Doesn't Congress (a new one, controlled by real American representatives instead of these damned corporate handmaidens . . . ) have the power to pass specific legislation that neuters this appalling decision?  

Besides the obvious harm to employees (public now, but how long until they apply this same idiocy to the private sector?), what about the harm to public interests that comes from protecting agency uppity-ups who are violating laws and most likely also using their agencies to tap into the treasury for who-knows-what illegal purposes?  Blowing the whistle on no-bid, cost-plus defense contracts laden with fraudulent billings comes to mind.