Advancing Economy, Efficiency, and Effectiveness in Federal Contracting by Promoting Pay Equity and Transparency

2022-03-18Executive Order 14069
Signed by: Joseph R. Biden Jr.
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Headline: Directs New Federal Rules to Promote Pay Equity in Contracting

What it does: The Federal Acquisition Regulatory Council must consider issuing rules to limit or prohibit contractors from seeking applicants' or employees' past compensation.

Real World Impact:
  • Starts rulemaking to consider banning contractors from asking about past pay.
  • Prompts consideration of accountability measures for contractor hiring and pay decisions.
  • Affects job applicants and employees who work for federal contractors and subcontractors.
Topics: pay equity, federal contracting, hiring practices, transparency, workplace fairness

Summary

This order directs federal rulemaking to promote pay equity and transparency in government contracting. It asks the Federal Acquisition Regulatory Council to consider proposed rules affecting pay practices for contractors.

The rules would specifically look at whether to limit or ban contractors from seeking job applicants' or employees' past compensation and whether to add accountability measures. It affects job applicants, employees of federal contractors, and agencies that buy goods and services.

The goal is to eliminate discriminatory pay practices that hurt the federal workforce and procurement.

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