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September 25, 2014

Executive Orders Mean New Rules for Federal Contractors

Filed under: Discrimination,Legal Issues — Tags: 10:20 am

A series of new executive orders from President Obama present some new HR law compliance challenges for federal contractors.

The President recently signed an order requiring that federal contractors not discriminate based on sexual orientation or gender identity. About half the states already prohibit such discrimination in one form or another. Another order mandates such contractors pay a minimum wage of $10.10 per hour. Both rules will take effect after implementing regulations are adopted and finalized later in 2014.

Yet another order requires that certain contractors (those with contracts over $500,000) disclose state and federal labor law violations from the past three years and also gather similar information from their subcontractors. Such violations include problems under the Fair Labor Standards Act, the National Labor Relations Act, the Family and Medical Leave Act, and the anti-discrimination laws. Repeat offenders may not receive federal contracts. The latest executive order also will prohibit companies holding new contracts of more than $1 million from requiring that their employees arbitrate alleged discrimination and harassment claims. The most recent executive order will be implemented on new contracts beginning in 2016.


March 11, 2010

Arbitration Restrictions for Federal Contractors : Just the Beginning?

Filed under: Employment Law — Tags: , 12:53 pm

Dramatic changes may be coming regarding the use of mandatory arbitration agreements in the workplace.

The recent Department of Defense Appropriations Act (the “Franken Amendment,”) significantly narrowed  the use of mandatory arbitration in employment agreements between defense contractors (and subcontractors) and their employees or independent contractors.

At present, the legislation applies to defense contractors, but all federal contractors could be next.  In fact, the proposed Arbitration Fairness Act would restrict mandatory arbitration for all types of employers.