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Government releases final rule implementing ‘blacklisting’ law

September 13, 2016 By Andrew Smith

The final rule and guidance implementing the Fair Pay and Safe Workplaces Executive Order, signed by President Barack Obama in July 2014 and finally published on August 25, 2016, remain almost as burdensome and problematic as they were when originally proposed. They will impact many federal contractors and require immediate attention to ensure full compliance, which for some will be required as soon as October 2016.

President Barack Obama signs the "Fair Pay and Safe Workplace" executive order in the Eisenhower Executive Office Building South Court Auditorium, July 31, 2014. The President is joined on stage by Labor Secretary Thomas Perez as well as employers who support fair labor practices, workers who have seen firsthand the effects of workplace violations, and advocates who have worked to improve fair pay and safety standards. (Official White House Photo by Pete Souza)
President Barack Obama signs the “Fair Pay and Safe Workplace” executive order in the Eisenhower Executive Office Building South Court Auditorium, July 31, 2014. The President is joined on stage by Labor Secretary Thomas Perez as well as employers who support fair labor practices, workers who have seen firsthand the effects of workplace violations, and advocates who have worked to improve fair pay and safety standards. (Official White House Photo by Pete Souza)

Often referred to as the “blacklisting” law, the Executive Order requires prospective and existing contractors to disclose violations of 14 federal labor laws plus state equivalents, requires them to provide certain information each pay period to enable workers to verify the accuracy of their pay, and prohibits certain contractors from using pre-dispute arbitration agreements to address sexual assault and civil rights claims.

The rule from the Federal Acquisition Regulatory Council (U.S. Department of Defense, U.S. General Services Administration and NASA) and guidance from the U.S. Department of Labor (USDOL) are designed to assist agencies in implementing the Executive Order. They detail procedures for making the disclosures, assessing violations, developing conditions for further consideration of bids, and providing required notices to workers.

The final rule and guidance remain burdensome and problematic for several reasons.  First, they create a publicly available repository of contractor violations. They also require the contracting officer to determine whether a contractor is a “responsible source” based on violations that may not be final or are subject to appeal. Moreover, contracting officers wield the power to require bidders with records deemed less-than-satisfactory to commit to a labor compliance agreement in order for their bids to be considered. Although some minor changes were made to the proposals between the initial release and ultimate finalization, the overall effect remains the same.

Keep reading this article at: http://www.mondaq.com/unitedstates/x/523316/employee+rights+labour+relations/Government+Releases+Final+Rule+Implementing+Blacklisting+Law

Filed Under: Contracting Tips Tagged With: blacklisting, employment law, Executive Order, Fair Pay and Safe Workplaces, FAR, FAR Council, Federal Register, federal regulations, labor laws, responsibility

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