24-HR Emergency Service: 1-800-300-4875

24-HR Emergency Service: 1-800-300-4875

DOL Issues Final Rule Increasing Federal Contractor Minimum Wage

On Nov. 22, the U.S. Department of Labor’s Wage and Hour Division issued its final rule implementing President Biden’s Executive Order 14026, Increasing the Minimum Wage for Federal Contractors, which applies to all workers performing work on or in connection with covered federal contracts. The minimum wage will increase to $15 per hour beginning Jan, 30, 2022, superseding a scheduled increase to $11.25 that will occur on Jan. 1 under EO 13658, Establishing a Minimum Wage for Contractors.

“Most of ABC’s federal contractor members already pay the vast majority of their workers at wage rates higher than the $15 per hour minimum established in this rule,” said Ben Brubeck, ABC vice president of regulatory, labor and state affairs, in a press release in response to the final rule. “However, ABC is concerned with the Biden administration’s decision to ignore Congress’s authority and not establish a market-driven approach to wage determination. This rulemaking will create unnecessary confusion and needlessly increase the compliance burden on ABC member contractors that build America’s infrastructure and perform other federal or federally assisted work.”

According to a DOL news release, in addition to increasing the minimum wage for federal contractors, the final rule:

  • Continues to index the federal contract minimum wage in future years to inflation;
  • Eliminates the tipped minimum wage for federal contract employees by 2024;
  • Ensures a $15 minimum wage for workers with disabilities performing work on or in connection with covered contracts; and
  • Restores minimum wage protections to outfitters and guides operating on federal lands. 

More information and resources on EO 14026 and the final rule, including a list of FAQs, a fact sheet on EO 14026 and side-by-side comparison of EO 13658 and EO 14026, can be found on the DOL website.

On Aug. 27, ABC submitted comments to the WHD in response to the agency’s proposed rule.

Powered by WPeMatico

Infrastructure Investment and Jobs Act Signed into Law

On Nov. 15, President Biden signed H.R. 3684, the Infrastructure Investment and Jobs Act, into law at the White House.

The IIJA authorizes nearly $550 billion in new federal money for infrastructure projects, while renewing approximately $1.2 trillion for existing programs that were set to expire.

The federal government will now implement the legislation, which will provide funding to agencies and states to improve the condition of infrastructure systems. (Here is a breakdown of state benefits from IIJA funding.) Before signing the bill, President Biden announced that former New Orleans Mayor Mitch Landrieu (D) will supervise implementation of the IIJA. Landrieu will be a senior adviser responsible for the coordination of the new law, working through the National Economic Council.

Here’s a topline spending overview:

  • $110 billion for roads, bridges and other major projects
  • $73 billion to update the nation’s electricity grid
  • $66 billion for passenger and freight rail
  • $65 billion for broadband internet
  • $55 billion for water infrastructure ($15 billion for removing lead pipes)
  • $50 billion for climate resiliency projects
  • $39 billion for public transit
  • $25 billion for airports
  • $21 billion for environmental remediation projects
  • $17 billion for ports and waterways
  • $11 billion for transportation safety projects
  • $7.5 billion for low emissions buses and ferries
  • $7.5 billion to construct EV charging stations

As the bill made its way through Congress, ABC continued to advocate for merit shop priorities in the legislation, ultimately remaining neutral on the passage of the IIJA. Although the IIJA does not include project labor agreement mandates, the bill does include an expansion of Davis-Bacon requirements and other provisions of concern to ABC. 

After the bill passed in the U.S. House of Representatives, ABC released a statement from President and CEO Michael Bellaman saying, “Passage of the bipartisan infrastructure bill creates an opportunity to effectively modernize our nation’s most critical infrastructure, and ABC and our members stand ready to do the important work to bring America’s infrastructure into the 21st century. However, ABC remains wary of some of the bill’s exclusionary provisions and statements from the Biden administration that could restrict the eligibility of America’s workers to compete for and participate in these construction projects.”

Bellaman also noted that passage of the IIJA must not be followed by the ABC-opposed partisan budget reconciliation bill. ABC strongly urges its members to reach out to their members of Congress to voice their concerns with the partisan budget reconciliation bill by using the ABC Action Center.

