Drug-Free Workplace Act of 1988

A federal law requiring organizations receiving federal contracts or grants to maintain a drug-free workplace through written policies and employee awareness programs.

Key Facts

  • Requires federal contractors and grantees to maintain drug-free workplaces
  • Applies to contracts of $100,000+ and all federal grants
  • Does not mandate drug testing — requires written policy and awareness programs
  • Employees must notify employer of criminal drug conviction within 5 days
  • Violation can result in contract termination and debarment

The Drug-Free Workplace Act of 1988 requires that organizations awarded federal contracts of $100,000 or more, or any federal grant, must maintain a drug-free workplace. Key requirements include: publishing a written drug-free workplace policy statement, establishing a drug-free awareness program, requiring employees to report criminal drug convictions to the employer within 5 days, and notifying the contracting agency within 10 days of learning of such conviction. Notably, the Act does not mandate drug testing — it requires policy and education. However, many employers go beyond the minimum to implement comprehensive drug testing programs. Violation can lead to contract suspension, termination, and debarment from future federal contracts.

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