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Norton Announces New Bill that Rewards Federal Government Contractors for Fair Labor Practices

October 29, 2014

WASHINGTON, D.C. – Congresswoman Eleanor Holmes Norton (D-DC), a senior member of the House Oversight and Government Reform Committee, today announced that, when Congress reconvenes, she will introduce a bill that directs federal agencies to give preferential points to federal government vendors and contractors based on their labor practices. Points would be given to vendors and contractors that pay their employees a living wage with benefits without passing on additional costs to the federal government, as well as for permitting workers to unionize. Norton said preferential points will help level the playing field and encourage private contractors and concessionaires to treat their workforce with the dignity they deserve.

"The federal government, through contracts, funds approximately two million jobs that pay less than a livable wage," Norton said. "The federal contracting system should not be contributing to growing income inequality. My bill will not only afford federal government contract workers a decent wage, but the federal government would see significant savings in benefits, such as food stamps it now offers to supplement the income of these low-wage workers. Not standing in the way of federal contractor employees, who often seek to unionize, would allow wages to become a private matter for bargaining between the contractor and its employees. It is time for the federal government to lead on issues of fairness to workers, not be part of the problem."

Norton's bill builds upon the traditional point system used in federal government procurement that rates vendors, contractors and concessionaires with points that are routinely given for various tasks or issues connected to the contract. President Obama has already taken the first important step through his executive order to raise the minimum wage of federal contract workers to $10.10 per hour. In July, just before she introduced the Restore Opportunity, Strengthen, and Improve the Economy (ROSIE) Act, Norton spoke at a rally with hundreds of federal contract workers from Change to Win in front of Union Station. The ROSIE Act incentivizes federal government contractors to support collective bargaining, pay living wages and benefits, to stop wage theft, and avoid paying CEOs excessive salaries. Norton has called on the President to put the ROSIE Act into an EO. This is her second bill on this issue and is specifically geared toward the federal sector.

Hundreds of workers employed by federal contractors and concessionaires at various federally owned buildings in the District of Columbia and across the country have engaged in legal strikes to draw attention to their low wages and poor benefits. Among the services federal contract workers provide for the federal government include retail, food, custodial and security service, as well as many in manufacturing.