Federal Contractors and Subcontractors
Must Post Notice to Employees of Labor Law Rights
Beginning on June 21, 2010, federal law requires contractors entering into contracts with the Federal government to:
- post notices informing employees about their rights under Federal labor law (see attached); and
- include provisions in their contracts that require their subcontractors to post the same employee notice
These requirements are only for contracts that go into effect on or after June 21, 2010. Federal contractors and subcontractors are required to post the employee notice conspicuously in plants and offices where employees covered by the NLRA perform contract-related activity, including all places where notices to employees are customarily posted both physically and electronically.
Where a significant portion of contractor's workforce is not proficient in English, contractors and subcontractors must provide the employee notice in languages spoken by employees.
Posting requirements do not apply to the following:
- Prime contracts under $100,000
- Subcontracts below $10,000
- Contracts and subcontracts for work performed exclusively outside the territorial United States
OFCCP may also include a review of contracts, subcontracts, purchase orders and posting area to ensure compliance with this EO.
If a contractor is found to be in violation of this EO the OFCCP will attempt, through conciliation, to obtain compliance. If that doesn’t work then the Director of the OFCCP will refer the matter to the Director of OLMS (Office of Labor Management Standards) who may take enforcement action. The end result of continued non-compliance is the same with this EO as it is with all others, cease of contract work immediately upon determination of continued non-compliance and potentially debarred from holding any future federal contracts.
For more information, please visit http://www.dol.gov/olms/regs/compliance/EO13496.htm.
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