Game Over. Dunzo. Finito. Bye Felicia. These are things we can now officially say about the Fair Pay and Safe Workplaces Rule.
On Monday, President Trump signed a Congressional joint resolution of disapproval into law, officially invalidating the Fair Pay and Safe Workplaces Rule. Congress legislatively vetoed the Rule by using the Congressional Review Act, its new favorite tool to undo regulations promulgated during the Obama Administration. In addition to signing the resolution, the President also revoked the Executive Orders authorizing the rule and instructed all executive departments and agencies to begin rescinding any orders, rules, regulations, guidance, guidelines, or policies implementing or enforcing the rule.
Our previous coverage of the demise of Fair Pay and Safe Workplaces is available here:Fair Pay & Safe Workplaces Rule is on the chopping block
House votes to disapprove Fair Pay & Safe Workplaces Rule
Fair Pay and Safe Workplaces and its "executioner": The Congressional Review Act
As we have previously reported, the Fair Pay and Safe Workplaces Rule imposed a number of new requirements on federal contractors. It included a section dubbed by many as a “blacklisting rule,” which required contractors and subcontractors to report “labor law violations” (including various non-final administrative findings) to prove that they were responsible enough to do business with the government. It also required contractors to provide certain information to workers on their pay stubs. Finally, it prohibited pre-dispute arbitration agreements (with some exceptions) for claims arising under Title VII or any tort related to sexual assault or harassment.
Although the “blacklisting” part of the rule had already been preliminarily enjoined by a federal judge in Texas, President Trump’s signing of the resolution puts an end to the entire Rule, including the paycheck transparency and arbitration requirements. Therefore, federal contractors are no longer required to comply with these requirements.
Try not to hurt yourself jumping for joy, federal contractors.
Robin Shea has 30 years' experience in employment litigation, including Title VII and the Age Discrimination in Employment Act, the Americans with Disabilities Act (including the Amendments Act).
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