Blog Two: Timing of New Wage Determinations for Remote Workers – Service Contract Act (“SCA”) Telework Issues  

The timing of when to add a new Service Contract Act (“SCA”) wage determination (“WD”) to a contract for remote workers can get rather complex. It depends on the facts. And the guidance is rather sparse. Here we try to parse the rules and offer some practical guidance.

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Should Government Contractors Get Price Adjustments for State and Local Laws Mandating Higher Minimum Wages – Yes, No, Maybe?

The Civilian Board of Contract Appeals (“CBCA”) holds that a Montgomery County, MD janitorial contractor cannot recover the costs under its Federal Government contract for a local county law requiring increases of the applicable minimum wage. Is the Board right? Can there be different facts with different results?

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Is it OK to underbid an SCA Contract?

Businesses competing for federal contracts will be successful if they are able to offer high quality products and services for a reasonable price when compared with the offerings of their competitors. A recent bid protest decision issued by the Government Accountability Office offers a poignant reminder about how challenging it can be to come up with a price to perform a federal service contract.

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Artificial Intelligence vs. No Intelligence: DOL Issues New Field Assistance Bulletin (FAB) No. 2024-1, With Guidance On the Use of Artificial Intelligence in the Workplace

The Department of Labor has issued a new bulletin meant to reiterate the need for human supervision and responsibility over artificial intelligence software used in the workplace for compliance with the FLSA and other requirements.

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Greatest Hits - Federal Contractor Vacation and Sick Leave Rules

We’ve posted hundreds of blogs over the last six years. Looking back, three out of the top 10 posts are about Service Contract Act vacation rules. For a benefit that’s all about relaxation, it’s one of the most vexing SCA requirements—so much so that I believe they’re a poster child for the cliche that no good deed goes unpunished.

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The Federal Enclave Doctrine – A Practical Guide to its Application

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.

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Don’t Defund the Police – The Number of Wage & Hour Investigators Is Getting Too Low

The U.S. Department of Labor Wage & Hour Division has only about 720 investigators. Once upon a time it had over 1,000 investigators. This means that those who would cross the lines set for child labor, minimum wage, and overtime pay, along with noncompliance with Government contract wage laws, are less likely to be found or punished.

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What Happened Here? DOL finds “Widespread Violations” of Government Contract Labor and Contract Violations

The 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.

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A Thumb on the Scale? Department of Labor Establishes “Partnership” with Union

The Wage and Hour Division (“WHD”) of the US Department of Labor (“DOL”) announced last week a three-year “collaborative agreement” with a union to educate workers and identify labor law violations. Is this an unfair thumb on the scale? Hopefully not, but this agreement arguably erodes the degree of independence that should accompany the Government’s enforcement of employment laws.

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The Executioner’s Axim – Administrative Cost Reimbursement in Service Contract Fringe Benefit Plans Is Under Attack

The saga of administrative fees paid to third party administrators (“TPA”) by prevailing wage fringe benefit plans took an ugly turn with claims by the Department of Labor that a small TPA called AXIM has breached its fiduciary duties. AXIM was administering a benefit plan organized to satisfy the health and welfare (“H&W”) requirements of the Service Contract Act (“SCA”).

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Daniel Abrahams
Back Up the Truck – Mandatory Project Labor Agreements For Federal Construction Projects Are Here!

New 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.

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Government Proposes New Rules Regarding Compensation History and Salary Transparency

A 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.

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