REMINDER: OFCCP’S Pay Transparency Rule Takes Effect Monday

Analysis

The OFCCP’s Final Rule prohibiting federal contractors from discriminating against employees and applicants who ask about or discuss compensation goes into effect this Monday, January 11. The Rule applies to contracts entered into or modified on or after the effective date. Contracts are considered “modified” if there is any alteration in their terms and conditions, including supplemental agreements and extensions. Those contractors with a significant number of contracts may find it easier to use the effective date of the Rule for compliance, rather than try to determine when they have a new or modified contract.

In addition, the OFCCP has issued the mandatory language required for existing employee handbooks or other manuals and that must be posted electronically or in conspicuous places.

For more detailed information about the Final Rule, please see our prior Affirmative Action Alert or contact a member of Constangy’s Strategic Affirmative Action Practice Group.

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