Fair Pay and Safe Workplaces
Executive Order (July 31, 2014)
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Fair Pay and Safe Workplaces
Backstory:
• Implementation through Executive Order
• FEDERAL CONTRACTING: Assessments and Citations of
Federal Labor Law Violations by Selected Federal Contractors,
GAO-10-1033 (Sep 17, 2010)
• 25 (of the 50 largest)wage assessments were made against
20 companies that received federal contracts in fiscal year
2009.
• Eight of the 50 largest workplace health and safety penalties
were assessed against seven other companies that received
federal contracts in fiscal year 2009.
• The federal government awarded 15 federal contractors cited
for WHD, OSHA, and NLRB labor law violations over $6 billion
in government contracts during fiscal year 2009.
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Fair Pay and Safe Workplaces
Section
1.
Policy
• Increase efficiency and cost savings in the work performed
government contractors by ensuring that they understand
and comply with labor laws.
• Labor laws are designed to promote safe, healthy, fair, and
effective workplaces.
• Compliant contractors are more likely to have workplace
practices that enhance productivity and increase the
likelihood of timely, predictable, and satisfactory delivery
of goods and services to the Federal Government.
• Help agencies avoid distractions and complications that
arise from contracting with contractors with track records
of noncompliance.
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Fair Pay and Safe Workplaces
Section 2.
Compliance
with Labor
Laws
(Preaward)
• Preaward certification -- administrative merits determination,
arbitral award or decision, or civil judgment within the
preceding 3-year period for violations of labor laws
• An opportunity to disclose any steps taken to correct the
violations of or improve compliance with the labor laws.
• CO to consider the information in responsibility determination
• Representation for subcontracts exceeding $500,000 except
COTS that contractor will require and consider disclosure in
subcontracting decision.
• Flowdown requirement.
• Requirement for referral to SDO.
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Fair Pay and Safe Workplaces
Section 2.
Compliance
with Labor
Laws (Post
Award)
• Update every 6 months.
• Consideration of action: remedial measures,
compliance assistance, decisions not to exercise an
option, contract termination, or referral to the agency
suspending and debarring official
• Contractor must consider action against subcontractor
disclosed by subcontractor or “obtained through other
sources.”
• Department of Labor shall inform contracting agencies
of its investigations of contractors and subcontractors.
• Provide information to SDO.
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Fair Pay and Safe Workplaces
•
Each
agency
shall
Section 3.
designate a senior agency
Labor
official to be a Labor
Compliance Compliance Advisor.
Advisors
• Assist CO and Agency.
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Fair Pay and Safe Workplaces
Section 5.
Paycheck
Transparency
and Section
6. Complaint
and Dispute
Transparency.
• Contractors provide covered employees performing
the contract with hours worked, overtime hours,
pay, and any additions made to or deductions made
from pay.
• Contracts exceeding $1 million -- contractors agree
that the decision to arbitrate claims arising under
Title VII or any tort related to or arising out of
sexual assault or harassment may only be made
with the voluntary consent of employees or
independent contractors after such disputes arise.
• Applicable to subcontracts.
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Fair Pay and Safe Workplaces
Section 4.
Ensuring
Governmentwide
Consistency
and Section 7.
Implementing
Regulations
• Regulations to implement the
requirements of the Executive
Order.
• Regulations to ensure
consistency in responsibility
determinations throughout the
government.
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