Final Rule on Pay Transparency

By | January 7, 2016

On September 11, 2015, the Office of Federal Contract Compliance Programs (OFCCP) published the final rule on pay transparency in the Federal Register, revising the regulations found at 41 CFR 60-1. The final rule takes effect on January 11, 2016, 120 days from publication. Contractors will become subject to the new rule upon entering into a new or modified contract, in excess of $10,000, on or after the effective date. The Federal Register publication can be found at: https://www.gpo.gov/fdsys/pkg/FR-2015-09-11/pdf/2015-22547.pdf. The actual regulations begin on page 54924. The final rule requires federal contractors to disseminate a nondiscrimination provision to applicants and employees using language prescribed by the OFCCP. The new requirement can be found at 41 CFR 60-1.35(c), page 54977 of the Federal Register. The new requirement can be found at 41 CFR 60-1.35(c), page 54977 of the Federal Register. A copy of the nondiscrimination provision can be found on the OFCCP’s website at: http://www.dol.gov/ofccp/pdf/EO13665_PrescribedNondiscriminationPostingLanguage_JRFQA508c.pdf.

The revised regulations also required modifications to the “EEO is the Law” Poster. A supplement to the poster was released following the publication of the new regulations, and in a webinar given on September 11, 2015, it was stated that the supplement must be used immediately despite the January 11, 2016 effective date of the new regulations because it contains new language revising the Executive Order 11246, Individuals with Disabilities, and Protected Veterans sections.

Please see the news article previously posted on our website at: http://www.gbcs.net/2015/09/ofccp-published-final-rule-on-pay-transparency/ for more information.

Please contact us by calling (732) 446-2529 or sending us an e-mail at glennbarlett@gbcs.net if you are interested in discussing the pay transparency rule.