President Obama recently signed an executive order, The Fair Pay and Safe Workplace order, that provides employees of federal contractors more rights in labor disputes including prohibiting forced arbitration for employees who allege sexual harassment or sexual assault.
Additionally, the executive order requires federal contractors and their subcontractors to disclose law violations for the preceding three years prior to being awarded a federal contract. According to the Huffington Post, “The requirement that contractors divulge labor violations within the past three years applies to those bidding on contracts of more than $500,000.”
Perhaps most importantly, the new order requires corporations to provide employees with information concerning their hours worked, overtime hours, pay, and any additions to or deductions made from their pay so employees can be sure they’re getting paid what they’re owed.
While labor unions and civil rights groups lauded the new order, pro-business groups criticized the executive order for creating more unnecessary regulation on their businesses.