This week, OFCCP created a webpage to provide contractors more information about the “new” compliance check reviews that will be completed as part of the current round of audits. OFCCP has had the capability to conduct compliance checks for many years but has not opted to schedule them in the recent past. With this round of reviews, OFCCP re-introduced the Compliance Check, to be used in 500 of the 3,000 audits to be scheduled in the coming months. The agency has indicated they intend to schedule up to 1,000 Checks per audit list in the coming years, as a means of ensuring compliance across more contractor establishments.
In their fiscal year 2018 reports, the EEOC and OFCCP report combined monetary settlements of $521 million to victims of workplace discrimination. It was reported that $505 million in funds were paid to settle EEOC complaints, benefiting almost 68,000 people. An additional $16.4 million was paid to 12,000 workers based on findings by the OFCCP, primarily in the area of compensation violations.
Just in time for Halloween, OFCCP has been busy with what some may think are scary activities. Contractors with locations on the latest CSAL list are beginning to receive the initial phone calls to schedule their compliance reviews. The scheduling letters were said to start being mailed out on October 22, 2018.
A final rule implementing Executive Order (EO) 13838 was issued this week by the Wage and Hour Division of the Department of Labor. EO 13838 provides exemptions for some federal contracts that were established under EO 13658 “Establishing a Minimum Wage for Contractors.”
Hope Solo, a former goalkeeper for the U.S. women’s national soccer team, has filed a lawsuit in California Federal Court against the U.S. Soccer Federation for violating the Equal Pay Act.
Today, OFCCP announced three different directives geared towards maximizing the success of compliance assistance outreach for federal contractors. The directives include new procedures for reviewing compensation practices, a program to verify that contractors are in full compliance with federal AAP requirements, as well as an initiative that will establish a program that recognizes contractors with high-quality and high-performing compliance initiatives.
At the end of April, we reported that U.S. District Judge Mitchell Goldberg issued a preliminary injunction regarding a City of Philadelphia ordinance, which prevents employers from asking about a job applicant’s salary history and using those salary histories to set wages. Judge Goldberg struck down the provision that employers are not able to ask about a job applicant’s prior salary. He indicated there is insufficient evidence that a worker disclosing a salary that may be the result of past discrimination would mean the prospective employer would offer a lower wage. The City did not sufficiently address if lower wages could be the result of non-discriminatory factors such as qualifications or experience, and thus, he ruled it is acceptable for employers to request salary history.
Join us as Berkshire’s President, Beth Ronnenburg collaborates with Tim Orellano, President of the Human Resources Team, for a lively session on compensation interviews and their increase in popularity during OFCCP compliance reviews during the April 25 session at DirectEmployers 2018 Annual Meeting & Conference.
Hurry and reserve your seat at SHRM Jacksonville Conference. Berkshire expert, Charu Avasthy, will dive deep into pay equity during this insightful presentation “Is There Hidden Liability Lurking in Your Compensation System? Identifying and Eliminating Pay Inequity,” on April 12, 2018, at the University of North Florida. Register today!