Powered by WPeMatico

ABC Seeks to Overturn OSHA COVID Vaccination and Testing ETS

In a Nov. 9 press release, ABC and its Alabama chapter announced that they filed a petition for review with the U.S. Court of Appeals in the 11th Circuit against the U.S. Department of Labor’s Occupational Safety and Health Administration for its COVID-19 Vaccination and Testing Emergency Temporary Standard, which applies to employers with 100 or more employees.

In ABC’s press release, Steve Klessig, vice president of architecture and engineering at employee-owned Keller Inc. in Kaukauna, Wisconsin, and 2021 chair of the ABC board of directors, said, “The OSHA ETS rule presents one of the greatest sources of risk and uncertainty to the construction industry because it is likely to exacerbate the skilled labor shortage currently facing the industry and many small businesses like my company. ABC’s legal challenge pushes back against the Biden administration’s overreaching policy, which creates unnecessary tension between employers and employees and is likely to further disrupt America’s economic recovery.”

“This ETS will create permanent and severe harm to construction industry employers and their 7.4 million employees, nearly 90,000 of whom live and work in Alabama,” said Jay Reed, president of ABC Alabama. “By exceeding the Department of Labor’s statutory authority, OSHA fails to comply with the standards for issuing an ETS, particularly as it relates to the construction industry. ABC continues to encourage vaccination against COVID-19 but cannot support this mandate.”

“By creating excessive compliance costs and regulatory burdens, this unnecessary ETS will magnify economic challenges facing the construction industry, such as a workforce shortage of 430,000, rising materials prices and supply chain woes, and cause negative ripple effects throughout the overall American economy,” said Ben Brubeck, ABC vice president of regulatory, labor and state affairs. “ABC’s hope is that this legal challenge will encourage the justice system to examine this overreach, realize its irreparable harm to the construction industry and rule it unlawful.”


Background on OSHA ETS and Resources:

On Nov. 5, OSHA published  a COVID-19 Vaccination and Testing Emergency Temporary Standard that applies to employers with 100 or more employees, as required by President Biden’s Path Out of the Pandemic COVID-19 Action Plan. The ETS went into effect on Nov. 5. Read ABC’s press release on the OSHA ETS.

The public can submit written comments on the ETS until Dec. 6. ABC will be participating in the rulemaking process and will provide information on how chapters and members can engage in the rulemaking in the near future.

Soon after the OSHA ETS was issued, the U.S. Court of Appeals for the 5th Circuit granted a temporary stay on Nov. 6, citing that the ETS raises “grave” concerns. The government now must respond and justify the rule. Following the government’s response, the court will presumably address all the required elements of a stay of the ETS and clarify whether the stay, if any, will have nationwide effect.

On Nov. 16, there will be a consolidation of all petitions for review into a single circuit, which may or may not be the 5th Circuit. Whichever court gets the case(s) could revisit any stay orders issued in the preceding week. Any stay order that is issued will only stay in effect until the final consolidated court reviews the merits and decides whether the ETS is legal or not. It is not yet clear whether the court could expedite its review and conceivably act before the year is over.

To learn more about the OSHA ETS, register for ABC National’s webinar on Nov. 17 at 2 p.m. ET.


While ABC is continuing to review the details of the ETS, here is what we currently know from OSHA:

Ø  Covered employees are required to be vaccinated by Jan. 4 and unvaccinated employees are required to produce a negative test on at least a weekly basis.

By Jan. 4, all covered employers must ensure that their employees have received the necessary shots to be fully vaccinated—either two doses of Pfizer or Moderna or one dose of Johnson & Johnson.

By Jan. 4, all covered employers must ensure that any employees who have not received the necessary shots must begin producing a verified negative test to their employer on at least a weekly basis, and they must remove from the workplace any employee who receives a positive COVID-19 test or is diagnosed with COVID-19 by a licensed health care provider. The ETS includes a wide variety of tests that comply with the standard and does not require employers to provide or pay for tests. Covered employers may be required to pay for testing because of other laws or collective bargaining agreements.

The OSHA ETS generally requires covered employers to establish, implement and enforce a written mandatory vaccination policy, which includes a process for accommodations for employees that cannot get the vaccine due to medical or religious exemptions. However, there is an exemption from that requirement for covered employers that establish, implement and enforce a written policy allowing any employee not subject to a mandatory vaccination policy to either choose to be fully vaccinated against COVID-19 or provide proof of regular testing for COVID-19 and wear a face covering in lieu of vaccination. The OSHA Mandatory Vaccination Sample and Vaccination or Testing and Face Covering Sample templates are available on the DOL website.

