Service Contract Labor Standards
FAR Subpart 22.10 mandates that federal service contracts comply with labor standards, including obtaining and applying wage determinations, to protect service employees' wages and working conditions.
Overview
FAR Subpart 22.10, Service Contract Labor Standards, establishes the requirements and procedures for ensuring that service contracts awarded by the federal government comply with labor standards, particularly those set forth in the Service Contract Labor Standards statute (formerly the Service Contract Act). This subpart covers definitions, statutory and executive order requirements, applicability, Department of Labor (DOL) responsibilities, solicitation provisions, wage determinations, notification requirements, procedures for handling wage determinations, and compliance enforcement. It also addresses issues such as collective bargaining agreements, equivalent rates for federal hires, and procedures for disputes and violations. The subpart is organized into sections that guide contracting officers and contractors through the process of ensuring labor standards compliance in service contracts, including obtaining and applying wage determinations, notifying affected parties, and handling errors or disputes.
Key Rules
- Scope and Definitions
- Outlines the applicability of labor standards to service contracts and provides key definitions.
- Statutory and Executive Order Requirements
- Details the legal basis for labor standards in service contracts, including relevant statutes and executive orders.
- Wage Determinations
- Requires contracting officers to obtain and apply wage determinations from the DOL for covered contracts.
- Notification and Clauses
- Mandates inclusion of specific solicitation provisions and contract clauses, and notification to contractors and employees.
- Compliance and Enforcement
- Provides procedures for withholding payments, handling disputes, and addressing violations, including potential ineligibility for violators.
Responsibilities
- Contracting Officers: Must ensure proper wage determinations are obtained and applied, include required clauses, notify parties, and enforce compliance.
- Contractors: Must comply with wage determinations, notify employees, and maintain required records.
- Agencies: Oversee compliance, cooperate with DOL, and take enforcement actions as necessary.
Practical Implications
- This subpart ensures fair wages and labor standards for service employees on federal contracts.
- It impacts contract formation, administration, and compliance monitoring.
- Common pitfalls include failure to obtain correct wage determinations, improper notification, and non-compliance with required clauses.