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By Tyler Volm
The Department of Labor and its Office of Federal Contract Compliance Programs (OFCCP) have been busy. Minimum wage is increasing for federal contractors on the first of the year, the OFCCP has issued its Final Rule on pay transparency and the DOL has extended the deadline for EEO-1 Report Filers.
Minimum Wage for Federal Contractors Increases Beginning January 1, 2016, the minimum wage for workers performing work on or in connection with federal contracts will go up to $10.15 per hour. (As a side note, Oregon’s minimum wage will otherwise remain at $9.25 per hour in 2016.)
Final Rule on Pay Transparency Issued The OFFCP announced its final rule prohibiting federal contractors and subcontractors from maintaining pay secrecy policies and from discriminating against employees and applicants who discuss, disclose or inquire about compensation. Pursuant to the final rule, federal contractors must incorporate a provision barring compensation disclosure discrimination into the mandatory equal employment opportunity clauses in government contracts and must also include similar provisions in employee manuals or handbooks. The rule allows applicants and employees to file complaints with the OFCCP.
The rule also establishes two defenses that contractors can use in defending against allegations of pay secrecy violations. One defense is based on legitimate workplace rules and the other is based on the essential functions of the employee’s job. The final rule can be found here and applies to contracts entered into or modified after January 11, 2016.
EEO-1 Deadline Extended The Department of Labor’s EEO-1 Joint Reporting Committee extended the deadline for filing the EEO-1 Report from September 30, 2015, to October 30, 2015. The deadline was extended to allow Report Filers more time to adjust to the changes to the 2015 EEO-1 survey. More information can be found here.