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Part 22 - Application of Labor Laws to Government
Acquisitions
This part deals with general policies regarding contractor labor relations;
Prescribes contracting policy and procedures for implementing pertinent labor laws; and
Prescribes contract clauses with respect to each pertinent labor law.
22.101 -- Labor Relations
Maintain sound relations with industry and labor;
Remain impartial but ensure the parties to the dispute use all available methods for resolving the dispute.
Share legal matter information to ensure a uniform Government approach.
The HCA may require the contractor to notify the Government of labor disputes that may delay contract performance.
22.101-2 Contract Pricing and Administration
Labor policies and compensation practices are not acceptable bases for allowing costs if the costs are unreasonable.
Standard contract clauses dealing with default, excusable delays, etc., do not relieve contractors from the responsibility for delays that are within the contractors’ control.
Costs incurred during strikes are allowable only when those costs necessary for performing the contract.
During a labor dispute, if the inspectors’ safety is not endangered, the normal functions of inspection at the plant shall be continued without regard to the existence of a labor dispute, strike, or picket line.
22.101-3 -- Reporting Labor Disputes. Report any potential/actual disputes that may interfere with
performance. If a contract contains 52.222-1, Notice to the Govt of Labor
Disputes, the contractor also must report any dispute that may delay performance.
22.101-4 -- Removal of Items from Contractors Facilities Affected by Work Stoppages. Remove items from contractors’ facilities affected by work
stoppages. Agency procedures should allow for the following:Determine whether removal of items is in the Government’s
interest. Attempt to arrange the shipment of urgently required items.Obtain appropriate approvals from within the agency.Determine who will remove the items from the plant(s)
involved. Prevent incidents that might affect labor-management relations. When two+ agencies’ requirements become involved in the
removal of items, the contract administration office shall coordinate the effort.
22.102 -- Federal and State Labor Requirements.
Contractors shall cooperate with agencies enforcing labor requirements.
22.102-2 -- Administration.
Contractors are encouraged to use the US Employment Service in meeting labor requirements. These requirements may be to staff new or expanding plant facilities.
Use of Local State employment offices will further the national program of maintaining continuous manpower requirements.
DOL is responsible for the admin and enforcement of OSHA.
DOL’s Wage and Hour Division is responsible for admin and enforcement of numerous wage and hour statutes. Davis-Bacon and Related Acts, McNamara-O’Hara Service
Contract Act, Walsh-Healey Public
22.103 -- Overtime
Contractors shall perform all contracts without using overtime, except when it is necessary to meet urgent program needs.
22.103-3 -- Procedures.
Solicitations normally shall not specify schedules that may require overtime (OT) at Government expense.
In negotiating contracts, COs should attempt to – Establish the extent that offers are based on OT and shift
premiums Negotiate contract prices/costs without premiums or obtain the
requirement from other sources.
When it becomes apparent during negotiations that overtime will be required, the CO shall get an estimate from the contractor along with information required by paragraph (b) of 52.222-2, Payment for Overtime Premiums.
22.103-4 – Approvals Approval for OT may be granted if its necessary to meet
essential schedules; make up for delays beyond the control of the contractor; or eliminate foreseeable production bottlenecks that cannot be eliminated.
Approval to use OT is required, include clause at 52.222-2, Payment for Overtime Premiums.
CO approval of payment of overtime premiums is only required for T&M and labor-hour contracts.
Overtime exceeding the amount authorized (paragraph (a) 52.222-2) shall be submitted and approved by the CO in whole or in part. If approved, paragraph (a) will be modified.
Overtime shall not be approved when the contractor is already obligated, without the right to additional compensation, to meet the required delivery date.
Approvals for overtime shall be prospective, but may be retroactive in emergency circumstances.
Subpart 22.2 -- Convict LaborExecutive Order: The development of skills of prison
inmates is essential to their rehabilitation and to their ability to make an effective return to free society. Must avoid either the exploitation of or any unfair competition between convict labor and free labor. The contractor can employ –Persons on parole or probation;Persons who have been pardoned or served their terms;Federal prisoners; orNonfederal prisoners authorized to work at paid employment
if:The worker is paid or is in a voluntary work training program;Paid employment will not - (A) Result in the displacement of
employed workers; (B) Be applied in skills, or trades in which there is a surplus of available gainful labor; or (C) Impair existing contracts for services;
The rates of pay and other conditions of employment must be similar nature in the locality where the work is being performed;
Subpart 22.3Contract Work Hours and Safety
Standards ActPrescribes policies and procedures for applying the
requirements of this act to contracts that may require or involve laborers or mechanics.
