Federal contractors and subcontractors covered by Executive Order 11246, as amended, are required to post a revised Pay Transparency Nondiscrimination Provision (PTNP) and include it in employee handbooks. This notice seeks to inform applicants and employees that the contractor will not discharge or discriminate against them because they have inquired about, discussed, or disclosed their own pay or in certain circumstances, the pay of their co-workers. Protections provided under this rule do not extend to employees whose essential job functions include access to the compensation information of other employees, and who disclose such information to others outside of the context of a formal complaint or charge.

The Office of Federal Contract Compliance Programs (OFCCP) recently revised the required provision to include a citation, 41 C.F.R. 60-1.35(c), at the end of the notice. At minimum, contractors must use the prescribed language and post the provision either electronically or as a hard copy in conspicuous places available for employees and applicants. Contractors must also incorporate the provision into existing employee manuals or handbooks. The following text was provided by the OFCCP to satisfy the posting requirements:

The contractor will not discharge or in any other manner discriminate against employees or applicants because they have inquired about, discussed, or disclosed their own pay or the pay of another employee or applicant. However, employees who have access to the compensation information of other employees or applicants as a part of their essential job functions cannot disclose the pay of other employees or applicants to individuals who do not otherwise have access to compensation information, unless the disclosure is (a) in response to a formal complaint or charge, (b) in furtherance of an investigation, proceeding, hearing, or action, including an investigation conducted by the employer, or (c) consistent with the contractor’s legal duty to furnish information. 41 CFR 60-1.35(c)

Contractors are encouraged to update the notices as soon as possible, as this will likely be checked by the OFCCP during an audit.

For more information and electronic versions of the nondiscrimination, see: https://www.dol.gov/ofccp/PayTransparencyNondiscrimination.html