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ABC and 19 other business trade groups, sent a letter on Nov. 6 requesting that President Obama withdraw the “Fair Pay and Safe Workplaces” Executive Order (E.O.). The letter, sent to U.S. Department of Labor (DOL) Secretary Thomas Perez and Assistant to the President and Director of the Domestic Policy Council Cecilia Muñoz, outlines ABC’s concerns that the E.O. dramatically changes the enforcement mechanisms carefully put in place by Congress and needlessly adds uncertainty, subjectivity and onerous and costly new data collection and reporting requirements for federal contractors. 

ABC has consistently opposed the E.O., commonly referred to as “the blacklisting executive order” by critics, since it was issued July 31, and participated in an Oct. 10, White House listening session with Secretary Perez and Director Munoz. 

ABC believes that this E.O., coupled with other E.O.s issued this year will significantly increase the cost and administrative burden of contracting with the federal government and ultimately serve as a deterrent for many companies, especially smaller companies, to bid on federal government contracts.

“We believe that bad actors should be held accountable and we are supportive of efforts to improve and streamline the federal procurement process that will result in a better system for taxpayers, contractors and the American workers, but the impact of this executive order will run counter to those goals,” said ABC Vice President of Government Affairs Geoff Burr. “ABC, along with other business groups that represent the federal contracting community, remains committed to fighting this order in the courts and in Congress should it not be withdrawn.”

Together with the larger federal contracting community, ABC is exploring legal options to challenge the E.O. ABC will also participate in the rulemaking process and educate ABC members about ways to comply with the order and explain to regulators and lawmakers how it will harm the construction industry.

To read the entire letter sent to the White House and DOL click here.