Policy
FAR 22.1703 mandates strict anti-trafficking measures in government contracts, requiring robust compliance plans, certifications, and proactive prevention of trafficking-related activities, especially for high-value overseas contracts.
Overview
FAR 22.1703 establishes the U.S. Government's strict policy prohibiting trafficking in persons in all government contracts and subcontracts. It mandates that solicitations and contracts include explicit prohibitions against trafficking-related activities, such as forced labor, commercial sex acts, document confiscation, and deceptive recruitment. The regulation also requires contractors and subcontractors to notify employees of these prohibitions, implement compliance plans and certifications for certain contracts, cooperate with investigations, and protect victims or witnesses. The policy applies globally and includes specific requirements for contracts exceeding $550,000 for supplies or services performed outside the U.S., excluding COTS items. Contractors must provide remedies for violations, including contract termination.
Key Rules
- Prohibited Activities
- Contractors, subcontractors, and their agents are strictly prohibited from engaging in trafficking, forced labor, commercial sex acts, document withholding, deceptive recruitment, charging recruitment fees, failing to provide return transportation, substandard housing, and not providing required work documents.
- Employee Notification
- Contractors must inform employees about prohibited activities and potential consequences for violations.
- Certification and Compliance Plan
- For contracts/subcontracts over $550,000 for supplies/services outside the U.S. (excluding COTS), contractors and subcontractors must certify compliance and have a plan to prevent trafficking.
- Annual Certifications
- Annual certifications are required during contract performance when a compliance plan is mandated.
- Disclosure and Cooperation
- Contractors must disclose offenses, cooperate with audits/investigations, and protect victims/witnesses.
- Remedies for Noncompliance
- Agencies must impose suitable remedies, including termination, for violations.
Responsibilities
- Contracting Officers: Ensure inclusion of anti-trafficking clauses, review certifications, monitor compliance, and enforce remedies.
- Contractors: Implement and certify compliance plans, notify employees, cooperate with investigations, and protect victims/witnesses.
- Agencies: Oversee compliance, conduct audits/investigations, and impose remedies for violations.
Practical Implications
- This policy is designed to prevent human trafficking in federal contracting and supply chains. Contractors must be vigilant in their hiring, recruitment, and employment practices, especially for overseas contracts. Failure to comply can result in severe penalties, including contract termination and debarment. Common pitfalls include inadequate employee notification, insufficient compliance plans, and failure to monitor subcontractors.