22.103
Overtime
FAR 22.103 requires contractors to obtain prior approval and provide justification for overtime, ensuring overtime is used only when necessary and properly documented.
Overview
FAR 22.103 addresses the use of overtime in government contracts, outlining definitions, policies, procedures, approval requirements, and relevant contract clauses. The section establishes when and how overtime may be authorized, the limitations on its use, and the responsibilities of contracting officers and contractors in managing overtime work. It aims to ensure that overtime is used only when necessary and cost-effective, and that all approvals and documentation are properly handled to comply with federal labor policies.
Key Rules
- Definition of Overtime
- Clarifies what constitutes overtime work for government contracts, typically hours worked beyond the standard 40-hour workweek.
- Policy on Overtime Use
- Overtime should be minimized and only authorized when essential to meet contract requirements or deadlines.
- Procedures for Requesting Overtime
- Contractors must follow specific procedures to request overtime, including justification and documentation.
- Approval Requirements
- Overtime must be approved by the contracting officer or designated authority before being incurred.
- Contract Clauses
- Contracts must include clauses that address overtime limitations, approvals, and compensation.
Responsibilities
- Contracting Officers: Review and approve overtime requests, ensure compliance with policy, and include appropriate clauses in contracts.
- Contractors: Submit overtime requests with justification, maintain records, and comply with approval requirements.
- Agencies: Monitor overtime usage and ensure adherence to federal labor policies.
Practical Implications
- This section exists to control labor costs and prevent unnecessary overtime charges to the government.
- It impacts daily contracting by requiring oversight and documentation for overtime work.
- Common pitfalls include unauthorized overtime, inadequate justification, and missing contract clauses.