On July 31, 2014, President Obama signed the Fair Pay and Safe
Workplaces Executive Order. Under the Order, offerors on
procurement contracts, where the estimated value exceeds
$500,000.00, will be required to disclose whether they have been
found to have violated one of several labor laws enumerated in the
Order within the preceding three years. If so, the offeror will be
given the opportunity to disclose its efforts to correct the
violation and increase compliance with labor laws. Contracting
officers are required to take both the violation and increased
compliance efforts into consideration in determining contractor
responsibility.
In addition to the disclosure requirements, the Order also
requires prime contractors to incorporate provisions into their
subcontracts requiring disclosure of any such labor law violations
within the preceding three years.