The term “laborers or mechanics” includes apprentices, trainees, helpers, watchmen, guards, firefighters, fireguards, and workmen who perform services in connection with dredging or rock excavation in rivers or harbors, but does not include any employee employed as a seaman.
22.301 -- Statutory Requirement.
The Act requires that certain contracts contain a clause specifying that no work cannot exceed 40 hours in any workweek unless paid not less than 1 1/2 times the basic rate of pay.
22.302 -- Liquidated Damages and Overtime Pay.
OT wages are under-paid: Contractor must pay unpaid wages and liquidated damages. Liquidated damages = $10 per employee/day the above
occurred.
If the contractor fails or refuses to comply with overtime requirements, use (prorate) the funds withheld by the government for violations to the laborer.
If the liquidated damages are incorrect, or if the contractor inadvertently violated the Act despite the exercise of due care, the agency head may: Reduce the amount for liquidated damages of $500 or less; Release the contractor from the liability of $500 or less; orRecommend that the Secretary of Labor reduce or waive
over $500.
22.304 -- Variations, Tolerances, and Exemptions (VTE).
The Secretary of Labor may provide reasonable limitations and allow VTE to and from all provisions of the Act when it is in the public interest or to prevent injustice and undue hardship.
22.305 -- Contract Clause.
Add clause 52.222-4, Contract Work Hours and Safety Standards Act – OT Compensation, unless the solicitation or contract is: <$150K. Commercial items; or the transportation/transmission of
intelligence; To be performed outside the United States. Work to be done solely IAW the Walsh-Healey Public
Contracts Act Incidental services that do not require substantial
employment of laborers or mechanics
Subpart 22.4 -- Labor Standards for Contracts Involving Construction
Scope: Contracts >$2,000 for construction, alteration, or repair, including painting and decorating, of public buildings.
“Construction, alteration, or repair” : all types of work done by laborers and mechanics on site of the work, including: Altering, remodeling, installation on the site (items fabricated
off-site); Painting and decorating; Manufacturing/furnishing materials, supplies, or equipment; Transportation of materials/supplies between the site of the work
and a facility dedicated to the work;
“Laborers or mechanics” are: Workers whose duties are manual or physical in nature; Working foremen who devote more than 20% their time during a
workweek performing duties of a laborer or mechanic; and Does not include workers whose duties are primarily executive,
supervisory, administrative, or clerical.
22.401 – Definitions Cont.
“Site of the work” means—
The primary site of the work: The physical place or places where the construction called for in the contract will remain when work on it is completed;
The secondary site of the work: Any other site where a significant portion of the work is constructed (in the US) and established specifically for the performance of the contract;
Fabrication plants, mobile factories, batch plants, tool yards, etc., are sites of work provided they are — Dedicated exclusively to performance of the contract; and Adjacent or virtually adjacent to the site of the work;
Does not include locations that will remain in operation after the Federal contract or project, even if operations are dedicated exclusively to the performance of a contract.
Subpart 22.4 - Labor Standards for Contracts Involving Construction
The requirements of this subpart does apply to –
If construction work is or may be performed at a particular site;
Dismantling, demolition, or removal of improvements if part of a construction contract, or if construction at that site is anticipated by another contract (FAR 37.3);
Manufacture/fabricate materials in connection with the construction and on the site of the work;
The requirements of this subpart do not apply to –
Contracts requiring construction work that is so closely related to R&D and experiments that it cannot be performed separately;
Employees subject to the Railway Labor Act;
Employees who only work at the Contractor’s permanent facility.
Nonconstruction contracts involving construction work
Apply to construction work to be performed as part of nonconstruction contracts (supply, service, R&D, etc.) if --Work is to be performed on a public building or public work;Substantial amount of construction work >$2000 (“substantial”
= the type and quantity, not merely the value of work); andWork is separate from, and is capable of being performed on a
segregated basis from, the other work required by the contract.
The requirements of this subpart do not apply if --Work is incidental to the furnishing of supplies, equipment, or
services (e.g., simple installation/alteration incidental to furnishing item under a supply contract); or
Construction work is so merged with non-construction work that it can’t be segregated as a separate contractual requirement.
22.403 -- Statutory and Regulatory Requirements.
22.403-1 -- Davis-Bacon Act.
Contracts >$2,000 for construction, alteration, or repair (including painting and decorating) of public buildings: include clause stating that no laborer at the site of the work can receive less than the prevailing wage rates.
