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Government Contractor Compliance & Regulatory Update

Challenge To The Fair Pay And Safe Workplaces (“Blacklisting”) Rule To Be Heard On October 21, 2016

Posted in Department of Labor, Federal Acquisitions, Federal Contractors, Labor Law

On October 7, 2016, the first lawsuit challenging the Fair Pay and Safe Workplaces Executive Order (the “Order”) and its Final Rule and Guidance (collectively the “Rule”) was filed in the U.S. District Court for the Eastern District of Texas.  The lawsuit, seeks a preliminary injunction preventing implementation of the Rule, declaratory judgment declaring the Rule invalid, and an order vacating the Rule.  A hearing on the plaintiffs’ motion for preliminary injunction will be heard by District Judge Marcia Crone on October 21, 2016.

As a reminder, the Rule, when it goes into effect on October 25, 2016, will require federal contractors to disclose various “violations” of labor laws to the federal government.  It also imposes new paycheck transparency and arbitration restrictions on federal government contractors.  Some of our previous blog posts on the Rule can be found here and here.

We will continue to monitor developments in this case and any others that arise.