Legal developments—U.S. regulatory and legislative events

✍ Scribed by Elizabeth D. MacGillivray; H. Juanita M. Beecher; Deirdre Golden

• Publisher: Wiley (John Wiley & Sons)
• Year: 2008
• Tongue: English
• Weight: 101 KB
• Volume: 27
• Category: Article
• ISSN: 1932-2054
• DOI: 10.1002/joe.20214

✦ Synopsis

There have been a number of recent developments at U.S. federal regulatory agencies that will interest employers and federal contractors, particularly with respect to verification of employment eligibility. In addition, the Department of Labor's Office of Federal Contract Compliance Programs (OFCCP) had a record year in 2007 collecting awards for the victims of systemic discrimination. The Equal Employment Opportunity Commission has also been busy, obtaining $55 million for victims of discrimination. In the past year, EEOC has seen an increase in claims for racial harassment and pregnancy discrimination.

Department of Justice

Proposal to Require Contractors to Report Crimes

The Department of Justice is proposing tough new regulations for those who do business with the government, a reflection of the growing number of fraud, bribery, and waste cases arising from the multibillion-dollar federal procurement process. The new rules would require federal contractors to report themselves if any of their employees or subcontractors violate a criminal law related to a contract worth more than $5 billion while that work is being done. If a contractor is caught not reporting its violations, it could be suspended or barred from doing business with the government for up to three years. Currently, contractors can voluntarily report themselves but the justice department says it is necessary to make reporting mandatory because "few companies have actually responded" to voluntary disclosure rules. The new rules also call for companies to put in place internal controls to ensure adequate documentation, adherence to proper procedures, and other protocols to catch fraud and