US proposes guidance for contractor compliance with workplace rules

By Cate Chapman on May 28, 2015

The Department of Labor has proposed guidance for federal contractors on how to comply with basic workplace protections.

President Obama last year signed the Fair Pay and Safe Workplaces Executive Order, which will require prospective federal contractors to disclose labor law violations.

The proposed guidance and accompanying regulations build on the existing procurement system, and most federal contractors will only have to attest that they comply with laws providing basic workplace protections. For those contractors that report violations, designated compliance advisers will coordinate with the relevant enforcement agency experts to help them come into compliance.

“The guidance issued today to implement the Fair Pay and Safe Workplace Executive Order will promote better informed procurement decisions,” said U.S. Secretary of Labor Thomas E. Perez. “It will provide contracting officers with the necessary information to ensure accurate, efficient, and consistent compliance with labor laws, and provide a means to help contractors meet their responsibilities.”

In addition to setting up a process to consider labor law violations, the Executive Order ensures that workers who may have been sexually assaulted or had their civil rights violated get their day in court, putting an end to mandatory pre-dispute arbitration agreements covering these claims at large federal contractors.

The order also requires that contractors’ employees are given the necessary information each pay period to verify the accuracy of their paycheck.

Both the proposed regulations and guidance will be published in the Federal Register, followed by a 60-day public comment period.