22.403-2 -- Copeland Act.
Unlawful to induce, by force, intimidation, threat of procuring dismissal from employment to give up any part of the compensation to which that person is entitled.
Requires weekly statements of compliance with respect to the wages paid each employee during the preceding week.
22.403-3 -- Contract Work Hours and Safety Standards Act.
No laborer or mechanic performing work shall be permitted to work >40 hours unless paid OT wages.
22.403-4 -- Department of Labor Regulations.
The Secretary of Labor, via 29 CRF, issued regulations prescribing standards and procedures to be observed in contracts involving construction: Davis-Bacon Act minimum wage rates; Copeland (Anti-Kickback) Act;Contract Work Hours and Safety Standards Act;Rules of practice for appealing the findings of
enforcement cases; Practices of appealing decisions.
22.404 -- Davis-Bacon Act Wage Determinations
DOL is responsible for issuing wage determinations reflecting prevailing wages, including fringe benefits.
The wage determinations apply only to those laborers and mechanics performing work at the site of the work including drivers who transport to or from the site.
Determinations are issued for different types of construction, such as building, heavy, highway, and residential (referred to as rate schedules), and apply only to the types of construction designated in the determination.
22.404-1 -- Types of Wage Determinations
General wage determinations.
Wage rates for construction within a specified geographical area.
Contain no expiration date, remain valid until modified or canceled.
Remains effective for the life of the contract unless the contract is extended.
Published on the WDOL website.
Project wage determinations.
Issued at the request of a contracting agency when no general wage determination applies.
Effective for 180 calendar days but may be extended if it expires before contract award.
Remains effective for the life of the contract, unless the contract is extended.
22.404-2 -- General Requirements Must incorporate only the appropriate determination.
Exercising an option: Use the most current determination from the same schedule.
Project determinations apply to contracts only for which they are issued.
Include only the rate schedules that applies (building, heavy, highway).
General guidelines for choosing the schedule : Building: construction of sheltered enclosures with walk-in access. Includes
installation of utilities and equipment, and incidental grading, utilities & paving.
Residential: construction, alteration, or repair of single family houses or apartment buildings, typically includes incidental such as parking, utilities, streets and sidewalks.
Highway: construction, alteration, or repair of roads, streets, highways, runways, taxiways, alleys, parking areas, and other similar projects that are not incidental to “building,” “residential,” or “heavy” construction.
Heavy: construction for projects that are not classified as either any of the above (e.g., “dredging,” “water and sewer line,” “dams,” “flood control,” etc.).
When the nature of a project is not clear, look at locally established practices. If there is doubt, get guidance from the Administrator, Wage and Hour Division.
22.404-3 - Procedures for Requesting Wage Determinations
Do not need to notify DOL of use if wage determination is on the website.
When you need a wage rate not listed, submit a request and include: Location where the proposed project is located. Name of the project and a detailed description of the work Estimated cost of each project. All the classifications of laborers and mechanics likely to be
employed.
Time for submission of requests. Processing = at least 30 days. Submit requests at least 45-60
days before issuing the solicitation or exercising an option.
Review of wage determinations: Immediately upon receipt, the contracting agency shall examine the wage determination and inform the DOL of any changes and to correct errors.
22.404-4 - Solicitations Issued w/o Wage Determinations for the Primary Site of
the Work
If a solicitation is issued before the wage determination is obtained, include a notice in the solicitation that the schedule of minimum wage rates to be paid under the contract will be issued as an amendment to the solicitation.
In sealed bidding, bids may not be opened until a reasonable time after the wage determination for the primary site of the work has been furnished to all bidders.
In negotiated acquisitions, the contracting officer may open proposals and conduct negotiations before obtaining the wage determination. The CO shall incorporate the wage determination into
the solicitation before submission of best and final offers.
22.404-5 - Expiration of Project Wage Determinations
Make every effort possible to ensure the award is made before expiration of the project wage determination.
The following procedure applies when contracting by sealed bidding:
Postpone the bid opening date to allow time to obtain the determination, amend the solicitation, and permit bidders to amend their bids.
Request an extension if the determination will expire after bid opening but before award. Include a statement as to why the extension is necessary and proper in the public interest or to prevent undue hardship. If the new determination changes any wage rates to be used in the
contract, the CO may cancel the solicitation, or award the contract with the new determination. Equitably adjust the contract price for any cost changes from the new wage determination.