Ø  Pay covered employees for the time it takes to get vaccinated.

Effective Dec. 5, all covered employers are required to provide paid time off for their employees to get vaccinated and, if needed, sick leave, to recover from vaccine side effects experienced that keep them from working.

Covered employers are required to support COVID-19 vaccination for each employee by providing reasonable time to each employee during work hours for each of their primary vaccination dose(s), including up to four hours of paid time, at the employee’s regular rate of pay, for the purposes of vaccination.

If an employee already has accrued paid sick leave, an employer may require the employee to use that paid sick leave when recovering from side effects experienced following a primary vaccination dose. In addition, if a covered employer does not specify between different types of leave (i.e., employees are granted only one type of leave), the employer may require employees to use that leave when recovering from vaccination side effects. If an employer provides employees with multiple types of leave, such as sick leave and vacation leave, the employer can only require employees to use the sick leave when recovering from vaccination side effects.

Ø  Ensure all unvaccinated covered employees are masked.

Effective Dec. 5, all covered employers must ensure that unvaccinated employees wear a face mask while in the workplace. Only employees who are not fully vaccinated are required to wear a face covering under the standard when indoors and when occupying a vehicle with another person for work purposes, except in certain limited circumstances. Covered employers must not prevent any employee, regardless of vaccination status, from voluntarily wearing a face covering unless it creates a serious workplace hazard (for example, interfering with the safe operation of equipment).

Ø Covered employers are required to provide information to employees.

The OSHA ETS requires covered employers to provide employees in a language and at a literacy level the employees understand the following: information about the requirements of the ETS and workplace policies and procedures established to implement the ETS; the CDC document Key Things to Know About COVID-19 Vaccines; information about protections against retaliation and discrimination; and information about laws that provide for criminal penalties for knowingly supplying false statements or documentation.

Ø Covered employers are subject to requirements for reporting and recordkeeping.

The ETS requires employers to report work-related COVID-19 fatalities to OSHA within 8 hours of learning about them and work-related COVID-19 in-patient hospitalizations within 24 hours of the employer learning about the hospitalization.

The ETS requires employers to make available for examination and copying an employee’s COVID-19 vaccine documentation and any COVID-19 test results to that employee and to anyone having written authorized consent of that employee. Employers are also required to make available to an employee, or an employee representative, the aggregate number of fully vaccinated employees at a workplace along with the total number of employees at that workplace.

Ø  Streamline implementation and set one deadline across different vaccination requirements.

Federal contractors may have some workplaces subject to requirements for federal contractors and other workplaces subject to the COVID-19 Vaccination and Testing ETS. The deadline for the federal contractor vaccination requirement will be aligned with the deadline for the ETS.

Employees falling under the ETS or federal contractor rule will need to have their final vaccination dose—either their second dose of Pfizer or Moderna or single dose of Johnson & Johnson—by Jan. 4. The ETS will not be applied to workplaces subject to the federal contractor requirement, so employers will not have to track multiple vaccination requirements for the same employees.

For further details on scope and applicability, vaccination, testing, face coverings, reporting and availability of records, see OSHA’s Frequently Asked Questions.

Additional OSHA Resources:

This article is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney. 

Powered by WPeMatico

ABC Free Enterprise Alliance Rounds Out Six-Figure Ad Buy With Campaign Against Reconciliation Bill

On Nov. 10, ABC’s Free Enterprise Alliance announced it has completed a $200,000 issue advocacy ad buy to educate the public on dangerous policies in the Democrats’ reconciliation bill and other legislation moving through Congress.

“As partisan negotiations continue, this important advocacy campaign urges constituents to tell Congress to oppose this reckless spending bill’s harmful tax increases and costly labor mandates,” said ABC Vice President of Legislative & Political Affairs Kristen Swearingen. “Hardworking small and family-owned businesses in the construction industry will be devastated by the proposed tax increases in the multitrillion-dollar reconciliation bill. FEA and ABC are sending a strong reminder that small businesses, and ultimately the American public, thrive when they can keep more of their paychecks, which would enable them to invest in their businesses, create new jobs in their communities and grow the economy.”

