According to the Labor Department’s semiannual regulatory agenda, released on May 23, 2014, the Office of Federal Contract Compliance Programs (OFCCP) plans to issue proposed rules regarding federal contractor compensation practices later this year. The rules are intended to create more transparency and combat pay discrimination in accordance with Executive
May 2014
Second Circuit Dismisses $50 Million FCA Suit
Last week, the United States Court of Appeals for the Second Circuit affirmed the dismissal of a False Claims Act (“FCA”) whistleblower suit seeking $50 million in damages from Huron Consulting Group Inc. (“Huron”) for alleged fraudulent billing practices. The case is one of many FCA suits around the country…
OFCCP Announces Settlement Regarding Hiring Discrimination
The Department of Labor’s Office of Federal Contract Compliance Programs (“OFCCP”) recently announced that it reached a settlement with federal contractor Parson Brinckerhoff (“Parsons”) regarding claims of hiring discrimination based on race and ethnicity.
During a scheduled compliance review, OFCCP determined that Parsons engaged in hiring discrimination between 2010 and…
New Delaware Law “Encourages” State Vendors to “Ban the Box”
Delaware’s Governor recently signed a “ban the box” law to prohibit public employers from inquiring into or considering the credit or criminal history of a job candidate during the initial application process (up to and including the first interview), unless otherwise required by state or federal law. Public employers must…
First Circuit Rules on Scope of FCA First-to-File Rule in U.S. v. Bristol Myers Squibb, Inc.
The First Circuit ruled last week that an earlier-filed False Claims Act complaint will preclude a later-filed complaint if it arises out of the same underlying facts, even if the allegations are not identical.
The case concerns claims by two relators asserting claims against Bristol-Myers Squibb, Inc. (“BMS”) and Sanofi-Aventis…
New York Court Strikes Down Regulations Limiting Executive Compensation and Administrative Expenses
On April 9, in Agencies for Children’s Therapy Services, Inc. v. New York Department of Health, the Nassau County Supreme Court held that
New York Assembly Passes Bill Limiting Contractors’ Use Of Arbitration Provisions
On May 5, 2014, the New York Assembly passed a bill limiting the use of arbitration provisions for employment claims by businesses that contract with New York State. The bill would prohibit New York state agencies from entering into a contract with a business that requires an employee or independent…
OFCCP Hosts Executive Order 13665 and Presidential Memorandum “Listening Session”
On April 29th, 2014, the OFCCP hosted a “Listening Session” to solicit comments from the government contractor community regarding suggested implementing regulations for Executive Order 13665 (“EO 13665”) and a new Presidential Memorandum, which were signed by President Obama on April 8, 2014.
EO 13665 prohibits discrimination and retaliation against employees who discuss their compensation or compensation related issues. The Presidential Memorandum directs the OFCCP to implement regulations governing a new race and gender compensation data collection tool for government contractors and subcontractors. The Executive Order requires that the Secretary of Labor propose implementing regulations by September 15, 2014 while the Presidential Memorandum requires proposed regulations by August 6, 2014.
The OFCCP’s listening session provided the contractor community with