LABOR LAWS AND EEO CONSIDERATIONS IN FEDERAL CONTRACTS

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1 LABOR LAWS AND EEO CONSIDERATIONS IN FEDERAL CONTRACTS NCMBC FEDCON SUMMIT Wilmington, NC October 28-29, 2015 Rolly Chambers Smith, Currie & Hancock LLP Charlotte, NC

2 Labor Laws and Federal Contracts Overview Federal socioeconomic policies are implemented through contracts Obligations flow down to subs Cost of doing federal business = following government contracting policies Build in admin overhead expenses

3 Labor Laws and Federal Contracts Overview Legal sources statutes, regulations, orders Statutes legislation enacted by Congress U.S. Code (U.S.C.) Regulations rules adopted by agencies Federal Acquisition Regulations (FAR) Executive orders orders issued by president

4 Labor Laws and Federal Contracts Federal Prevailing Wage Policies Davis-Bacon Act: 40 U.S.C. 3141, et seq. Contract Work Hours and Safety Standards Act: 40 U.S.C. 3701, et seq. Walsh-Healey Public Contracts Act: 41 U.S.C. 6501, et seq. Service Contract Act: 41 U.S.C. 351, et seq.

5 Labor Laws and Federal Contracts Federal Prevailing Wage Policies Dept. of Labor resources Help Navigating DOL Laws and Regulations - and Employment Law Guide: Laws, Regulations, and Technical Assistance Services

6 Labor Laws and Federal Contracts Federal Non-discrimination Policies Executive Order Race, color, religion, sex, sexual orientation, gender identity, or national origin Vietnam Era Veterans Readjustment Assistance Act of 1974 (VEVRAA) Veterans Rehabilitation Act of 1973 Physical or mental disability Enforcement Office of Federal Contract Compliance Programs (OFCCP)

7 Labor Laws and Federal Contracts Federal Non-discrimination Policies Recent OFFCP Enforcement Actions WMS Solutions, LLC staffing agency sub Fort Myer Construction Corp. - construction OFCCP Resources - Home Page Recent Developments EO As of 04/08/2015, now prohibits discrimination based on sexual orientation or gender identification ( LGBT.html)

8 Labor Laws and Federal Contracts Thanks Rolly Chambers Smith, Currie & Hancock LLP 5701 Westpark Dr., Suite 204 Charlotte, NC

9 NCMBC 2015 Federal Construc6on, Infrastructure & Environmental Summit Affirma6ve Ac6on Updates Beverly Freeman Senior Cer0fied Affirma0ve Ac0on Professional (Sr. CAAP) October 29, 2015 Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 9

10 LEGAL Legal DISCLAIMER Disclaimer The informa0on in this PowerPoint is provided for general informa0on purposes only and these materials are not intended to provide legal advice. Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 10

11 Construc0on and Federally Assisted Construc0on Contractors EO prohibits discrimina0on on basis of race, color, religion, sex, sexual orienta6on, gender iden6ty or na0onal origin ($10,000+ contract) Not required to develop wriyen affirma0ve ac0on plan under EO workforce too fluid Are required to take affirma0ve ac0on via outreach and recruitment efforts toward minori0es and women in skilled trade posi0ons Construc0on contractors (not federally assisted) are required to develop wriyen AAPs for Covered Veterans (VEVRAA), when applicable, and Individuals with Disabili0es (Sec0on 503) Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 11

12 Construc0on and Federally Assisted Construc0on Contractors Construc0on contractors (not federally assisted) are required to develop wriyen AAPs for Protected Veterans (VEVRAA) if: 50+ EEs & $150,000+ contract (raised from $100,000 effec6ve October 1, 2015) Above threshold also triggers requirement to list open posi0ons with the appropriate state workforce agency Construc0on contractors (not federally assisted) are required to develop wriyen AAPs for Individuals with Disabili0es (Sec0on 503) if: 50+ EEs & $50,000+ contract EEO- 1 Reports VETS 4212 (2015 New Report Name) Jurisdic0onal Thresholds Poster - NEW Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 12

13 13

14 Veteran Hiring Ini0a0ves Veteran Hiring Benchmark 7.0% as of 4/21/15 Recruitment and Hiring of Qualified Veterans hyp:// resources_recruit.htm Re- think how you hire Veterans: Ask How long did you supervise? ; How many people did you supervise? ; What kind of budget were you responsible for? 14