This FEA campaign includes a 30-second digital video ad called “Stop Tax Hikes,” a dedicated website and social media ads.

As a capital-intensive, domestically oriented industry comprised mostly of small, family-owned and closely held merit shop construction companies employing hardworking Americans, ABC’s 21,000-plus members have historically paid the highest effective tax rate of any sector of the economy. As proposed, the reconciliation bill seeks to rob small construction businesses of the key victories of the Tax Cuts and Jobs Act of 2017, such as the 20% deduction for qualified pass-through income. Family-owned businesses are dealt a huge blow in the reconciliation bill as it seeks to get rid of the doubled estate tax exemption of $11 million.

Learn more about ABC’s Free Enterprise Alliance at FreeEnterpriseAlliance.org.

Powered by WPeMatico

ABC Pennsylvania Chapters Help Formerly Incarcerated Individuals Achieve Career Dreams

Proposed Revisions to Buy American Act Must Aim to Reduce Contractor Burden

November 03, 2021

On Oct. 28, ABC submitted comments to the U.S. Departments of Defense, General Services Administration and National Aeronautics and Space Administration to urge the agencies to clarify several aspects of the proposal and provided recommendations to reduce the burden and costs for federal contractors to comply with the Buy American Act.

READ MORE

Powered by WPeMatico

ABC Urges OSHA to Extend Comment Deadline for Heat Injury and Illness Prevention Rulemaking

On Nov. 5, ABC submitted comments to the U.S. Department of Labor’s Occupational Safety and Health Administration requesting a 60-day extension for the public to submit feedback on its advance notice of proposed rulemaking for Heat Injury and Illness Prevention in Outdoor and Indoor Work Settings, which will begin the process to consider a heat-specific workplace rule. ABC also requested comment extensions as a member of the Construction Industry Safety Coalition and Coalition for Workplace Safety.

Currently, the public will have the opportunity to submit comments on the rulemaking, which applies to indoor and outdoor worksites in general industry, construction, agriculture and maritime industries where potential heat-related hazards exist, through Dec. 27. However, ABC said in its comments that issues surrounding heat injury and illness prevention are complex and thus, the 60-day comment period is not enough time to gather substantive feedback.

The letter states, “The ANPRM has 114 questions that are intended to solicit information on the topics related to assessing the nature and magnitude of occupational illness, injuries and fatalities occurring due to hazardous heat; how hazardous heat exposure and risk varies across industries, occupations and job tasks; how business size may influence the practices and interventions implemented to prevent heat-related injuries and illnesses and the challenges experienced by businesses of varying sizes; and more. Providing only 60 days to submit this critical information to OSHA is insufficient, particularly given the volume and wide range of data and information the agency is seeking.”

ABC is currently reviewing the heat illness ANPRM and plans to submit comments on behalf of its contractor members.

ABC will continue to provide updates on this rulemaking in Newsline.

Powered by WPeMatico

OSHA’s COVID-19 Vaccination and Testing Emergency Temporary Standard Is Ready for Release

Proposed Revisions to Buy American Act Must Aim to Reduce Contractor Burden

November 03, 2021

On Oct. 28, ABC submitted comments to the U.S. Departments of Defense, General Services Administration and National Aeronautics and Space Administration to urge the agencies to clarify several aspects of the proposal and provided recommendations to reduce the burden and costs for federal contractors to comply with the Buy American Act.

READ MORE

Powered by WPeMatico

EEOC Releases COVID-19 Resources on Religious Accommodation Requests

On Oct. 28, as a reference for employers and employees, the U.S. Equal Employment Opportunity Commission shared its own internal religious accommodation request form with the public. The EEOC stated, “While the EEOC’s internal forms typically are not made public, the EEOC shared this resource given the extraordinary circumstances employers and employees face due to the COVID-19 pandemic.” 

The EEOC also updated What You Should Know About COVID-19 and the ADA, the Rehabilitation Act, and Other EEO Laws, specifically Section K, Vaccinations – Overview, ADA, Title VII, and GINA and adding Section L, Vaccinations – Title VII and Religious Objections to COVID-19 Vaccine Mandates.

For more information, visit the EEOC’s Coronavirus resources page.

