Congress Overturns Fair Pay Safe Workplaces: GOP Deregulation Continues

by PilieroMazza PLLC
Contact

PilieroMazza PLLC

​[author: Sam Finnerty]

Sam Finnerty

Government contractors concerned over the potential impact of President Obama’s 2014 Executive Order 13673 "Fair Pay and Safe Workplaces" (EO) can breathe a sigh of relief. On March 6, 2017, the US Senate narrowly approved House Joint Resolution 37 (H.J. Res. 37), which overturns the EO in its entirety. All that remains now is for President Trump to sign the resolution into law, and with the stroke of a pen, years of debate and vitriol over the costs and constitutionality of the EO will be put to rest. 

By way of background, the EO would have required offerors on federal contracts or subcontracts over $500,000 in value to disclose any violation or alleged violation of fourteen enumerated labor laws for the three years preceding submission of a bid or proposal and to update these disclosures in SAM. Contracting officers would have then considered these disclosures when awarding federal contracts. Additionally, the EO would have placed restrictions on a contractor’s use of pre-dispute arbitration agreements and required contractors with contracts over $500,000 to provide a wage statement to all individuals performing work on the contract each pay period.

Unsurprisingly, the EO together with the proposed Federal Acquisition Regulation (FAR) and the Department of Labor (DOL) proposed guidance, sparked immediate controversy and garnered thousands of industry comments. In fact, the final regulations and guidance, published in August of 2016 (the “Rule”), were challenged in federal court on constitutional grounds. Subsequently, in October of 2016, the federal court issued a nationwide order that sidelined implementation of the EO, with the exception of the “paycheck transparency” provision, which went into effect on January 1, 2017. 

With the ushering in of a new Administration, the EO along with other Obama-era “midnight” regulations, have now found themselves in the congressional crosshairs. Indeed, rather than waiting for the constitutionality of the EO to be fully adjudicated in court, Congress took independent action to rescind the EO using its rarely exercised authority under the Congressional Review Act (CRA).  Interestingly, CRA gives a new session of Congress authority to pass a “resolution of disapproval” for any regulation issued within 60 legislative days of the end of the Congressional session. This means any regulation promulgated after approximately mid-June 2016 may be on the congressional chopping block, such as the Rule. 

Once the President signs H.J. Res. 37, the Rule will be nullified and provisions in effect will be retroactively negated. As such, H.J. Res. 37 will not only negate the “paycheck transparency” provision that went into effect earlier this year, but will also officially remove the Rule from the FAR and will prevent its future enforcement. In effect, the Rule will be treated as if it was never enacted. Additionally, the CRA resolution would prohibit any similar regulation from being issued in the future without express authorization from Congress.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© PilieroMazza PLLC | Attorney Advertising

Written by:

PilieroMazza PLLC
Contact
more
less

PilieroMazza PLLC on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
Sign up using*

Already signed up? Log in here

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Privacy Policy (Updated: October 8, 2015):
hide

JD Supra provides users with access to its legal industry publishing services (the "Service") through its website (the "Website") as well as through other sources. Our policies with regard to data collection and use of personal information of users of the Service, regardless of the manner in which users access the Service, and visitors to the Website are set forth in this statement ("Policy"). By using the Service, you signify your acceptance of this Policy.

Information Collection and Use by JD Supra

JD Supra collects users' names, companies, titles, e-mail address and industry. JD Supra also tracks the pages that users visit, logs IP addresses and aggregates non-personally identifiable user data and browser type. This data is gathered using cookies and other technologies.

The information and data collected is used to authenticate users and to send notifications relating to the Service, including email alerts to which users have subscribed; to manage the Service and Website, to improve the Service and to customize the user's experience. This information is also provided to the authors of the content to give them insight into their readership and help them to improve their content, so that it is most useful for our users.

JD Supra does not sell, rent or otherwise provide your details to third parties, other than to the authors of the content on JD Supra.

If you prefer not to enable cookies, you may change your browser settings to disable cookies; however, please note that rejecting cookies while visiting the Website may result in certain parts of the Website not operating correctly or as efficiently as if cookies were allowed.

Email Choice/Opt-out

Users who opt in to receive emails may choose to no longer receive e-mail updates and newsletters by selecting the "opt-out of future email" option in the email they receive from JD Supra or in their JD Supra account management screen.

Security

JD Supra takes reasonable precautions to insure that user information is kept private. We restrict access to user information to those individuals who reasonably need access to perform their job functions, such as our third party email service, customer service personnel and technical staff. However, please note that no method of transmitting or storing data is completely secure and we cannot guarantee the security of user information. Unauthorized entry or use, hardware or software failure, and other factors may compromise the security of user information at any time.

If you have reason to believe that your interaction with us is no longer secure, you must immediately notify us of the problem by contacting us at info@jdsupra.com. In the unlikely event that we believe that the security of your user information in our possession or control may have been compromised, we may seek to notify you of that development and, if so, will endeavor to do so as promptly as practicable under the circumstances.

Sharing and Disclosure of Information JD Supra Collects

Except as otherwise described in this privacy statement, JD Supra will not disclose personal information to any third party unless we believe that disclosure is necessary to: (1) comply with applicable laws; (2) respond to governmental inquiries or requests; (3) comply with valid legal process; (4) protect the rights, privacy, safety or property of JD Supra, users of the Service, Website visitors or the public; (5) permit us to pursue available remedies or limit the damages that we may sustain; and (6) enforce our Terms & Conditions of Use.

In the event there is a change in the corporate structure of JD Supra such as, but not limited to, merger, consolidation, sale, liquidation or transfer of substantial assets, JD Supra may, in its sole discretion, transfer, sell or assign information collected on and through the Service to one or more affiliated or unaffiliated third parties.

Links to Other Websites

This Website and the Service may contain links to other websites. The operator of such other websites may collect information about you, including through cookies or other technologies. If you are using the Service through the Website and link to another site, you will leave the Website and this Policy will not apply to your use of and activity on those other sites. We encourage you to read the legal notices posted on those sites, including their privacy policies. We shall have no responsibility or liability for your visitation to, and the data collection and use practices of, such other sites. This Policy applies solely to the information collected in connection with your use of this Website and does not apply to any practices conducted offline or in connection with any other websites.

Changes in Our Privacy Policy

We reserve the right to change this Policy at any time. Please refer to the date at the top of this page to determine when this Policy was last revised. Any changes to our privacy policy will become effective upon posting of the revised policy on the Website. By continuing to use the Service or Website following such changes, you will be deemed to have agreed to such changes. If you do not agree with the terms of this Policy, as it may be amended from time to time, in whole or part, please do not continue using the Service or the Website.

Contacting JD Supra

If you have any questions about this privacy statement, the practices of this site, your dealings with this Web site, or if you would like to change any of the information you have provided to us, please contact us at: info@jdsupra.com.

- hide
*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.