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President Obama issues two executive action on compensation

2014-06-05

In recognition of National Pay Equity Day, President Obama took two executive actions on April 8, 2014:

  1. Executive Order 13665 on Non-Retaliation for Disclosure of Compensation Information. Federal contractors/subcontractors cannot "discharge or in any manner discriminate against" employees or applicants who have "inquired about, discussed, or disclosed "their own or another person's compensation information.
  2. Compensation Memorandum directing the Department of Labor (DOL) to publish regulations requiring federal contractors/subcontractors to submit pay data, by race and gender, for their employees.  President Obama's Memorandum - Advancing Pay Equity Through Compensation Data Collection, claims that effective enforcement of the equal pay mandate is impeded by a lack of "sufficiently robust and reliable data on employee compensation, including data by sex and race." This lack of data was initially identified by the National Equal Pay Task Force, which the President created to "improve enforcement of equal pay laws."
According to the DOL's spring 2014 regulatory agenda, OFCCP intends to publish its proposed rule in August 2015 and the proposed rules under EO 13655 in September 2014.