Ensuring a Civil and Human Rights Framework for the World Cup 2024 Games
WHEREAS, Each year, the United States pays out billions in taxpayer dollars to private companies for goods and services, much of which is used to pay the salaries of millions of workers. Taken together, companies that receive government contracts employ a large percentage of the American workforce and serves as an economic driver within our communities. The government has a duty, both to taxpayers and to the public, to get the best possible value in these contracts; and
WHEREAS, U.S. government contractors and subcontractors must not only operate within the constraints of standard employment statutes, but also follow the law under an additional layer of scrutiny. Contractors and subcontractors are required to maintain compliance with regulations specific to winning and keeping government contracts, including:
- Laws administered by the Office of Federal Contract Compliance Programs (OFCCP)
- Standards to meet the requirements of prevailing wage laws, including the Service Contract Act (SCA) and the Davis-Bacon Act (DBA)
- Employment requirements related to International Traffic in Arms Regulations (ITAR)/Export Administration Regulation (EAR) and other security clearance issues; and
WHEREAS, Just like employers in certain industries, government contractors have specific employment laws they must follow to maintain compliance. There are several nuanced laws in the U.S. that establish a framework of fair and inclusive labor standards for workers who are employed under Government contracts and sub-contracts. The primary framework of protections are established and maintained because of the following:
- The Davis-Bacon and Related Acts (DBRA) require payment of prevailing wages to laborers and mechanics employed on federal and federally-assisted construction projects.
- The McNamara-O'Hara Service Contract Act requires payment of prevailing wage rates and fringe benefits to service employees employed on contracts to provide services to the federal government.
- The Contract Work Hours and Safety Standards Act (CWHSSA) requires contractors and subcontractors on federal contracts to pay laborers and mechanics at least one and one-half times their basic rate of pay for all hours worked over 40 in a workweek. This Act also prohibits unsanitary, hazardous, or dangerous working conditions in the construction industry on federal and federally financed and assisted projects.
- The Copeland "Anti-Kickback" Act prohibits a contractor or subcontractor from inducing an employee to give up any part of his/her compensation to which he/she is entitled under his/her contract of employment and requires them to submit a weekly statement of the wages paid each employee performing covered work during the preceding payroll period.
- The Walsh-Healey Public Contracts Act requires payment of minimum wage rates and overtime pay on federal contracts to manufacture or furnish materials, supplies, or equipment; and
WHEREAS, Federal contractors also have specific obligations regarding nondiscrimination under Executive Order 11246 which bars most federal contractors from discriminating in employment decisions on the basis of race, color, religion, sex, sexual orientation, gender identity, and national origin. The executive order also requires federal contractors to take affirmative action to ensure that equal opportunity is provided in all aspects of their employment including requiring employers with federal contracts of at least $50,000 (and at least 50 employees) to bolster the number of women and minorities in the workplace. That includes a formal action plan, recordkeeping and data collection. Lastly, it prohibits federal contractors and subcontractors from, under certain circumstances, taking adverse actions against job applicants and employees for discussing their pay or the pay of their co‐workers; and
WHEREAS, Paid sick leave for federal contractors was initially installed as an executive order in 2015 and the next year, the U.S. Department of Labor (DOL) published a final rule to implement Executive Order 13706, establishing paid sick Leave for federal contractors. The order requires organizations that have covered contracts with the federal government to provide covered employees with up to seven days of paid sick leave annually, including paid leave allowing for family care; and
WHEREAS, Federal law is intended to prevent taxpayer dollars from increasing the profits of companies with a record of violating federal law in two ways: by requiring contracting officers to assess a prospective contractor's responsible compliance with federal law prior to awarding a contract, and by allowing agencies to suspend or debar contractors for certain behavior, including violations of federal law, in order to protect the integrity of taxpayer dollars; and
WHEREAS, Numerous government studies have found that federal contractors are frequently among the worst violators of federal workplace laws but face few consequences as demonstrated by the following statistics:
- Deep racial divides cut through the workforces of federal contractors, which employ 1 in 5 American workers. Though the employee ranks in these companies have diversified, the top jobs that command the best pay and benefits have not, mirroring the private sector at large. White men dominate the executive ranks, holding 59% of those positions in 2020. They are the only demographic group that holds a higher proportion of top positions than of all other jobs, where 34% are white men.
- According to a 2020 report from the U.S. Government Accountability Office (GAO), federal contractors agreed to pay approximately $224 million in back wages to workers on federal service contracts from 2014 to 2019, yet in only 2 percent of cases where the Department of Labor uncovered lawbreaking did it prevent violators from receiving new contracts through debarment.
- Among the 49 contractors that the HELP Committee identified as responsible for the worst violations of federal labor laws, a total of 14 companies — 29 percent — had significant performance problems on subsequent government contracts. These findings are based on a review of government records, press accounts, and publicly available court filings and enforcement databases. These performance problems include contractors submitting fraudulent billing statements; falsifying qualifications for contract employees; accruing major cost overruns; and producing defective and sometimes dangerous equipment.
THEREFORE, BE IT RESOLVED, that the National Association for the Advancement of Colored People (NAACP) will prioritize policy advocacy efforts that hold federal, state, and local government contractors and subcontractors responsible for ensuring they do not discriminate on the basis of race, color, sex, sexual orientation, gender identity, religion, national origin, disability or status as a protected veterans and will advocate to ensure that contractors fulfill their affirmative obligation to remove barriers to equal employment opportunity.
BE IT FURTHER RESOLVED, that the NAACP will promote policy and administrative reforms to improve the wages and benefits of contract workers and hold corporations that do business with the federal, state and local governments accountable.
BE IT FINALLY RESOLVED, that the NAACP will work with partners, allies, government agencies and divisions to strengthen and enforce all laws that govern contractors and subcontractors relative to ensuring an inclusive and fair labor ecosystem.