GSA, DoD, NASA Issue Final Rule on Federal Contractors’ Labor Law Compliance

acquisition policyThe General Services Administration, NASA and the Defense Department have released a final rule that seeks to ensure that federal contractors comply with labor laws.

The three agencies said in a Federal Register notice published Thursday the proposed regulation would amend the Federal Acquisition Regulation in order to enforce the Fair Pay and Safe Workplaces executive order.

The executive order aims to require contractors to disclose decisions on labor law violations, establish paycheck transparency protections for federal contract workers and require contracting officers to consult with agency labor compliance advisers on how to incorporate a labor law ruling in the decision-making process for the possible award or extension of a contract.

The regulation would provide a phase-in process for contractors and subcontractors to disclose labor law decisions and require subcontractors to directly report their labor law violations to the Labor Department in order to facilitate assessments, the notice said.

The final rule also calls for prime contractors to publicly reveal basic information on labor law violations, such as the violated law, decision date and case identification number.

The agencies noted that the policy also seeks to address the use of contract remedies and labor compliance agreements.

The regulation will take effect Oct. 25, according to the notice.

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