September 19, 2014

U.S. Labor Department Proposes Rule to Prohibit Pay Secrecy

The U.S. Department of Labor’s Office of Federal Contract Compliance Programs has proposed a rule to implement Executive Order 13665, which prohibits federal contractors and subcontractors from firing or discriminating against employees or applicants for discussing, disclosing, or inquiring about pay. 

Members of the public will have 90 days after the proposed rule is published on September 17 to provide feedback. 

The proposed rule would amend the equal opportunity clauses in Executive Order 11246 to afford protections to workers who discuss pay. It also adds definitions for important terms appearing in the clauses. The proposal hopes to improve communication amongst employees and employers by eliminating the fear of punishment associated with discussing pay.

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