FAR Part 22 Flashcards by Todd Schak

Part 22

Application of Labor Laws to Government Acquisitions

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Overview of FAR Part 22 - Application of Labor Laws to Government Acquisitions

Purpose: Ensures fair labor practices in government contracts (FAR 22.000).

Key Sections:

22.1 Basic Labor Policies

22.2 Convict Labor

22.3 Contract Work Hours and Safety Standards Act

22.4 Labor Standards for Contracts Involving Construction

22.5 Use of Project Labor Agreements for Federal Construction Projects

22.6 Contracts for Materials, Supplies, Articles, and Equipment

22.8 Equal Employment Opportunity

22.9 Nondiscrimination Because of Age

22.10 Service Contract Labor Standards

22.11 Professional Employee Compensation

22.13 Equal Opportunity for Veterans

22.14 Employment of Workers with Disabilities

22.15 Prohibition of Acquisition of Products Produced by Forced or Indentured Child Labor

22.16 Notification of Employee Rights Under the National Labor Relations Act

22.17 Combating Trafficking in Persons

22.18 Employment Eligibility Verification

22.19 Establishing a Minimum Wage for Contractors

22.21 Establishing Paid Sick Leave for Federal Contractors

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Subpart 22.1 - Basic Labor Policies and 22.2 - Convict Labor

Purpose: Establishes basic labor policies and restrictions on convict
labor (FAR 22.101, FAR 22.201).

Key Features:

Ensures compliance with labor laws and regulations (FAR 22.101-1).

Prohibits the use of convict labor in government contracts (FAR 22.201).

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Subpart 22.3 - Contract Work Hours and Safety Standards Act and 22.4 - Labor Standards for Contracts Involving Construction

Purpose: Sets work hour limits and safety standards, and labor standards for construction contracts (FAR 22.301, FAR 22.401).

Key Features:

Limits on work hours and requirements for overtime pay (FAR 22.301).

Safety standards to protect workers (FAR 22.302).

Labor standards for construction projects, including wage requirements (FAR 22.401).

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Subpart 22.5 - Use of Project Labor Agreements for Federal Construction Projects and 22.6 - Contracts for Materials, Supplies, Articles, and Equipment

Purpose: Encourages the use of project labor agreements and sets labor standards for supply contracts (FAR 22.501, FAR 22.601).

Key Features:

Benefits of using project labor agreements in construction projects (FAR 22.501).

Labor standards for contracts involving materials, supplies, articles, and equipment (FAR 22.601).

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Subpart 22.8 - Equal Employment Opportunity and 22.9 - Nondiscrimination Because of Age

Purpose: Promotes equal employment opportunities and prohibits age discrimination (FAR 22.801, FAR 22.901).

Key Features:

Requirements for equal employment opportunity in federal contracts (FAR
22.801).

Prohibits discrimination based on age in government contracts (FAR 22.901).

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Subpart 22.10 - Service Contract Labor Standards and 22.11 - Professional Employee Compensation

Purpose: Sets labor standards for service contracts and ensures fair compensation for professional employees (FAR 22.1001, FAR 22.1101).

Key Features:

Wage and hour standards for service contracts (FAR 22.1001).

Requirements for fair compensation for professional employees (FAR 22.1101).

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Subpart 22.13 - Equal Opportunity for Veterans and 22.14 - Employment of Workers with Disabilities

Purpose: Promotes employment opportunities for veterans and workers with disabilities (FAR 22.1301, FAR 22.1401).

Key Features:

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FAR Part 22: Application of Labor Laws to Government Acquisitions

Subpart 22.15 - Prohibition of Acquisition of Products Produced by Forced or Indentured Child Labor and 22.16 - Notification of Employee Rights Under the National Labor Relations Act

Purpose: Prohibits the use of forced or child labor and ensures employee rights under the NLRA (FAR 22.1501, FAR 22.1601).

Key Features:

Prohibitions on acquiring products produced by forced or indentured child labor
(FAR 22.1501).

Requirements for notifying employees of their rights under the NLRA (FAR 22.1601).

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Basic Labor Policies

Agencies must maintain sound relations with industry and labor to ensure prompt receipt of information involving labor relations and to assure that the government obtains needed supplies and services without delay.

Agencies shall remain impartial concerning any dispute between labor and contractor management and not undertake the conciliation, mediation, or arbitration of a labor dispute.

To the extent practicable, agencies should ensure that the parties to the dispute use all available methods to resolve it.

