A federal enclave doctrine has emerged that precludes the application of state laws to those contracts, including state wage and hour laws, which are being performed in enclaves where only the federal government has exclusive jurisdiction. But the devil is in the details of figuring out if an enclave exists. This blog is meant to identify a process to make that determination.
Read MoreThe Wage and Hour Division (“WHD”) of the US Department of Labor (“DOL”) announced last week that it recovered “$1.5 million dollars of back wages and damages for more than 400 workers” working for employers that had “federally funded” contracts. The announcement doesn’t convey the underlying cause of this multi-contractor compliance breakdown—the scale of which actually is extremely rare. I sure would like to know what happened here.
Read MoreNew rules are now issued and Project Labor Agreements (“PLAs”), which are pre-hire collective bargaining agreements with one or more labor organizations that establishes the terms and conditions of employment will be mostly mandatory for federal government construction projects of $35M or more.
Read MoreA newly proposed policy and related rules would require federal contractors to disclose the compensation and benefits they intend to furnish to job applicants. Contractors also would be prohibited from seeking or using an applicant’s salary history as part of its hiring decision. If adopted, the proposal would apply to almost all federal contractors.
Read MoreThe Congressional Review Act (“CRA”) gives Congress a shot at nullifying executive branch regulations. Look for the Republicans to try to invoke it as we approach election day and in the next session of Congress thereafter, depending on the election outcome.
Read MoreLast week my distinguished colleague wrote about the new Davis Bacon “operation of law” rule that requires the use of a new DOL-issued contract clause. But what’s happening now? Is there a currently valid contract clause that federal Contracting Officers can modify into a contract? For now, the answer appears to be no.
Read MoreNew Davis-Bacon Act (“DBA”) regulations went into effect at the end of October 2023. Among other things, they purport to make the DBA clauses and wage determinations apply by operation of law. But they also provide for price adjustments for contractors. Exactly how it plays out is yet to be determined, but it might be prudent for the contractor to take any omitted clauses or wage determination problem slowly, and not just jump ahead into supposed compliance only to find out they have a fight to get a price adjustment.
Read MoreThe Service Contract Act (“SCA”) Price Adjustment clause provides for certain timely notices to be given by both the Government and the contractor. This blog explores several timeliness issues which can show up as a result of late notice furnished by either the Government or the contractor.
Read MoreMany construction projects are made up of components that are fabricated at locations other than the place where a building or work is being erected. The Department of Labor’s recent revisions to the Davis-Bacon Act (“DBA”) regulations update its take on when work at a secondary site is DBA covered.
Read MoreLast week a Texas judge rejected President Biden’s Executive Order that requires federal contractors to pay a minimum wage when they are working on or in connection with a covered federal contract. This is the latest installment in the ongoing battle over the President’s use of Executive Orders to direct federal contractors to adopt workplace rules under the federal Procurement Act.
Read MoreHere is a practical guide to doing research on whether federal government facilities and lands are federal enclaves such that the application of state employment laws (including state or local wage and hour laws) are barred.
Read MoreSomething old, some things new… DOL publishes final rule that represents the most significant overhaul of its Davis Bacon Act regulations in over 40 years. Numbering over 800 pages, the new rule and its commentary offers a lot to chew on. Here are some highlights.
Read MoreUnder the Service Contract Act (“SCA”), negotiated CBA wage rates can be lower than the prevailing wage rate, and the CBA is not automatically displaced by the higher SCA wages or benefits set forth in a prevailing wage determination.
Read MoreA recent decision issued by the Court of Federal Claims discusses what happens if an employee says he plans to leave, but hasn’t departed, the company putting him forward as a key person for a contract. Read on for some thoughts about how this decision affects what can happen if a key person decides to bail.
Read MoreWe have two different Contractor Minimum Wage Executive Orders. One requires a $12.15 minimum wage. The other requires a $16.20 an hour minimum wage. But the curious thing is they both use the same FAR section clause number — FAR 52.225-55. Confused.? So am I.
Read MoreBan TikTok on all devices. Sound simple enough, but is it? Yeah, maybe not. Read on for some thoughts about what’s required to comply with the new federal contract clause that implements the ban of TikTok and ByteDance apps on federal “information technology” whatever that really means.
Read MoreThe new Service Contract Act (“SCA”) health and welfare (“H&W”) rates are out and made effective to new solicitations and contracts on June 27, 2023. Except for in Hawaii, the new H&W rates are $4.57 an hour if the sick leave executive order applies, and $4.98 an hour if it doesn’t.
Read MoreExplaining how we ended up with two different names for our construction and service contract wage laws and why the Department of Labor’s naming preference is superior.
Read MoreGovernment contractors, at least as an investment option, continue to underperform the S&P 5000 average. The lack luster 2023 year to date returns (and downright losses) come on the heals of a miserable 2022 performance. If you are working for a government contractor and invested heavily in its stock, perhaps you should be wishing for a recession to revive your lagging performnce.
Read MoreConventional wisdom holds that bid protests are an uphill battle. It can be tough to win them. And sometimes when you win, you still lose because the contract’s still awarded to your competitor. A recent bid protest decision illustrates how a successful protest prompted the agency to appoint a new evaluation team that changed the outcome.
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