Client Alert
President Obama Issues Fair Pay and Safe Workplaces Executive Order
Client Alert
President Obama Issues Fair Pay and Safe Workplaces Executive Order
August 1, 2014
On July 31, 2014, President Obama signed an Executive Order, Fair Pay and Safe Workplaces, requiring prospective federal contractors to disclose labor violations and efforts to correct them. The Order also prohibits certain contractors from requiring workers to sign pre-dispute arbitration agreements covering certain civil rights and tort claims. According to a U.S. Department of Labor estimate, there are roughly 24,000 businesses with federal contracts, employing about 28 million workers. The Order will be implemented on new contracts in stages, on a prioritized basis, during 2016.