15 Updates Since Last FEDCON EO Execu6ve Order 13672: LGBT (Lesbian, Gay, Bisexual, Transgender) An6- Discrimina6on effec6ve April 8, 2015 Contractors must not discriminate based on LGBT status or gender iden0ty EEO Clause: must subs0tute the phrase sex, and na0onal origin with sex, sexual orienta6on, gender iden6ty, or na0onal origin EEO Tagline in adver0sements EOE Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 15

16 Updates Since Last FEDCON EO Execu6ve Order 13665: Pay Transparency Requirements effec6ve January 11, 2016, amends EO Employees and applicants may ask about and share candid informa0on about their pay with other employees and applicants without discrimina0on or retalia0on by their employers. Purpose of this EO is to encourage pay discussions in an ayempt to ensure fair pay among employees. Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 16

17 Updates Since Last FEDCON EO The Final Rule prohibits contractors from: 1) Discharging or discrimina0ng against; 2) Any employee or applicant for employment; 3) Because the employee or applicant has inquired about, discussed, or disclosed the compensa0on of the employee or applicant or another employee or applicant Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 17

18 Updates Since Last FEDCON EO Pos6ng Requirements: Pay Transparency Policy Statement prescribed by the OFCCP. The statement cannot be modified and must be: Included in exis0ng employee handbooks or manuals; and Available to applicants and employees by either pos0ng it electronically or physically where applicants and employees can see it. Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 18

19 PAY TRANSPARENCY POLICY STATEMENT The contractor will not discharge or in any other manner discriminate against employees or applicants because they have inquired about, discussed, or disclosed their own pay or the pay of another employee or applicant. However, employees who have access to the compensa0on informa0on of other employees or applicants as a part of their essen0al job func0ons cannot disclose the pay of other employees or applicants to individuals who do not otherwise have access to compensa0on informa0on, unless the disclosure is (a) in response to a formal complaint or charge, (b) in furtherance of an inves0ga0on, proceeding, hearing, or ac0on, including an inves0ga0on conducted by the employer, or (c) consistent with the contractor s legal duty to furnish informa0on. 19

20 Updates Since Last FEDCON EO Pos6ng Requirement as of January 11, 2016: EEO is the Law Supplement includes LGBT, Pay Transparency & updates to Individuals with Disabili6es & Protected Veterans. Must be available to: Applicants and employees by either pos0ng it electronically or physically where applicants and employees can see it. Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 20

21 21

22 Updates Since Last FEDCON EO Employer Defenses Compensa0on disclosures made in the midst of viola0ng a workplace rule as long as the viola0on generally does not prohibit workplace disclosures; Inquiries, discussions or disclosures of compensa0on informa0on employees obtain through essen0al job func0ons are not protected. Employee has access to compensa0on data Exclusion if employee with essen0al job func0on has issue with their own pay Func0on of job includes protec0ng privacy of employee personnel records, including compensa0on Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 22

23 Beverly Freeman, Sr. CAAP President AAP Consultants LLC Affirmative Action Plan Development OFCCP Audit Assistance Applicant Tracking Strategies 23

24 About Beverly Freeman Beverly Freeman is a Senior Cer0fied Affirma0ve Ac0on Professional (Sr. CAAP). In 2010, she started her own consul0ng business, AAP Consultants LLC. Prior to star0ng her business, Beverly worked 16 years for one of the 10 largest employers associa0on groups in the country, providing affirma0ve ac0on consul0ng services to over 100 federal contractors/subcontractors. She was responsible for the prepara0on of over 250 AAPs annually and dozens of OFCCP audit reviews. Today, Beverly spends her 0me with a limited clientele helping them design and implement fully compliant affirma0ve ac0on plans, as well as developing procedures related to recruitment, applicant tracking, compensa0on systems, outreach and other affirma0ve ac0on compliance obliga0ons. Beverly is a director on the Na0onal Industry Liaison Group (NILG) serving 1 of 4 elected seats in the Southeast Region. She is Vice President of her local ILG and has served as the Program Chair for 3 years. She has also served on the planning commiyee for two statewide ILG conferences, was on the execu0ve planning commiyee for the successful inaugural SEILG conference in 2012 and is a commiyee chair of the 2016 ILG Na0onal Conference to be held in CharloYe, NC. Beverly is a graduate of North Carolina State University. She & her husband are board members of the Appalachian State University Parents Associa0on while their son is a student at the university.

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