By Simon Brody
In a provision currently proposed for attachment to the new federal appropriations bill by members of the Congressional Progressive Caucus contractors could face debarment for even the mildest violations of the Fair Labor Standards Act. The Caucus has also urged the president to consider further executive actions to bolster protections for workers employed by contractors.
Congressman Keith Ellison (D-MN) advanced the provision under which a contractor that has been found liable for even a minor FLSA violation — of as little as $5,000 — would be subject to debarment on that basis alone.
The provision was recently adopted as part of 2015 Appropriations bills for Transportation, Housing and Urban Development, the Department of Defense, Energy and Water Development, Financial Services and General Government, State and Foreign Operations, and Interior and Environment.
Debarment prevents contractor from receiving business from the federal government for a period of years, and is known among the stiffest penalty a contractor can face, particularly those whose core businesses involve servicing the federal government.
In a recent letter to the president, Ellison and Raúl Grijalva (D-Ariz.) urge him to consider stronger a new executive order which would guarantee wage protections for workers employed by federal contractors.
To read more, visit: http://web.governmentcontractors.org/content/news/Contractors_could_face_debarment_for_FLSA_violations.aspx
Ken Turner & Turner Bros. Contractors Ltd 