The Office of Federal Contract Compliance Programs (OFCCP) has released A Guide to Combatting Harassment in the Construction Industry, a resource designed to help federal construction contractors address harassment at worksites. The guide is in a question-and-answer format, making it accessible and easy to navigate for both contractors and workers.
This guide details the legal responsibilities of contractors to ensure workplaces are free from harassment, as mandated by Executive Order 11246, Section 503 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (VEVRAA). It explains what constitutes harassment, offers examples, and highlights that unlawful behavior can come from supervisors, coworkers, or third parties, including vendors, clients, and subcontractors.
This guide, to support compliance and create safer workplaces, emphasizes several best practices, including:
The guide can serve as a tool to support contractors in ensuring compliance and fostering safe, respectful, and equitable workplaces across the construction industry. The guide can be found at: https://www.dol.gov/sites/dolgov/files/OFCCP/Construction/files/OFCCP-Harassment-in-Construction-Guide-508c.pdf
The Office of Federal Contract Compliance Programs (OFCCP) announced reinstating the Monthly Employment Utilization Report (Form CC-257) for federal construction contractors and subcontractors. The first report, covering March 2025, will be due by April 15, 2025, with subsequent reports due monthly by the 15th (or the next business day if the 15th falls on a weekend or holiday).
Key details include:
To support compliance, OFCCP has published a Frequently Asked Questions (FAQ) section on its CC-257 Report webpage, addressing common contractor concerns about the new requirements. Additionally, the agency plans to provide further compliance assistance, including a webinar, in early 2025.
The new requirements follow the final approval of Form CC-257 in September 2024 and complement earlier changes to contractor obligations. However, the policy’s future may depend on the decisions of the incoming presidential administration.
President-elect Donald Trump has named Rep. Lori Chavez-DeRemer (R-Ore.) his choice for Secretary of Labor. A former one-term congresswoman, Chavez-DeRemer has built a reputation as a pro-labor Republican, co-sponsoring legislation like the Protecting the Right to Organize (PRO) Act to strengthen union rights and expand penalties for labor law violations. Her nomination has been endorsed by major labor groups, including the Teamsters, but has drawn criticism from conservatives for her union-friendly policies.
Chavez-DeRemer, who represented Oregon’s 5th Congressional District, built a reputation for bipartisan collaboration and advocacy for worker rights by supporting bills to strengthen public-sector unions and safeguard workers’ Social Security benefits. Additionally, she emphasized apprenticeship programs and workforce development, showing her commitment to improving opportunities for American workers.
Her nomination signals a potential shift in the Trump administration’s approach to labor policy, emphasizing workforce development and labor-management cooperation. The confirmation process will determine how her leadership will shape labor relations and business practices.
If confirmed, Chavez-DeRemer could shift the Department of Labor toward expanded training programs. With ongoing legal challenges to Biden-era overtime and contractor wages regulations, Chavez-DeRemer’s stance on defending or revising these rules will be closely monitored.
The U.S. District Court for the Eastern District of Texas recently invalidated the Department of Labor’s (DOL) final rule that increased overtime exemption salary thresholds under the Fair Labor Standards Act (FLSA). The court ruled that the regulation exceeded the agency’s statutory authority. The decision nullifies the salary threshold increase that took effect in July 2024 and the planned increase for January 2025. The nationwide ruling reverts the threshold to $684 per week ($35,568 annually) and $107,432 annually for highly compensated employees.
The court determined that the DOL’s rule improperly emphasized salary thresholds, effectively overshadowing the requirement to evaluate whether employees perform exempt duties. This ruling aligns with a Fifth Circuit Court decision limiting the DOL’s authority to set salary thresholds that “replace or swallow” statutory exemptions. The now-vacated rule raised the salary threshold to $844 per week ($43,888 annually) on July 1, 2024, with a planned increase to $1,128 per week ($58,656 annually) on January 1, 2025.
For now, employers are no longer required to adjust salaries to meet the previously planned increases under the vacated DOL rule. However, reviewing current pay practices and evaluating the potential reinstatement of exempt status for employees affected by the July 2024 changes is essential. Employers should consult legal counsel to ensure compliance with wage laws, especially in states with stricter requirements.
The DOL may appeal the decision, but with the impending presidential transition in January 2025, the likelihood of the rule being reinstated appears low. Employers should monitor further developments and adjust their compliance strategies accordingly.
The U.S. Department of Labor (USDOL) has introduced a set of principles and best practices to guide employers and AI developers in safeguarding workers’ rights and well-being amidst the rapid adoption of artificial intelligence. Directed by President Biden’s executive order on the Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence, the guidance outlines how AI can be ethically and transparently integrated into workplaces, ensuring that both businesses and employees benefit from technological advances.
