, manufacturing, and clean energy sectors are among those most directly affected. It also affects state and local governments that receive federal funds and must comply with the conditions those funds carry.

The constitutional basis for this order draws on the President's authority to set conditions on how federal spending is administered, which courts have generally upheld. However, because the order touches on how congressionally appropriated funds are managed and potentially conditions spending in ways Congress did not explicitly mandate, some provisions could attract legal scrutiny under the Impoundment Control Act or the nondelegation doctrine, depending on how agencies implement it.

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