If the new determination does not change any wage rates, the CO shall award the contract, modify it to include the new determination.
The following procedure applies when contracting by negotiation:
Request a new determination if it will expire before contract award. The award can be delayed until the new determination is obtained.
Do not need to delay opening and reviewing proposals or discussing them with the offerors while a new determination is being obtained. The CO shall request offerors to extend the period for acceptance of any proposal if that period expires before the new determination is incorporated.
Amend the solicitation if the new determination changes any wage rates, and send the new information to all prospective offerors that have not been eliminated from the competition (if the closing date has passed). Give offerors a reasonable opportunity to amend their proposals.
22.404-5 - Expiration of Project Wage Determinations
22.404-6 - Modifications of Wage Determinations
Sealed Bidding:
A written action to modify the wage determination shall be effective if it is published 10+ days before the date of bid opening or <10 days before bid opening if the CO has reasonable time to notify the prospective bidders.
Modifying the wage determination after bid opening shall not be included in the solicitation.
If the modification is received after award: modify the contract to incorporate the wage modification retroactive to the date of award. Equitably adjust the contract price for any changes in cost.
If an award is not made within 90 days after bid opening, modification to a wage determination shall be effective for any resultant contract. A 90-day extension can obtained from DOL if the extension is in
the public interest to prevent injustice, undue hardship, or to avoid serious impairment.
The following applies when contracting by negotiation:
Must modify the solicitation if the wage determination is modified before award.
If modified before award: follow the procedures in 22.404-5(c)(3) or (4).
If modified after award: follow the procedures in 22.404-6(b)(5).
Receive modified determination before exercising the option: must modify the contract to incorporate the modified wage determination, and adjust for any changes in cost.
22.404-6 - Modifications of Wage Determinations
22.404-7 Correcting Wage Determinations Containing Clerical Errors
Corrections will be effective immediately, and will apply to any solicitation or active contract.
22.404-8 Notification of Improper Wage Determination Before Award
Following written notification from DOL, the correct wage determination shall be effective immediately and incorporated into the sol/contract:
In sealed bidding, the CO shall proceed IAW the following: If the notification is received before bid opening, the CO shall postpone
the bid opening date to allow a reasonable time to --Obtain the appropriate determination,Amend the solicitation to incorporate the determination, andPermit bidders to amend their bids.
Received after bid opening but before award: delay awarding the contract, obtain the appropriate wage determination.
In negotiated acquisitions, delay award and process the notification of an improper wage determination IAW 22.404-5(c)(3).
22.404-9 -- Award of Contract Without Required Wage Determination
If a contract is awarded without a determination or the wrong determination: correct the error upon discovery.
If a required wage determination is not available: expeditiously request a determination from the DOL.
Modify the contract to incorporate the wage determination (retroactive to the date of award) and equitably adjust the price or terminate the contract.
22.404-10 -- Posting Wage Determinations and Notice.
Post the determination at the site of the work and inform the contractor where to submit complaints or raise questions concerning labor standards.
22.404-11 -- Wage Determination Appeals.
An Administrative Review Board decides appeals of final decisions made by the DOL concerning DBA wage determinations. A petition for review may be filed (29 CFR Part 7) if reconsideration by the Administrator has been sought and denied.
22.404-12 – Labor Standards for Contracts Containing Construction Requirements and Option Provisions That
Extend the Term of the Contract
IDIQ: incorporate the determination in the contract into task orders issued during that option period., remain effective for the POP of the task orders.
Fixed-price contracts can be modified using one of the methods below. Adjustments outside of the choice selected is not permitted.
Can bid/propose separate prices for each option period. Usually used in construction-only contracts <3 years.
Can adjust the contract price based on published economic indicators (if specified as such in the contract).
Can adjust the contract price to reflect the contractor’s change in cost resulting in the new/revised wage determination. Usually used if requirements are services subject to the SCA and the construction requirements are substantial and segregable.
22.406 -- Administration and Enforcement
Contracting agencies are responsible for ensuring the full and impartial enforcement of labor standards and shall maintain a program that: Ensure sub/contractors are informed before commencement of work
of their obligations under the labor standards clauses of the contract;
Ensure adequate payroll reviews, on-site inspections, and employee interviews to determine compliance and prompt corrective action;
Prompt investigation and disposition of complaints; and Prompt submission of all reports required by this subpart.
Preconstruction letters and conferences Before construction begins, inform the contractor of the labor
standards clauses and wage determination requirements of the contract and of their responsibilities.
