Equitable Federal Contractor Workplaces

Require increased internal transparency from contractors

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Require increased internal transparency from contractors on employee compensation structure and philosophy to drive pay equity. Company policy and culture--which influences promotion decisions, performance ratings, the availability of education and training opportunities, leave policies, implicitly steering applicants into lower-paying positions, and limiting transfers to better-compensated jobs--can lead to systematic pay disparities. Moreover, a culture of secrecy around employee compensation allows pay disparities to proliferate without the opportunity for analysis or action to remedy gaps. Added requirements to encourage parity in federal contractor and subcontractor employee compensation—like yearly pay assessments, increased data collection and reporting, and compliance audits—will not only increase the quality of federal contractor occupations but also empower workers to make informed decisions in their employment relationships that are mutually beneficial and lead to worker and family economic security.

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Idea No. 349