FAR Council Proposes Pay Range Disclosure Rule for Federal Contractors

February 1, 2024

 

What's New

The Federal Acquisition Regulatory (FAR) Council has proposed a new pay transparency rule that would require federal contractors to disclose pay ranges for all open jobs on or in connection with covered federal contracts.

Two years after President Biden issued an Executive Order calling for pay transparency in federal contracting, the Biden Administration published its proposal in the Federal Register on January 30, 2024. 
 
The proposal also would prohibit covered contractors from considering applicants’ compensation history when making employment decisions.

The government’s notice also seeks public input about the data the government should consider when measuring this rule’s effect on workers’ engagement, turnover, productivity, and dignity.    

What It Means

If promulgated as proposed, this pay transparency rule would increase governmental scrutiny over federal contractors’ payroll and hiring practices. It also could force companies to change their method for setting compensation for new employees.

What You Should Do

CWC intends to submit comments to the agency by April 1. CWC members may make suggestions to [email protected] by March 15.





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