Federal Judge Blocks Trump Administration's Third Attempt to Cancel VA Union Contract Covering 320,000 Workers

Aug 7, 2026

U.S. District Judge Melissa DuBose blocked the Department of Veterans Affairs' third attempt to cancel its collective bargaining agreement with the American Federation of Government Employees, which represents 320,000 workers. The VA sought to terminate the contract on August 8, 2026, citing President Donald Trump's 2025 executive order stripping union rights from federal workers. Judge DuBose ruled the VA's move defied her prior injunctions and rejected claims that the union missed negotiation deadlines.

VA union contract termination

▪U.S. District Judge Melissa DuBose ruled on August 7, 2026, that the Department of Veterans Affairs cannot terminate its collective bargaining agreement with the American Federation of Government Employees.
▪The Department of Veterans Affairs collective bargaining agreement with the American Federation of Government Employees covers approximately 320,000 federal workers.
▪The Department of Veterans Affairs issued a written notice to the American Federation of Government Employees on July 24, 2026, stating its intent to terminate the union contract on August 8, 2026.

Trump federal bargaining order

▪The Department of Veterans Affairs claimed President Donald Trump's executive order applied to the agency because of its national security role as a backup healthcare provider for the military during war.
▪President Donald Trump's executive order exempted the departments of Justice, State, Defense, Treasury, and Health and Human Services from obligations to bargain with unions.
▪President Donald Trump issued a March 2025 executive order that stripped collective bargaining rights from approximately 1 million federal workers across multiple agencies.

Judge DuBose injunction enforcement

▪Judge Melissa DuBose ruled in March 2026 that the Department of Veterans Affairs' termination of the contract was unlawful retaliation for the union's opposition to Trump administration labor policies.
▪Judge Melissa DuBose wrote in a three-page order on August 7, 2026, that the Department of Veterans Affairs' latest termination effort was in direct contravention of her prior court orders.
▪Judge Melissa DuBose granted the American Federation of Government Employees' motion to enforce a March 13, 2026, preliminary injunction that reinstated the union's collective bargaining agreement.

Contract auto-renewal clause dispute

▪Judge Melissa DuBose rejected the Department of Veterans Affairs' claim that the union failed to meet a 30-day negotiation deadline, citing extensive correspondence showing active engagement between the parties.
▪The American Federation of Government Employees argued that the Department of Veterans Affairs triggered an automatic contract extension clause by requesting to reopen the agreement for negotiations.
▪The Department of Veterans Affairs accused the American Federation of Government Employees of failing to comply with a 30-day clock to begin negotiations after the department requested to reopen the contract.

AFGE legal victories

▪A unanimous panel of the First Circuit Court of Appeals denied the Department of Veterans Affairs' request for an emergency stay of the preliminary injunction on May 16, 2026.
▪A federal appeals court in San Francisco rejected a bid by the American Federation of Government Employees and other unions to block President Donald Trump's executive order in February 2026.

Union response to attacks

▪American Federation of Government Employees National President Everett Kelley stated that the Department of Veterans Affairs is shamefully attempting to strip union rights from healthcare workers, a third of whom are veterans.
▪American Federation of Government Employees National Veterans Affairs Council President Mary Jean Burke stated that federal employee unions are targeted because they block the privatization of federal agencies.