22.406
Administration and enforcement
FAR 22.406 mandates strict administration and enforcement of labor standards on construction contracts, requiring contractors and subcontractors to comply with wage, benefit, and reporting obligations or face significant penalties.
Overview
FAR 22.406 outlines the procedures and requirements for the administration and enforcement of labor standards in construction contracts. This section provides detailed guidance on ensuring compliance with wage determinations, fringe benefits, overtime, and other labor standards as mandated by the Davis-Bacon Act and related statutes. It covers the responsibilities of contracting officers in monitoring contractor and subcontractor compliance, handling payrolls and statements, conducting investigations, and reporting enforcement actions. The section also addresses the handling of disputes, withholding or suspending contract payments for noncompliance, and cooperation with the Department of Labor.
Key Rules
- Policy and Wage Requirements
- Contractors must comply with wage, fringe benefit, and overtime requirements as specified in the contract.
- Additional Classifications and Apprentices
- Procedures for classifying additional labor categories and managing apprentices/trainees are specified.
- Subcontractor Oversight
- Contractors are responsible for ensuring subcontractor compliance with labor standards.
- Payroll and Compliance Checking
- Contractors must submit certified payrolls and statements; agencies must check compliance regularly.
- Investigations and Enforcement
- Contracting officers must investigate potential violations and may withhold payments or terminate contracts for noncompliance.
- Dispute Resolution and Reporting
- Procedures for resolving disputes and reporting enforcement actions to the Department of Labor are provided.
Responsibilities
- Contracting Officers: Monitor compliance, review payrolls, investigate violations, withhold payments if necessary, and report to the Department of Labor.
- Contractors: Submit accurate payrolls, ensure all workers are paid correctly, oversee subcontractors, and cooperate with investigations.
- Agencies: Maintain oversight, enforce labor standards, and submit semiannual enforcement reports.
Practical Implications
- Ensures fair labor practices and payment of prevailing wages on federal construction contracts.
- Noncompliance can result in payment withholding, contract termination, or legal action.
- Accurate recordkeeping and proactive compliance are essential to avoid enforcement actions.