Unless it is clear that the contractor is fully aware of the requirements, the CO shall issue an explanatory letter and/or arrange a conference with the contractor promptly after award of the contract.
22.406-2 -- Wages, Fringe Benefits, and Overtime
In computing wages paid, the contractor may include only the following items: Amounts paid in cash and contributions taken for medical, pensions,
workers comp, unemployment benefits, and life, disability and accident insurance.
Provide wages equal or greater to the DBA determinate rates.
If wages are not stated as exact cash amounts, the cost shall be divided by the employer’s contributions/costs by the employee’s hours worked to ensure compliance.
Computing OT payments: Use the basic hourly rate of pay (includes employee contributions to fringe benefits, but excludes the contractor’s contributions, costs, or payment of cash equivalents for fringe benefits). Overtime shall not be computed on a rate lower than the basic hourly rate in the wage determination.
22.406-3 -- Additional Classifications
The contractor can submit to the CO a request for an additional classification if it is not listed in the wage determination, which is sent to the DOL for approval
If the CO disagrees, the CO will include a letter to the DOL identifying all views for the DOL to then determine..
22.406-4 -- Apprentices and Trainees.
The contracting officer shall review the contractor’s employment and payment records of apprentices and trainees to ensure that the contractor has complied with the contract.
If a contractor has not complied with the requirements of the contract the CO shall require the contractor to pay the affected employees at the rates applicable to the classification of the work actually performed.
22.406-5 -- Subcontracts.
The contractor and subcontractors at any tier are required to submit a fully executed SF 1413, Statement and Acknowledgment, upon award of each subcontract.
22.406-6 -- Payrolls and StatementsSubmission. The contractor must submit weekly
payrolls within 7 calendar days after the regular payment date of the payroll week covered.
Withholding for nonsubmission. If the contractor doesn’t submit copies of its payrolls the CO shall withhold payment approval to protect the interest of the Government and the employees of the contractor.
Examination: The CO shall examine the reports to ensure compliance.
Preservation. The CO shall retain records for 3 years after completion of the contract. Submitted payrolls shall not be returned to a contractor, but copies may be furnished to the contractor who submitted them, or to a higher tier contractor.
Disclosure of payroll records. Payroll records must be carefully protected from any public disclosure.
22.406-7 -- Compliance Checking
Regularly check contracts to ensure compliance with the labor standards, by: Employee interviews, On-site inspections, Payroll reviews, Inspection of
logs of construction
Conduct Special compliance checks when there are inconsistencies, errors, or omissions detected during regular compliance checks; or receipt of a complaint .
22.406-8 – Investigations - Contracting agency responsibilities.
Conduct an investigation when a compliance check indicates that violations may have occurred.
Must include all aspects of the contractor’s compliance and not limited to specific areas raised in a complaint or uncovered during compliance checks.
Do not disclose contractor employees’ statements taken during an investigation or their identity without that employee’s prior signed consent.
Obtain permission from the DOL before disclosing material obtained from DOL files, other than computations of back wages and liquidated damages.
22.406-8 -- Investigations Investigation report. The CO shall receive the report and make preliminary
findings. The CO must not base adverse findings solely on employee statements unless the investigation establishes a pattern of possible violations based on employees’ statements.
Contractor Notification. After completing the review, the contracting officer must— Provide the contractor any written preliminary findings and proposed corrective
actions, and notice that the contractor has the right to request that the basis for the findings and to submit written rebuttal information.
Upon request, provide the contractor with rationale for the findings but can not permit the contractor to examine the investigation report, nor disclose the identity of any employee who filed a complaint/interviewed, without the prior consent of the employee.
The contractor may rebut the findings in writing within 60 days and becomes part of the official investigation record. If the rebuttal is not received timely, the CO must consider the preliminary findings final.
If appropriate, request the contractor to make restitution for underpaid wages and assess liquidated damages. If the request includes liquidated damages, the request must state that the
contractor has 60 days to request relief.
22.406-9 -- Withholding From or Suspension of Contract Payments.
If the CO believes a violation exists: withhold from payments due the contractor in an amount equal to the estimated underpayment and liquidated damages due.
If an investigation confirms violations: adjust the withholding as appropriate, but do not reduce/release the withholding without written approval of the DOL.
Use withheld funds to pay liquidated damages.
If a contractor fails/refuses to comply: suspend any further payment until the violations ceases or until funds are sufficient to compensate the employees.
If contractor has not made restitution: send a list of the employee’s names and info, to include the amount due, and rationale for restitution to the Comp. General.
