Fair Pay and Safe Workplaces in a nutshell

Louise Davies is an Affirmative Action Paralegal in Constangy's Winston-Salem, North Carolina, office. For more than 15 years, she has helped employers develop affirmative action plans and respond to audits and on-site investigations by the Office of Federal Contract Compliance Programs. She also conducts diversity training for employers. Louise is a graduate of Wesleyan College in Macon, Georgia.

On August 25, 2016, the FAR Council and the Department of Labor issued their Final Rule and Final Guidance on the Fair Pay and Safe Workplaces Executive Order.

The Executive Order addresses three topics: (1) the reporting of "Labor Law violations," (2) paycheck transparency, and (3) complaints and dispute transparency.

Reporting of Labor Law violations

  • Contractors must disclose all Labor Law violations during the pre-award bidding process (a "Labor Law" is just about any federal law that governs the employment relationship, and a "violation" is some level of "finding" by the government or a court that a violation occurred, such as a reasonable cause determination from the Equal Employment Opportunity Commission)
  • Labor Law violations that occurred between October 25, 2016, and the date of submission, or in the 3 years before submission, whichever time period is shorter, must be reported
  • Contractors may provide explanations for the violations to help demonstrate that they are "responsible employers"
  • Violations will be analyzed and categorized as serious, repeated, willful or pervasive
  • Subcontracts valued at $500,000 are also covered.

Paycheck transparency

  • Employees must be provided a wage statement document every pay period that provides the information specified in the regulations.

Complaints and dispute transparency

  • Companies with contracts valued at $1 million or more are prohibited from having pre-dispute arbitration agreements for certain Title VII and tort claims.

The actual regulations are extensive, and federal contractors should become familiar with them. Cara Crotty is also offering a free webinar on the regulations from 1 to 2:30 p.m. Eastern on Wednesday, September 21. Although the webinar is free, registration is required. If you're a federal contractor, you will not want to miss it.

This is Constangy’s flagship law blog, founded in 2010 by Robin Shea, who is chief legal editor and a regular contributor. This nationally recognized blog also features posts from other Constangy attorneys in the areas of immigration, labor relations, and sports law, keeping HR professionals and employers informed about the latest legal trends.

Search

Get Updates By Email

Subscribe

Archives

Legal Influencer Lexology Badge ABA Web 100 Badge
Jump to Page

Constangy, Brooks, Smith & Prophete, LLP Cookie Preference Center

Your Privacy

When using this website, Constangy and certain third parties may collect and use cookies or similar technologies to enhance your experience. These technologies may collect information about your device, activity on our website, and preferences. Some cookies are essential to site functionality, while others help us analyze performance and usage trends to improve our content and features.

Please note that if you return to this website from a different browser or device, you may need to reselect your cookie preferences.

For more information about our privacy practices, including your rights and choices, please see our Privacy Policy. 

Strictly Necessary Cookies

Always Active

Strictly Necessary Cookies are essential for the website to function, and cannot be turned off. We use this type of cookie for purposes such as security, network management, and accessibility. You can set your browser to block or alert you about these cookies, but if you do so, some parts of the site will not work. 

Functionality Cookies

Always Active

Functionality Cookies are used to enhance the functionality and personalization of this website. These cookies support features like embedded content (such as video or audio), keyword search highlighting, and remembering your preferences across pages—for example, your cookie choices or form inputs during submission.

Some of these cookies are managed by third-party service providers whose features are embedded on our site. These cookies do not store personal information and are necessary for certain site features to work properly.

Performance Cookies

Performance cookies help us improve our website by collecting and reporting information on its usage. We access and process information from these cookies at an aggregate level.

Powered by Firmseek