Today is a monumental day for federal workers and those who work for federal contractors. Today President Obama made it very clear that he would no longer tolerate the mistreatment of workers who are being paid for with money from the US Government.
The White House Press Secretary explains:
“As part of this Year of Action, the President will sign an Executive Order that will require prospective federal contractors to disclose labor law violations and will give agencies more guidance on how to consider labor violations when awarding federal contracts. Although many contractors already play by the rules, and federal contracting offers already must assess a contractor’s record of integrity, these officers still may not necessarily know about companies’ workplace violations. The new process is also structured to encourage companies to settle existing disputes, like paying back wages. And finally, the Executive Order also ensures that workers are given the necessary information each pay period to verify the accuracy of their paycheck and workers who may have been sexually assaulted or had their civil rights violated get their day in court by putting an end to mandatory arbitration agreements at corporations with large federal contracts.”
“By cracking down on federal contractors who break the law, the President is helping ensure that all hardworking Americans get the fair pay and safe workplaces they deserve.”
While Congress is rushing around to finish their last sessions before leaving on a month long vacation, the President using his executive authority to do what Congress is incapable of doing.
“Once again, the President is leading by example. Establishing the principle that if you are breaking the law, you don’t get to do business with the biggest employer in the country — the federal government,” said Joseph Geevarghese, deputy director of Change to Win. “Just like the executive order raising the minimum wage had a ripple effect across the economy, we hope that this bold step by the President sends a clear signal to the private sector that you need to do right by your workers.”
“Taxpayers shouldn’t reward lawbreakers that bust unions, steal wages and endanger workers,” said Teamsters General President Jim Hoffa. “President Obama is right to make it harder for companies that abuse workers to receive federal contracts.”
Many who have worked for years, if not decades, pushing for an Executive Order that would protect workers, paid high praise to President Obama for his leadership.
“From raising wages to workplace protections, President Obama is showing strong leadership where it’s needed most,” said Richard Trumka, AFL-CIO President. “Today’s executive order is a common sense measure that will make our contracting system fairer. Preventing tax dollars from being funneled to chronic violators of workers’ rights is good for workers, our economy and companies who play by the rules. When Congress shows the same leadership, all workers will be better off.”
“By signing this executive order, President Obama has demonstrated his continued commitment to protecting the rights of American workers,” said SEIU President Mary Kay Henry. “This action will help protect the wages and lives of millions of Americans by giving the government tools to identify and fix workplace violations committed by companies that hold federal contracts. President Obama is right to use his authority to ensure that the federal government leads in the fight for good jobs, protects taxpayer dollars and makes sure the government gets good value for the goods and services it purchases.
“I commend President Obama for signing an executive order that will hold companies that receive significant taxpayer dollars more accountable for their actions,” said Dennis Williams, President of the United Auto Workers. “The president’s order will help tens of millions of workers have a better workplace environment and will create a level playing field for businesses that do the right thing. Today’s announcement is yet another example of the president’s tireless work to improve workplace safety and employees rights.”
“The UAW is proud to stand with President Obama — a president who has stood by hard working Americans! This is another step in the right direction to help rebuild the middle class and strengthen our economy,” Williams said.
“Today, President Obama took a stand for American workers by signing an executive order that will promote fairer and safer workplaces for employees of government contractors,” said Leo W. Gerard, International President of the United Steelworker Union. “While many federal contractors already play by the rules and try to treat their workers fairly, thousands of hard-working Americans end up being denied the pay they deserve, or being exposed to health and safety risks, because some contractors insist on cutting corners in the name of profits.”
This is a major step forward to ensure that all workers get what they rightfully earned and those who cheat will not be rewarded. Here are some of the ways the President Obama is going to be cracking down on government contractors.
- Hold Corporations Accountable
- Crack Down on Repeat Violators
- Promote Efficient Federal Contracting
- Protect Responsible Contractors
- Focus on Helping Companies Improve
- Give Employees a Day in Court
- Give Employees Information About their Paychecks
- Streamline Implementation and Overall Contractor Reporting
(You can read the full press release with expanded descriptions of each of these points here.)
“Holding contractors to basic labor standards not only ensures that the federal government is getting the proper value for its dollar, it will protect responsible contractors in the marketplace from unfair competition by unethical employers who profit from their violations of the labor and employment laws that all employers are required to respect,” continued SEIU President Mary Kay Henry.
The SEUI and Good Jobs Nation have been working to organize low-wage fast food workers both inside and outside the government. Yesterday, low-wage federal contract workers who are part of Good Jobs Nation went on strike for the 9th time to call for an end to wage theft, living wages and benefits, and the right to collectively bargain. They are on the front lines when it comes to the horrors of wage theft and maleficence from government contractors.
“The current system doesn’t do enough to ensure taxpayer dollars only go to responsible employers. It’s difficult to know about a company’s record of compliance with the Family and Medical Leave Act, the Fair Labor Standards Act and others laws that protect working families. That’s why President Obama’s action today is so important. With more than 20 percent of Americans working for companies that do business with the federal government, this executive order will have a real impact on the lives of workers,” concluded Kay Henry.
“Today’s announcement builds on years of work by UFCW members and our partner unions to create a system that is fairer for workers and encourages a race to the top when it comes to labor standards,” said Joe Hansen, International President of the United Food and Commercial Workers International Union (UFCW). “These efforts included a 2013 resolution passed unanimously by delegates to the UFCW convention calling on the creation of a ‘High Road’ procurement process.”
All in all this order is about protecting workers in every sector of the government.
“In the last several years, the meat and poultry industries have received over 1 billion dollars from taxpayers. Many workers in these industries work full-time yet are not paid enough to support themselves or their families. They also must endure dangerous workplace conditions and chronic underreporting of injuries by their employers,” continued Hansen. “This executive order sends a message that companies who engage in this type of anti-worker activity must change the way they do business or lose access to their government contracts.”
Others took this announcement as chance to once again to highlight the dysfunction of our current Congress.
“With this order, President Obama has sent the message that in the United States, we put people ahead of profits, as he has throughout his time in the Oval Office,” continued USW President Leo Gerard. “Sadly, we have a Republican Congress that takes the opposite approach. Because they are more interested in giving handouts to their wealthy donors than in helping working Americans, the President is forced to take action on his own.”
“We welcome this action by President Obama and call on everyone in Washington to follow his example and start working together to make life better for all American workers and their families,” concluded Gerard.
All in all it was a good day for workers, a bad day for corporations who cheat, and a good day for the American taxpayers who will see savings from the new contracting process.
“I want to thank President Obama, Secretary of Labor Perez, and all those involved in crafting this executive order. Today’s announcement is an important first step in ensuring our government is doing everything in its power to protect America’s workers,” concluded UFCW President Joe Hansen.
Related post: The Government Is The Largest Creator Of Low-Wage Jobs – by Matt Murray