Returning of withheld funds to contractor when they exceed the amount required to satisfy underpayments and liquidated damages.
22.406-10 -- Disposition of Disputes Concerning Construction Contract Labor Standards Enforcement.
Differences of opinion between CO and contractors in labor standards enforcement include: Misclassification of workers; Hours of work; Wage rates, OT and payment; and applicability.
These differences are usually settled by the contracting agency but DOL can assist when necessary.
Inform the contractor of the following when the CO requests the contractor to take corrective action in labor violation cases: Disputes are handled under the contract clause at 52.222-14,
Disputes Concerning Labor Standards, and not 52.233-1, Disputes. The contractor may appeal the CO’s findings, so long as they
provide rational.
The CO shall send their findings to DOL, which will respond directly to the contractor. The contractor can appeal the DOL’s decision.
DOL may initiate debarment proceedings if there is reason to believe there is willful violations.
22.406-11 -- Contract Terminations: Submit a report to DOL if a contract is terminated for violation of the labor standards
22.406-12 -- Cooperation With the Department of Labor …in the inspection of records, interviews with workers, and all other aspects of investigations. During a DOL investigation, the CO shall request to be notified immediately of any violations.
22.406-13 -- Semiannual Enforcement Reports: Compliance with and enforcement of the construction labor standards shall only contain info regarding enforcement actions and submitted to the DOL within 30 days. Reporting periods: Oct 1 - Mar 31, April 1 - Sept 30.
Subpart 22.5 – Use of Project Labor Agreements (PLA) for Federal Construction Projects “Large-scale construction project” = >$25M PLA: collective bargaining agreement establishing the T&Cs of
employment. Used to promote economy and efficiency in Federal procurement.
May require a PLA if it will: produce labor-management stability, and ensure compliance with safety and health laws and regulations, EEO, labor and employment standards and be consistent with law.
The following are factors to also consider the appropriateness of PLA: Requires multiple construction contractors, employing workers in
multiple crafts or trades. Shortage of skilled labor in the region of the site of work. Completion of the project will require an extended period of time. PLA were used on comparable projects. Will promote long term program interests, such as facilitating the
training of a skilled workforce to meet the agency’s future construction needs.
PLAs shall: Allow all contractors to compete for contracts without regard to
whether they are otherwise parties to collective bargaining agreements;
Contain guarantees against strikes, lockouts, and similar job disruptions;
Set forth procedures for resolving labor disputes;
Subpart 22.6 -- Walsh-Healey Public Contracts Act
22.603 – Applicability: Contracts for the manufacturing or furnishing of materials, supplies, articles, and equipment exceeding $15,000. The act stipulates minimum wages, maximum hours, child labor, convict labor, and safe and sanitary working conditions.
22.604-1 -- Statutory Exemptions. Items authorized to be purchased “in the open market” (commercial items); or where a
specific purchase is made under Unusual and Compelling Urgency. Perishables, including dairy, livestock, and nursery products. Agricultural or farm products processed for first sale by the original producers. Agricultural commodities or the products thereof purchased under contract by the Secretary
of Agriculture.
22.604-2 -- Regulatory Exemptions. Public utility services. Supplies manufactured outside the United States, Puerto Rico, and the U.S. Virgin Islands. Purchases against the account of a defaulting contractor where the stipulations of the Act
were not included in the defaulted contract. Newspapers, magazines, or periodicals, contracted for with sales agents or publisher
representatives, which are to be delivered by the publishers.
The Secretary of Labor may exempt specific contracts from the inclusion or application the Act’s stipulations. Request must include the reasons why the conduct of Government business will be seriously impaired unless the exemption is granted.
22.605 -- Rulings and Interpretations of the Act. When a contract is modified to exceed $15,000, the Act
applies for work performed after the date of the modification. When a contract is modified to $15,000 or less, the contract is
not subject to the Act for work performed after the date of the modification.
Required flowdown to subcontracts in excess of $15,000. The Act applies to contractors operating Government-owned
facilities. IDIQ (including BOA and BPA): Subject to the Act unless it can
be determined in advance that the aggregate amount of all orders (within 1 year) will not exceed $15,000. A determination shall be made annually if the contract or agreement is extended.
22.608 -- Procedures. (a) Award. Provide the contractor DOL publication WH-1313,
Notice to Employees Working on Government Contracts. (b) Breach of stipulation. Notify the appropriate regional office
of the DOL, Wage and Hour and furnish any information available.