OFCCP | The Contracting Education Academy

November 26, 2018 By AMK

Labor Dept. eases EEO requirements for contracts to provide California wildfire relief

The Office of Federal Contract Compliance Programs (OFCCP) has temporarily suspended certain requirements, “allowing businesses involved in wildfire relief the ability to prioritize recovery efforts.”

This follows action by the U.S. Department of Labor (DOL) which announced plans to assist those affected by the California wildfires. The DOL’s actions include relief efforts by a number of agencies.

In a national interest exemption memorandum to all contracting agencies of the federal government, OFCCP Acting Director Craig Leen cited the “special circumstances in the national interest presented by the destruction caused by California Wildfires” as the reason behind the institution of a limited exemption and waiver from some of the requirements of the laws administered by OFCCP.

The memorandum applies to new supply and service and construction contracts entered into between November 19, 2018, and February 19, 2019, specifically to provide California wildfire relief.

Keep reading this article at: https://www.natlawreview.com/article/ofccp-eases-requirements-contracts-to-provide-california-wildfire-relief

February 2, 2012 By AMK

USDA backs off controversial labor rule targeting contractors

In a win for federal contractors and contracting officers alike, Agriculture Department officials decided on Jan. 30 to withdraw a new final rule requiring companies to keep their subcontractors and suppliers in line with federal labor laws, a department spokesman told Washington Technology on Jan. 31.

Under USDA’s rule, companies contracting with the department would have to certify that they comply with labor laws and that their subcontractors of any tier and their suppliers also comply. It would have included reporting requirements for violations and the threat of tough action by the department if there were violations.

Officials took a unique approach to rule-making and added it as a direct final rule to the Agriculture Acquisition Regulation on Dec. 1. It was set to take effect Feb. 29. However, they said if the rule garnered any adverse comments, they would withdraw the rule in part or in whole.

The Council of Defense and Space Industry Associations, a group of six industry groups, objected to the rule in a letter to the USDA last week. The council said the rule overlapped more than 180 federal labor laws and regulations to implement the laws. The rule would also add additional work to both the prime contractors, which would have to monitor their subcontractors and suppliers, and the contracting officers who would review reports on compliance. Further, USDA could possibly bump heads with the Labor Department in the case of a labor law violation.

The council’s letter pushed USDA to withdraw the whole rule.

“Yesterday, USDA withdrew the Dec. 1, 2011, direct final rule adding a new clause to the Agriculture Acquisition Regulation,” the USDA spokesman said.

Alan Chvotkin, executive vice president and counsel for the Professional Services Council, a member of the overarching-industry group objecting the rule, said the USDA did well to withdraw its rule after receiving the letter from the council about the rule’s ambiguities and overlap with other standing laws.

“I’m pleased USDA acted promptly in light of well-reasoned comments from the council,” he said.

About the Author: Matthew Weigelt is a senior writer covering acquisition and procurement for Federal Computer Week. This article appeared on Jan. 31, 2012 at http://washingtontechnology.com/articles/2012/01/31/usda-withdraws-labor-law-rule.aspx?s=wtdaily_010212.

February 1, 2012 By AMK

Industry objects to USDA labor rule, cites extra burden on contractors

Six industry groups are objecting to a new Agriculture Department rule on labor law violations, claiming the rule is redundant and would cause extra work for businesses and contracting officers. The groups made their complaint known in a Jan. 26 letter to department officials.

Under USDA’s rule, companies contracting with the department must certify that they comply with labor laws and that their subcontractors of any tier and their suppliers also comply. It includes reporting requirements for violations and the threat of tough action if there are violations.

The rule was issued Dec. 1 as a direct final rule, amending the Agriculture Acquisition Regulation (AGAR). It takes effect on Feb. 29. In their notice, department officials said they would pull back their final rule, if they received “adverse comments” on it.

