Tough to be a Federal Contractor these days

The President has increased the budget of the OFCCP to focus on pay issues.
The President has increased the budget of the OFCCP to focus on pay issues.

(Note: The promised post on gender pay inequality has been postponed.)
On April 10th I wrote a post about two Presidential actions that were taken to put pressure on federal contractors to reform pay procedures. This followed the Executive Order that raised minimum wage to $10.10 per hour for federal contractors. Now comes the announcement  that the President is asking for an additional $1.1 million in the OFCCP’s budget in order to hire an additional 10 workers specifically to focus on pay equity issues.
Additionally the OFCCP is in the process of developing rules in the following areas:

  • Construction Contractors’ Affirmative Action Requirements specifically focusing on sex and pay discrimination
  • No Discrimination In Compensation: Compensation Data Collection Tool Proposed Rule Stage
  • Sex Discrimination Guidelines to create sex discrimination regulations that reflect the current state of the law in this area.
  • Affirmative Action and Nondiscrimination Obligations of Contractors and Subcontractors Regarding Individuals With Disabilities – This is in the Final Rule Stage

The President seems to be taking out his frustration on the inability to get legislation on compensation, minimum wage and pay inequity passed in Congress. His “power of the pen” is focused against businesses that do business with the Federal government.

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