Biden administration announces new action to close pay gaps for federal workers

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The Biden administration is marking today’s 15th anniversary of a landmark federal pay equity law with new action to help close gaps in pay for federal employees and employees of federal contractors, according to the Associated Press.

Despite progress since the Lilly Ledbetter Fair Pay Act was signed into law in January 2009, President Joe Biden said women who work outside the home are still paid an average of 84 cents for every dollar earned by a man and that the pay disparities are greater for many women of color.

The Office of Personnel Management is issuing a final rule to bar the government from considering a person’s current or past pay when determining their salary for federal employment. Administration officials said this step will help limit pay discrimination and ensure compensation is based on an applicant’s skills, experience, and expertise.

A similar proposal will offer protections to those employed by federal contractors.

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The Federal Acquisition Regulatory Council is issuing a proposal to prohibit federal contractors and subcontractors from seeking and considering information about a job applicant’s compensation history when hiring or setting pay for anyone who works on a government contract. The proposal also requires contractors and subcontractors to disclose salary ranges in job postings.

Administration officials said the proposal would help federal contractors recruit, diversify, and retain talent, improve job satisfaction and performance, and reduce turnover.

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