In the letter, six business groups, called the Council of Defense and Space Industry Associations, said the government already has 180 federal labor laws, as well as regulations to implement those laws. The government also has numerous offices within the Labor Department, such as the Office of Federal Contract Compliance Programs, to ensure companies abide by the complex web of laws. The council said the USDA officials would have to be careful that they not usurp other agencies’ authorities, which could lead to conflicting rulings on enforcement.

The rule would add a significant burden on companies with large numbers of employees and facilities, and with significant numbers of subcontractors and suppliers. They would have to develop procedures to monitor and report on their own compliance with each of the labor laws. Then, companies would have to set up similar procedures to monitor compliance up and down their supply chain.

Contracting officers also would have a lot of extra work as a result of the law. Acquisition officials would be responsible for reviewing reports of noncompliance and taking action against companies. Meanwhile, officials may not have the expertise and resources to interpret and then enforce the myriad labor laws.

The council noted several ambiguities in the rule, such as which labor laws apply to the rule. Another concern was with the compliance clause. When awarded a contract, the prime contractor deems that all its subcontractors and suppliers are complying with labor laws. However, companies often will not have a contractual relationship with its subcontractors until after award.

“We urge USDA to immediately cancel the direct final rule and also withdraw the proposed rule,” the letter said.

The council is comprised of the Aerospace Industries Association, American Council of Engineering Companies, U.S. Chamber of Commerce, National Defense Industrial Association, Professional Services Council, and TechAmerica.

About the Author: Matthew Weigelt is a senior writer covering acquisition and procurement for Federal Computer Week. This article appeared on Jan. 30, 2012 at http://washingtontechnology.com/articles/2012/01/30/usda-labor-law-compliance-complaints.aspx?s=wtdaily_310112.

February 1, 2011 By AMK

Agency watchdog wants more power to target contractors

A small Labor Department office is giving companies another worry about tough oversight by seeking more power to investigate federal contractors about potential pay discrimination, primarily against veterans and disabled people.Labor’s Office of Federal Contract Compliance Programs (OFCCP) plans to do away with George W. Bush administration-era guidelines on checking companies’ equal pay because it says the guidelines are too restrictive or simply not used.

“The rigidity of the current standards represents a significant departure from OFCCP’s traditional tailoring” to investigations, according to Jan. 3 Federal Register announcement to rescind the rules.

The Bush administration in 2006 set up a statistical approach to their reviews. Under those rules, discrimination must show a pattern or practice of disparate treatment and use a multiple regression analysis to identify compensation discrimination.

However, the Obama administration says those rules impose “overly narrow investigation procedures that go beyond what is required by law.” In addition, OFCCP officials say companies haven’t used guidance laid out by the previous administration on companies doing voluntary self-analyses of their compensation.

OFCCP officials now intend to get rid of the restrictive rules and use their own discretion to develop procedures to investigate contractors. Their plan is to continually refine the procedures to make them most effective.

“OFCCP will reinstitute the practice of exercising its discretion to develop compensation discrimination investigation procedures,” officials wrote in the notice.

The small office has already been checking out government contractors.

Rebecca Springer, counsel at the Crowell and Morning law firm, said eight of the last 10 companies’ audits that she worked on included checks by the OFCCP.

Despite the office’s increased efforts to expand its authority to act, contractors won’t have as much information on how OFCCP will go about reviewing compensation and wages to veterans and individuals with disabilities. By doing away with the detailed statistical analyses, she said officials will take a more simple approach to reviewing companies based on the resources available to the office.

“I think we are potentially headed back to an era of much greater secrecy as to how they are analyzing compensation,” Springer said during a webinar this month.

She also expects more regulations this spring and summer about OFCCP. There could possibly be new legislation to expand OFCCP’s authority in investigating companies.

Springer recommends companies should aggressively push back against the OFCCP if they have evidence of equal compensation and no discrimination against to certain people.

– by Matthew Weigelt – Jan. 25, 2011 – Federal Computer Week.

The Office of Federal Contract Compliance Programs (OFCCP) has temporarily suspended certain requirements, “allowing businesses involved in wildfire relief the ability to prioritize recovery efforts.”

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