On September 17, Florida Attorney General James Uthmeier announced that Starbucks agreed to pay $1 million and undertake several commitments to resolve a lawsuit alleging that Starbucks engaged in employment practices that violated the Florida Civil Rights Act through race- and sex-based goals, quotas, and preferences. The settlement comes amid increased federal enforcement involving similar
Richard Arnholt
Richard Arnholt advises companies, large and small, on the complex rules and regulations applicable to grants and contracts from federal and state governmental entities. In an era of increased budgetary pressures for contractors, Richard focuses his practice on providing practical business and legal guidance to help clients efficiently navigate the minefield of government procurement and grant regulations.
DOJ Continues DEI False Claims Act Enforcement with $25 Million Accenture Settlement
On September 14, the U.S. Department of Justice (DOJ) announced that Accenture Federal Services (AFS), Accenture plc, and Accenture LLP (collectively, Accenture or AFS) agreed to pay $25 million to resolve allegations that AFS violated the False Claims Act (FCA) by falsely certifying compliance with anti-discrimination requirements in its federal contracts while engaging in employment…
Deloitte DEI Settlement Highlights False Claims Act Risk at Both Federal and State Levels
The U.S. Department of Justice (DOJ) announced on August 25 that Deloitte has agreed to pay $21.5 million to resolve allegations that certain diversity, equity, and inclusion (DEI) practices discriminated against employees and applicants based on race or sex and caused the company to submit false claims for payment under federal contracts. The settlement is…
DOJ’s New Civil Rights Fraud Initiative – Expect Increased Enforcement
On May 19, the Department of Justice (DOJ) announced the launch of the Civil Rights Fraud Initiative, which will use the federal False Claims Act (FCA) to pursue claims against recipients of federal funds that knowingly violate federal civil rights law.
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Fourth Circuit Terminates Maryland District Court’s DEI Injunction
On March 14, the U.S. Court of Appeals for the Fourth Circuit granted the government’s motion for a stay pending appeal, terminating a Maryland district court’s injunction of certain elements of President Trump’s January 20 and 21 diversity, equity and inclusion (DEI) executive orders (EO), “Ending Radical and Wasteful Government DEI Programs and Preferencing”…
DEI Developments: DOJ Issues Memo, “Ending DEI and DEIA Discrimination and Preferences”
As we reported previously, President Trump’s January 21 Executive Order (EO) 14173, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” terminated certain affirmative action requirements applicable to government contracts and federally-funded construction contracts. The EO also mandates that new provisions be included in all government contracts and all grants, certifying that counterparties do…
President Trump Revokes Executive Order 11246
“Ending Illegal Discrimination and Restoring Merit-Based Opportunity” (Order) is one of President Trump’s most recent executive orders. The Order was signed on January 21, 2025. The Order revoked Executive Order EO11246 (EO11246), along with several other previously enacted executive orders aimed at promoting diversity, equity and inclusion (DEI) in the workplace. EO11246 has been in effect since 1965. The White House stated in a fact sheet that the Order will streamline the federal contracting process to “enhance speed and efficiency, reduce costs, and require Federal contractors and subcontractors to comply with [] civil rights laws.”
Continue Reading President Trump Revokes Executive Order 11246Impact of Increased Minimum Wage Requirement for Federal Contractors
I recently authored an article for Connector, the official magazine of the Steel Erectors Association of America, outlining the types of government contracts and workers impacted by Executive Order 14026 (EO 14026) that increased the minimum hourly wage for certain federal contractors from $10.50 to $15.00. This increase went into effect on January 30, 2022…
Government Contracts Labor & Employment Developments – Part 1
While we are still in the first half of 2022, it has already been a busy year in terms of labor and employment developments for government contractors. For any companies doing work for the federal government, whether as prime contractors or as subcontractors, it can be challenging to keep up with the perpetually changing requirements, particularly when the changes occur this quickly.
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[WEBINAR] What Was Old is New Again – Government Contractor Labor & Employment Updates
Over the past year, the Biden administration has issued a number of labor and employment executive orders applicable to government contractors. Some of those requirements are updates to Obama-era executive orders, while others are new. Together, these obligations, which include an almost 50% increase to the applicable minimum wage, can have a significant impact on contractors.
For any government contractors that have questions about these labor and employment changes, we hope you can join us for an overview of these recent developments.Continue Reading [WEBINAR] What Was Old is New Again – Government Contractor Labor & Employment Updates