22.2101
Definitions
FAR 22.2101 matters because it defines the full universe of workers and leave concepts covered by the Federal contractor paid sick leave rule, including many indirect and exempt employees contractors might otherwise overlook.
Overview
- FAR 22.2101 provides the core definitions used in Subpart 22.21, which implements paid sick leave requirements for certain Federal contractors under E.O. 13706 and 29 CFR Part 13.
- Its purpose is to define who is covered, what counts as paid sick leave, and related terms that determine when the subpart applies.
Key Rules
- Accrual year
- A contractor may use a 12-month period to cap an employee’s paid sick leave accrual, but the cap cannot be less than 56 hours.
- Employee
- Coverage is broad and includes individuals performing work on or in connection with a covered contract whose wages are governed by the Service Contract Labor Standards, Wage Rate Requirements (Construction), or the Fair Labor Standards Act, including certain exempt employees and registered apprentices.
- On or in connection with a contract
- Employees perform on a contract when they directly provide the contracted services; they perform in connection with a contract when their work is necessary to contract performance, even if not the specific contracted service.
- Health care provider, certification, multiemployer plan, and paid sick leave
- These terms incorporate meanings from 29 CFR 13.2 and clarify how leave administration and documentation should be handled.
Responsibilities
- Contracting Officers: Apply Subpart 22.21 definitions consistently when determining clause coverage and labor compliance.
- Contractors: Identify all covered employees, including indirect support workers and apprentices, and administer paid sick leave using the correct accrual framework.
- Agencies: Oversee implementation consistent with E.O. 13706 and Department of Labor regulations.
Practical Implications
- These definitions matter because they determine which workers must receive paid sick leave on covered contracts.
- A common compliance risk is excluding employees who work in connection with a contract or assuming FLSA-exempt status removes coverage.
- Contractors should align payroll, leave, and labor-classification practices with these definitions before performance begins.