Under certain conditions, a purported subcontractor of a general contractor (or higher tier subcontractor) may be found to be a “labor broker” — a supplier of workers — rather than a true subcontractor.
Articles Discussing General Topics in Affirmative Action
General Contractors Can Face Increased Liability for Employment Actions of Their Subcontractors
While general or prime contractors have always faced the risk of liability for the actions or inactions of their subcontractors, an increase risk of state statutory liability for certain actions and inactions of subcontractors may be on the horizon.
New Executive Order Seeks to Regulate Diversity Training by Federal Contractors and Grant Recipients
On September 22, 2020, the White House released a new executive order, On Combating Race and Sex Stereotyping. Among other things, the order instructs government contracting agencies to add provisions to government contracts prohibiting the use of any workplace training “that inculcates in its employees any form of race
A Guide to Labor and Employment Obligations for Federal Contractors
Companies doing business with the federal government must comply with a litany of complex laws and regulations that affect their day-to-day business operations.
Diving into OFCCP’s Construction Contractor Technical Assistance Guide
The recently updated Construction Contractors Technical Assistance Guide (“TAG”) provides construction contractors substantial guidance in understanding their AAP obligations and how to fulfill those obligations. Helpfully, the TAG addresses both technical compliance as well as best practices to achieve the spirit of the relevant statutes.
Checking In On EEO-1 Reporting
While it feels like we just finished the EEO-1 reporting season, the time is here again to start preparing for filing of the “traditional” annual EEO-1 survey. As it has for years, EEOC will again this year look to collect race and gender data from eligible employers. Component 1 of the EEO-1 (not to be confused with the controversial and litigation-embroiled pay data Component 2) is currently due to be filed with the EEOC by March 31, 2020. However, the EEO-1 reporting portal is not yet opened.
OFCCP Proposes Codification of Procedures for Addressing Alleged Discrimination and Defines Statistical Thresholds
OFCCP has published a Notice of Proposed Rulemaking (NPRM or Proposed Rule) proposing to codify procedures the agency uses to resolve potential violations of the affirmative action laws the agency enforces. If approved, the regulation would significantly clarify (if not alter) both the procedures and substantive rules according to which OFCCP seeks to resolve allegations of discrimination in employment decisions, including pay practices.
New Federal Fair Chance Act Applies to Federal Contractors and Agencies
On December 20, 2020, the president signed legislation, the National Defense Authorization Act (NDAA) for Fiscal Year 2020, which includes the federal Fair Chance Act (“the Act”).
OFCCP Will Not Request, Accept or Use EEO-1 Component 2 Data
The Office of Federal Contract Compliance Programs (OFCCP) has announced that it will not request, accept, or use “Component 2” compensation data submitted on the EEO-1 form. This statement comes just over two months after the Equal Employment Opportunity Commission (EEOC) announced it would not seek approval from the Office of Management and Budget (OMB) to collect compensation data on its Form EEO-1 next year. In its Notice slated for publication in the November 25, 2019 edition of the Federal Register, the OFCCP claims “it does not expect to find significant utility in the data given limited resources and its aggregated nature,” although the agency will continue to accept Component 1 data.
OFCCP Submits Proposed Regulation Requiring Issuance of Pre-Determination Notices
In a welcome turn for federal contractors, OFCCP last week submitted a proposed regulation to codify Directive 2018-01 – Use of Predetermination Notices (PDN). The regulation would require OFCCP to issue a Predetermination Notice (PDN) in every audit summarizing the Agency’s preliminary “discrimination” findings before issuing a Notice of Violation (NOV).
OFCCP Proposes to Formally Withdraw Authority Over TRICARE Employers
As previewed earlier this year, OFCCP is scheduled to publish on November 6, 2019 its proposed rule making addressing jurisdiction for TRICARE contractors and subcontractors. As a reminder, OFCCP has had an audit moratorium in place since 2014 for employers that participate in TRICARE.
President Trump Issues Executive Order Loosening Constraints on Federal Government Contractors’ Workforce Options
Government contractors received a treat for Halloween, as President Trump issued an Executive Order on October 31, 2019 designed to ease the burden on successor contractors to federal service contracts and “to promote economy and efficiency in Federal Government procurement.”
President Trump Revokes Obama-Era Protections for Service Workers
In an Executive Order issued yesterday, President Trump revoked Obama-Era Executive Order 13495, which provided some protection – a right of first refusal for continued employment – to qualified service workers when a government contract was replaced with a new contract and successor contractor at the same location. President Trump’s Executive Order provides no explanation for the revocation, but the move was likely influenced by the new Secretary of Labor, Eugene Scalia.
President Trump EO Revokes Workers’ Right of First Refusal with Successor Service Contract Employers
President Donald Trump signed an executive order on October 31 revoking the obligation of successor government service contract employers to offer their predecessor employers’ employees the right of first refusal in positions for which they are qualified.
Federal Court in Massachusetts Finds Race May Be an Admission Factor
Executive Summary: The long-awaited decision from a federal judge in Massachusetts was released on September 30, 2019 finding Harvard College’s admissions policy, where in race is considered a limited factor when admitting applicants, is constitutional. On September 30, 2019, Federal District Court Judge Allison D. Burroughs held that Harvard’s admission policy passed constitutional muster because it serves a compelling, permissible and substantial interest in increasing and maintaining student diversity, and the admissions program is narrowly tailored to that purpose.
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