Powered by WPeMatico

Safer Federal Workforce Task Force Issues More New Vaccination FAQs for Federal Contactors

On Nov. 1, the Safer Federal Workforce Task Force posted new frequently asked questions for federal contractors, whose covered employees must be fully vaccinated for COVID-19 by Dec. 8 unless the contractor is legally required to provide an accommodation for medical or religious reasons. The new FAQs cover vaccination and safety protocols, scope and applicability of task force guidance for federal contractors and compliance.

 Several new FAQs were posted, including:

Q: What steps should a covered contractor take if a covered contractor employee refuses to be vaccinated?

A: A covered contractor should determine the appropriate means of enforcement with respect to its employee at a covered contractor workplace who refuses to be vaccinated and has not been provided, or does not have a pending request for, an accommodation. This may include the covered contractor using its usual processes for enforcement of workplace policies, such as those addressed in the contractor’s employee handbook or collective bargaining agreements. One model for enforcement among employees with respect to noncompliance with a vaccination requirement is that being followed by Federal agencies. Guidance for Federal agencies is to utilize an enforcement policy that encourages compliance, including through a limited period of counseling and education, followed by additional disciplinary measures if necessary. Removal occurs only after continued noncompliance. Guidance for Federal agencies is that employees should not be placed on administrative leave while the agency is pursuing an adverse action for refusal to be vaccinated but will be required to follow safety protocols for employees who are not fully vaccinated when reporting to agency worksites. During the time period of enforcement, the covered contractor must ensure the covered contractor employee at a covered contractor workplace is following all workplace safety protocols for individuals who are not fully vaccinated. An agency may determine that a covered contractor employee who refuses to be vaccinated in accordance with a contractual requirement pursuant to EO 14042 will be denied entry to a Federal workplace, consistent with the agency’s workplace safety protocols.

Q: What steps should an agency take if a covered contractor does not comply with the requirements in the Task Force’s Guidance for Federal Contractors and Subcontractors?

A: Covered contractors are expected to comply with all requirements set forth in their contract. Where covered contractors are working in good faith and encounter challenges with compliance with COVID-19 workplace safety protocols, the agency contracting officer should work with them to address these challenges. If a covered contractor is not taking steps to comply, significant actions, such as termination of the contract, should be taken.

The other new FAQs can be found on the Safer Federal Workforce website.

ABC has developed a resource and guidance document for ABC chapters and members to learn about the latest updates and ABC actions on the new federal vaccination mandates. The document, which is updated frequently, includes federal guidance, ABC advocacy letters, Newsline articles, press releases, ABC earned media coverage and more.

In addition, ABC’s coronavirus update webpage contains a section for federal contractors. Learn more details about the issue at abc.org/coronavirus.

Powered by WPeMatico

Proposed Revisions to Buy American Act Must Aim to Reduce Contractor Burden

On Oct. 28, ABC submitted comments to the U.S. Departments of Defense, General Services Administration and National Aeronautics and Space Administration to urge the agencies to clarify several aspects of the proposal and provided recommendations to reduce the burden and costs for federal contractors to comply with the Buy American Act. The comments were filed in response to the agencies’ notice of proposed rulemaking to strengthen the requirements for goods, products and materials to be considered American-made for federal and federally assisted projects.

In accordance with President Biden’s Executive Order 14005, Ensuring the Future Is Made in All of America by All of America’s Workers, DOD, GSA and NASA issued a proposed rule to amend the regulations implementing the Buy American Act and increase the current percentage of materials produced in the United States, otherwise known as domestic content, in final components to comply with the act. Specifically, the agencies propose increasing the domestic content threshold initially from 55% to 60%, then to 65% in 2024 and finally to 75% in 2029.

Recommendations included creating a more flexible reporting process for a contractor’s reporting obligations after the contract is awarded, not applying new threshold requirements to current or multiyear contracts and providing contractors with clear, concise guidance and educational resources to assist in their compliance.

Additionally, with the proposed creation of the Made in America Office, which aims to streamline certain aspects of the act, such as the waiver process, ABC urged the agencies provide explicit details on how the office will streamline this and other processes and reduce costs for federal contractors.   

ABC will continue to provide updates on this rulemaking in Newsline.

Powered by WPeMatico