Executive Order on Advancing Economy, Efficiency, and Effectiveness in Federal Contracting by Promoting Pay Equity and Transparency

By the authority vested in me as President by the Constitution and the laws of the United States of America, the following is hereby ordered:

Section 1. Policy. It is my administration’s policy to eliminate discriminatory wage practices that inhibit the economy, efficiency and effectiveness of the federal workforce and the federal government’s procurement of property and services. The Office of Personnel Management awaits the release of a proposed rule that would address the use of salary history in the hiring and salary determination processes for federal employees consistent with Executive Order 14035 dated June 25, 2021 (Diversity, Equity, Inclusion, and Accessibility in the Federal Employees) . The purpose of this order is to direct consideration of parallel federal procurement efforts.

Sec. 2. Profitability, efficiency and effectiveness in federal procurement. Consistent with applicable law and subject to the availability of funds, the Federal Acquisition Regulatory Council, in consultation with the Secretary of Labor and heads of other executive departments and agencies, as appropriate, is considering issuing proposed rules to promote efficiency, efficiency and effectiveness in government procurement by improving the Pay equity and transparency for job applicants and employees of federal contractors and subcontractors. In particular, the Federal Acquisition Regulatory Council is considering whether such regulations should restrict or prohibit federal contractors and subcontractors from obtaining and considering information about current or past compensation of job applicants and employees when making hiring decisions. The Federal Acquisition Regulatory Council is also considering including appropriate accountability measures in such regulations.

Section 3. General Provisions. (a) Nothing in this order shall be construed to affect or otherwise affect:

(i) the power delegated by law to an executive department or agency or their heads; or

(ii) the functions of the Director of the Office of Administration and Budget in relation to budgetary, administrative or legislative proposals.

(b) This order will be carried out in accordance with applicable law and subject to the availability of funds.

(c) This order is not intended to, and will not create any right or benefit, substantive or procedural, enforceable at law or in equity by any party against the United States, its departments, agencies or bodies, its officers or employees, or agents, or any other person.

JOSEPH R BIDEN JR

THE WHITE HOUSE,

March 15, 2022.