Us Congress House Bill HB5810

Us Congress 2023-2024 Regular Session

• Introduced: 9/28/23
• Refer: 9/28/23

Caption

Fair Pay for Federal Contractors Act of 2023

Impact

The bill has significant implications for state laws regulating labor and federal contracting. By mandating back compensation for employees of contractors, it establishes a precedent for how employees affected by lapses in government funding are treated. This policy seeks to ensure that workers are not left without income due to circumstances outside their control, thereby enhancing financial protections for contractors' employees during federal funding issues.

Summary

House Bill 5810, titled the 'Fair Pay for Federal Contractors Act of 2023', aims to provide back compensation for employees of federal contractors affected by lapses in appropriations. The bill stipulates that federal agencies must adjust contract prices to compensate contractors for reasonable costs incurred when work was suspended or delayed due to these funding gaps. This measure is intended to ensure that affected employees receive standard rates of pay during such periods of non-work, thereby protecting their financial wellbeing during government shutdowns or funding lags.

Contention

Notably, the bill may face contention over its provisions regarding the limits on the amount of weekly compensation covered. It caps adjustments to the lesser of an employee's actual weekly compensation or $1,442, which could be seen as inadequate by advocates for labor rights. This provision might spur debate among legislators about the fairness of wage caps imposed on contractors during their financial distress. Furthermore, the requirement for contractors to provide evidence of costs incurred may impose additional administrative burdens, which some stakeholders may argue could complicate compliance and implementation.