OFCCP Regulatory Updates

Transcription

1 OFCCP Regulatory Updates Allen Hudson, PHR, SHRM-CP Director of Corporate Communications

2 Session Agenda A Walk Down Memory Lane Recent Regulatory Developments What s Next? Your Questions

3 A Walk Down Memory Lane Section One

4 10 Executive Orders Directly affecting Federal Contractors

5 President Obama First Term E.O.s Economy in Government Contracting 1/30/ Nondisplacement of Qualified Workers Under Service Contracts 1/30/ Notification of Employee Rights Under Federal Labor Laws 1/30/ Use of Project Labor Agreements for Federal Construction Projects 2/6/2009

6 I ve got a pen and I ve got a phone and I can use that pen to sign Executive Orders President Barack Obama

7 President Obama Second Term E.O.s Establishing a Minimum Wage for Contractors 2/12/ Non-Retaliation for Disclosure of Compensation Information 4/8/ Further Amendments to Executive Order 11478, Equal Employment Opportunity in the Federal Government, and Executive Order 11246, Equal Employment Opportunity 7/21/ Fair Pay and Safe Workplaces 7/31/ Establishing Paid Sick Leave for Federal Contractors 9/7/ Amendment to Executive Order /23/2016

8 Obama s OFCCP Highlights Patricia Shiu Assumes Office Active Case Enforcement Rescinded Prior Compensation Guidelines Functional AAP Directive Update 2010 Census Data Released FCCM Update VEVRAA and Section 503 Regulations New Audit Scheduling Letter Sex Discrimination Guidelines EEO-1 Changes Finalized (Equal Pay Report)

9 Recent Regulatory Developments Section Two

10 Recent Changes VEVRAA and Section 503 Updates Sexual Orientation and Gender Identity Protections Pay Transparency Rules Sex Discrimination Guidelines Fair Pay and Safe Workplaces EEO-1 Changes Minimum Wage for Federal Contractors Paid Sick Leave for Federal Contractors

11 VEVRAA & Section 503 Updates - March 2014 Self- Identification Data Collection Reporting Requirements

12 LGBT Protections Executive Order Adds sexual orientation and gender identity to list of protected classes under EO Requires Updates to EO Policy Statements & Postings

13 Sex Discrimination Guidelines Updated June, 2016 Effective date: August 15, 2016 Sex Discrimination includes discrimination due to: Pregnancy, childbirth, or related medical conditions Gender identity Transgender status Sex-stereotyping

14 Sex Discrimination Guidelines Prohibited discriminatory practices include: Differential treatment between married and unmarried persons, men and/or women with children Firing employees for being unmarried parents Treating men and women differently with regard to flexibility arrangements Steering employees into roles on the basis of sex Gender-based pay disparities Contractors must allow employees to use facilities consistent with the gender with which they identify

15 Fair Pay and Safe Workplaces Blacklisting regulations August 25, 2016: Final Rule (13 pgs.) & DOL Guidance (52 pgs.) Contracts for >$500K Submit 3 years labor law decisions to contracting officers Update SAM with violations 14 Labor Laws & Equivalent State Laws Contracting officers to consider when making awards

16 Fair Pay and Safe Workplaces Covered Laws Fair Labor Standards Act Occupational Safety and Health Act Migrant and Seasonal Worker Protection Act National Labor Relations Act 40 USC chapter 31 (fka Davis-Bacon Act) 41 USC chapter 67 (fka Service Contract Act) EO 11246

17 Fair Pay and Safe Workplaces Covered Laws Section 503 of Rehabilitation Act Vietnam Era Readjustment Assistance Act (VEVRAA) Family and Medical Leave Act (FMLA) Title VII of the Civil Rights Act Americans with Disabilities Act (ADA) Age Discrimination in Employment Act (ADEA) EO (Minimum Wage for Federal Contractors) Equivalent state laws

18 Fair Pay and Safe Workplaces contd Subcontractors covered >$500K in subcontracts Submit previous 3 years violations to DOL Doesn t apply to commercially available off-the-shelf items Any tier that exceeds $500K

19 Fair Pay and Safe Workplaces contd Violation Types: Serious Repeated Willful Pervasive

20 Fair Pay and Safe Workplaces contd Phased-in Compliance October 25, 2016 effective date Not retroactive 10/25/2016-4/24/2017 only prime contracts of $50M or more Subcontractor provisions effective on 10/25/2017 No need to disclose violations prior to 10/25/2015 Other equivalent state laws might be added in the future Only OSHA-approved State Plans fall in this category now

21 Enforced by Wage & Hour Division Minimum Wage for Federal Contractors Effective January 1, 2015 Paid Sick Leave for Federal Contractors Final Rule Published 9/30/2016 Effective January 1, 2017 Up to 56 hours paid sick leave Can be compatible with PTO policies

22 What s Next? Section Three

23 Proposed Regulations Construction Contractor Regulations Not updated since 1980

24 2017 Budget Justification $114M Requested Up from $105M in 2016 Had requested $113M 615 FTE s Same as 2016 budget

25 The Committee is concerned that OFCCP has lost its focus on identifying and addressing real employment discrimination and is imposing excessive compliance burdens on contractors. Senate Oversight Committee

26 2017 Budget Justification contd Priorities from Labor Secretary: Focus on data, and investment in shared IT platform including a database update Executing DOL s regulatory agenda (finalize proposed rules and implement final regs) Enforcement Priorities: Systemic pay discrimination Gender, racial, and ethnicity-based discrimination in construction trades Maintaining high quality of compliance evaluations Planned FTP site for audit submissions Two Skilled Regional Centers: San Fran and NYC with highly skilled and specialized compliance officers

27 2017 Budget Justification contd In FY 2016, OFCCP is entirely eliminating case closure targets (including functional affirmative action program compliance evaluations) and will replace these closure targets with measures that demonstrate implementation of OFCCP enforcement priorities of complex systemic compensation and high impact construction while maintaining high quality.

28 Your Questions Section Four