The bill strengthens enforcement, transparency, and deterrence to reduce child labor in federal contracting supply chains and gives agencies clearer tools, but it imposes significant compliance, administrative, and penalty costs—particularly on small contractors—and may be hamstrung without new funding.
Children and youth in federal contractors' supply chains will face reduced risk of unlawful child labor because agencies can refuse contracts to entities with unresolved child-labor violations and penalties are increased to deter violations.
Department of Labor and enforcement staff get clearer authority and stronger tools (clarified Secretary/agency responsibilities, higher civil penalties, and standardized training) to detect, enforce, and deter labor violations in federal contracting.
Taxpayers, Congress, and the public gain greater transparency and objective data on contractor child-labor violations through annual lists/reports and a GAO study, enabling better oversight and informed policymaking.
Small contractors and subcontractors listed for child-labor violations risk losing access to federal contracts for at least four years, cutting revenue and threatening business viability for many small firms.
Offerors and subcontractors face substantial new administrative and compliance burdens (annual representations, collecting/submitting certifications, coordination with the Secretary) and heightened False Claims Act exposure for omissions, raising costs and legal risk.
The bill raises employers' potential financial liability via substantially higher civil penalties and likely increases litigation/administrative costs as parties contest findings and penalty calculations.
Based on analysis of 7 sections of legislative text.
Requires contractor/subcontractor disclosure of child-labor violations, raises FLSA penalties, mandates corrective measures and training, and orders a GAO study; no new funds authorized.
Introduced March 10, 2025 by Joshua David Hawley · Last progress March 10, 2025
Requires federal contractors and subcontractors to disclose whether they (or their subcontractors) have violated the child-labor provisions of the Fair Labor Standards Act in the prior three years, and directs agencies to negotiate corrective measures, refer violators to the Department of Labor, and withhold awards or pursue suspension and debarment for entities that admit violations but fail to implement agreed fixes. Raises civil penalties for child-labor violations, mandates training for federal personnel to detect and prevent child-labor violations, directs a GAO study on the prevalence of contractor child-labor violations, and specifies that no new appropriations are authorized to carry out the law.