The guidelines highlight several essential principles, with a primary focus on empowering workers. This involves including workers in designing and implementing AI systems that impact their roles. Ethical development is also prioritized, ensuring AI systems are created with solid safety measures and anti-bias standards. Furthermore, transparency in AI usage is vital; companies should inform workers about AI applications, mainly when they influence employment decisions.
Other principles include ensuring data responsibility, whereby employers are urged to collect only necessary data, protect it diligently, and avoid sharing it without explicit consent. The DOL also advocates for support during transitions in cases where AI may replace specific roles, recommending that employers provide retraining or alternate positions for affected workers.
The guidance underscores the potential of AI to improve job quality, enhance safety, and promote equitable practices in the workplace, but it warns against its unchecked use. With these guidelines, the DOL aims to help employers and developers navigate AI integration responsibly, balancing innovation with the rights and protections of American workers.
You can see a copy of the guide here; https://www.dol.gov/sites/dolgov/files/general/ai/AI-Principles-Best-Practices.pdf
Fringe Benefit Group (FBG), an industry leader in the design, implementation and administration of benefit plans for government contractors, restaurants, retail, and staffing companies, today announced that Nick Harness has joined the company as Chief Information Officer (CIO). Harness brings extensive technology and business leadership experience to FBG, where he is focused on enhancing platform features, optimizing the user experience and pushing data-driven insights to customers.
Over the past two decades, Harness has served in various technology leadership roles across JPMorgan Chase’s Asset Management Division and Morgan Stanley’s Research Division in New York City where he delivered technology solutions on a global scale. Most recently, Nick served as Chief Information Officer at Kestra Holdings, an Austin-based wealth management company, where he helped the company achieve rapid growth acceleration through technology modernization and innovation.
“We are very excited to have Nick join the FBG team. His vast experience in delivering innovative technology solutions across financial services industries will allow FBG to launch major technology enhancements on our platform and better streamline benefits administration for our customers. We look forward to a steady announcement of new features for our customers in the months ahead,” said Travis West, CEO of Fringe Benefit Group.
“I can’t wait to work with FBG’s leadership to further accelerate our product and technology development strategy and help our customers – hardworking Americans – understand and easily access their benefits. My mission is to give our customers the best features and functionalities through a significant investment in technology and innovation,” said Harness.
Harness received his MBA from New York University and a Bachelor of Engineering (Honors) degree in Electrical and Electronic Engineering from South Bank University, London, UK.
About FBG
FBG has more than four decades of industry expertise providing customized benefit programs for government contractors, restaurants, retail, and staffing companies via its flagship products, The Contractors Plan and The American Worker. Through its nationwide network of independent brokers and agents, FBG offers products from the industry’s leading carriers and is recognized for its full-service suite of tools and services that greatly reduce the burden of plan enrollment and administration for employers with hourly and part-time workers.
For more information, visit www.fbg.com, www.contractorsplan.com or www.theamericanworker.com
Transamerica today announced it has expanded its collaboration with Fringe Benefit Group (FBG) and The Contractors Plan, a $2 billion prevailing wage retirement plan program that administers retirement benefits for nearly 1,500 employers and more than 64,500 American workers.
FBG’s history of providing customized benefit programs for government contractors, restaurants, retail and staffing companies across the United States will complement new service offerings from the expanded collaboration. This includes Transamerica’s Managed Advice® (savings and investment advice for employees), a multilingual website featuring advanced, customizable and intuitive retirement planning tools, as well as a platform with robust investment options to help employees meet their retirement goals.
“We are excited to expand this collaboration, leveraging our pooled plan capabilities as a scalable and efficient model for new plan growth,” said Darren Zino, Transamerica’s head of retirement distribution. “We will lean into FBG and The Contractors Plan’s incredible network to enable us to expand retirement plans and service offerings to even more hardworking Americans.”
“FBG and The Contractors Plan is proud to exclusively partner with a leading institutional retirement and asset management platform in Transamerica,” said Travis West, FBG’s CEO. “Combining Transamerica’s retirement expertise and comprehensive suite of solutions with our industry-specific technology and compliance programs will bring substantial benefits and value to any client or prospect in our industries of focus. This collaboration is paving the way for innovations that we believe will set a new standard.”
FBG, with more than four decades of industry experience in working with government contractors, restaurants, retail and staffing companies, has designed and administered programs that simplify the benefits process for employers with hourly workers since 1983. Through its nationwide network of independent brokers and agents, FBG offers products from the industry’s leading carriers and is recognized for its full-service suite of tools and services designed specifically for employers with hourly and part-time workers. For more information, visit www.fbg.com, www.contractorsplan.com or www.theamericanworker.com.
