Executive Order Affects Federal Contractors and Employees

On July 31, 2014 President Obama signed the Fair Pay and Safe Workplaces Executive Order.  Essentially, this executive order requires federal government contractors (with contracts valued at more than $500,000) to disclose any labor law violations from the past three years. Furthermore, the order gives regulatory agency additional guidelines on how to past violations should factor in when considering awarding a federal contract. According to the White House, the new rules and regulations are expected to take effect sometime in 2016.

What is considered a labor law violation?

According to the Executive Order, “labor law violations” refer to violations of the 14 covered federal statutes and Executive Orders, and also include state laws that address wage & hour, safety & health, collective bargaining, family & medical leave, and civil rights protections. Thus, any violation of the following acts would be considered a “labor law violation:”

  • Fair Labor Standards Act (FLSA)
  • Title VII of the Civil Rights Act of 1964 (Title VII)
  • The National Labor Relations Act (NLRA)
  • The Family and Medical Leave Act (FMLA),
  • The Americans with Disabilities Act (ADA)
  • The Age Discrimination in Employment Act (ADEA)
  • The Occupational Safety and Health Act (OSHA)
  • Section 503 of the Rehabilitation Act
  • The Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (VEVRAA)

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