About Transamerica
With a history that dates back more than 100 years, Transamerica is a leading provider of life insurance, retirement, and investment solutions, serving millions of customers throughout the United States. Transamerica’s dedicated professionals focus on helping people live their best lives through saving, investing, and protecting their loved ones. Transamerica is dedicated to building America’s leading middle market life insurance and retirement company, with unique access to the large and growing middle market consumer via World Financial Group and US retirement recordkeeping. Transamerica provides a broad range of quality individual life insurance policies, workplace supplemental insurance benefits, workplace retirement plans, individual retirement accounts, and investment products including mutual funds, annuities, stable value solutions, as well as investment management services.
In 2023, Transamerica fulfilled its promises to customers, paying more than $47 billion in insurance, retirement, and annuity claims and benefits, including return of annuity premiums paid by the customer. Transamerica’s head office is in Baltimore, Maryland, with other major operations in Cedar Rapids, Iowa, and Denver, Colorado. Transamerica is part of the Aegon group of companies. Each Aegon company is solely responsible for its own financial conditions and contractual obligations. Headquartered in the Netherlands, Aegon is an international financial services holding company.
For more information, visit www.transamerica.com.
The U.S. Department of Labor’s Wage and Hour Division (WDH) offers free compliance seminars to help contracting agencies, contractors, unions, workers, and other stakeholders understand the requirements for paying prevailing wages on federally funded construction and service contracts.
These seminars continue the Department’s efforts to increase awareness and improve compliance with federal labor standards, offering stakeholders an opportunity to stay informed and ensure compliance with federal wage regulations.
New seminar Dates, which will begin at 11:00 EST and run until 5:30 EST, are:
The two-day seminars will cover the labor standards protections outlined in the Davis-Bacon Act (DBA) and the Service Contract Act (SCA), including how the Department sets and administers prevailing wages. In addition, conference participants will learn about the following:
Participants can attend sessions on both days or select sessions most relevant to their interests. The first day will focus primarily on DBA compliance, while the second will cover the SCA.
Although the seminars are free, registration is required at: https://www.dol.gov/agencies/whd/government-contracts/construction/seminars. Registered participants will receive additional details and a link to attend the online workshops.
For more information on prevailing wage compliance, the WHD has also updated its video library with resources on the DBA, the SCA, and the relevant executive orders.
The U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) has issued a revised Construction Scheduling Letter, effective October 1, 2024. This letter will impact federal and federally assisted construction contractors and subcontractors through July 31, 2027. OFCCP says that the revised letter offers improved clarity and more efficient data requests, but others say it increases contractors’ reporting burden.
Contractors must provide payroll data beyond base pay and report details on employee lay-offs. Contractors must also disclose the use of technology-based tools such as artificial intelligence, algorithms, or automated systems. For companies with direct federal contracts, additional requirements related to Section 503 (addressing individuals with disabilities) and VEVRAA (for protected veterans) can apply.
The new scheduling letter applies to contractors undergoing construction compliance reviews on or after October 1, 2024. A copy of the Scheduling Letter can be found at: https://www.dol.gov/sites/dolgov/files/OFCCP/FCCM/Construction%20Scheduling%20Letter%20Effective%20Oct%201%202024%20508c.pdf
The U.S. Department of Energy (DOE) Loan Programs Office (LPO) released a guide earlier this year to explain how LPO financing programs are subject to Davis-Bacon labor standards, the Davis-Bacon requirements that apply, and a summary of those requirements.
The Davis-Bacon Act (DBA), enacted in 1931, sets the standard for contractors and subcontractors working on federally funded construction projects exceeding $2,000. The Davis-Bacon and Related Acts (DBRA) apply these requirements to projects financed by the federal government.
Projects financed by LPO must comply with DBRA. This requirement includes most projects, though some, like those under specific programs such as the Tribal Energy Finance Program, may follow different guidelines unless they opt into tax benefits under the Inflation Reduction Act (IRA), where prevailing wage compliance is required.
The Inflation Reduction Act links tax incentives to prevailing wage standards, drawing a clear connection between these two laws. This connection means contractors must adhere to wage decisions determined by geographic location and construction classification, ensuring wages reflect local economies.
By tying tax incentives under the IRA to Davis-Bacon wage standards, contractors must prioritize fair wages in their planning to qualify for benefits. This balance ensures that projects under the Inflation Reduction Act support the workforce and sustainability initiatives.
The LPO Davis-Bacon guide can be found at: https://www.energy.gov/lpo/articles/ensuring-prevailing-wages-closer-look-davis-bacon-act