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Basic Labor Policies

Available methods for labor dispute resolution include:

Services of the National Labor Relations Board

Federal Mediation and Conciliation Service

National Mediation Board

Other federal, state, or local agencies

Private agencies

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Basic Labor Policies

Overtime

Time worked by a contractor’s employee in excess of the employee’s normal workweek

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Basic Labor Policies

Normal Workweek

Generally means a work week of 40 hours

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Labor Standards for Construction Contracts

Separate labor standards apply to contracts valued at greater
than $2,000, for construction, alteration, or repair, including painting and decorating, of public buildings and public works.

Wage Rate Requirements statute:

Formerly known as Davis-Bacon Act

No laborer or mechanic employed on the site shall receive less than
prevailing wage rates as determined by the Secretary of Labor

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Labor Standards for Construction Contracts

Separate labor standards apply to contracts valued at greater
than $2,000, for construction, alteration, or repair, including painting and decorating, of public buildings and public works.

Kickbacks statute:

Formerly Copeland “Anti-Kickback” Act

Prohibits inducing any person to
give up any compensation to which that person is entitled under a
contract of employment

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Labor Standards for Construction Contracts

Separate labor standards apply to contracts valued at greater
than $2,000, for construction, alteration, or repair, including painting and decorating, of public buildings and public works.

Contract Work Hours and Safety Standards statute:

Formerly Contract Work Hours
and Safety Standards Act

Laborers and mechanics must be
paid time and a half for overtime work (more than 40 hours/week)

Project Labor Agreement (PLA)

A pre-hire collective bargaining agreement with one or more labor organizations that establishes the terms and conditions of employment for a specific construction project

All contractors and subcontractors may compete on the project without regard to collective bargaining agreements.

No strikes, lockouts, or similar job disruptions

Procedures for resolving labor disputes and mechanisms for labor-management cooperation.

Contracts for Materials, Supplies, Articles, and Equipment

Formerly known as Walsh-Healy Public Contracts Act

Required in supply contracts valued over $15,000

Addresses minimum wages,

Maximum hours, * Child labor,

Convict labor, and

Safe and sanitary working conditions

Equal Employment Opportunity

All nonexempt governmental prime and subcontractors are required to promote equal opportunity for employment to all persons,
regardless of race, color, religion, sex, or national origin.

Equal Employment Opportunity

Contractors found to be in violation are subject to:

Publication of their names or the names of their unions,

Cancellation, termination, or suspension of the contract,

Debarment, and/or

Referral to the Department of Justice or EEO Commission for civil or criminal proceedings.

ServiceContractLaborStandards

Formerly known as McNamara-O’Hara Service Contract Act

Service contracts valued in excess of $2,500 must contain mandatory provisions for:

Minimum wage

Fringe benefits

Safe and sanitary working conditions

Notification of minimum allowable compensation, and

Equivalent federal employee classifications and wage rate

Required Notifications to Employees

EMPLOYEE RIGHTS ON GOVERNMENT CONTRACTS

Equal Employment Opportunity i s THE LAW

EMPLOYEE RIGHTS UNDER THE DAVIS-BACON ACT
FOR LABORERS AND MECHANICS EMPLOYED ON FEDERAL OR FEDERALLY ASSISTED CONSTRUCTION PROJECTS

FAR PART 22. APPLICATION
OF LABOR LAWS TO
GOVERNMENT ACQUISITIONS

A. BASIC LABOR POLICIES (FAR 22.1)

Agencies are required to

maintain sound relations with industry and labor to ensure prompt receipt of information involving labor relations that may adversely affect the government acquisition process and to ensure that the government obtains needed supplies and services without delay.

Agencies shall remain impartial concerning

any dispute between labor and contractor management and not undertake the conciliation, mediation, or arbitration of a labor dispute. To the extent practicable, agencies should ensure that the parties to the dispute use all available methods for resolving the dispute, including the services of the National Labor Relations Board; Federal Mediation and Conciliation Service; the National Mediation Board; and other appropriate federal, state, local, or private agencies.

The head of the contracting activity may designate programs or requirements for which it is necessary that contractors be required to

notify the government of actual or potential labor disputes that are delaying or threaten to delay timely contract performance. Agencies are to cooperate and encourage contractors to cooperate with federal and state agencies responsible for enforcing labor requirements.

"Normal workweek"

generally means a workweek of 40 hours

"Overtime" means time

worked by a contractor's employee in excess of the employee's normal workweek. Contractors are required to perform all government contracts, so far as practicable, without using overtime, except when lower overall costs to the government will result or when it is necessary to meet urgent program needs.

B. CONTRACT WORK HOURS AND SAFETY STANDARDS STATUTE (CONTRACT WORK HOURS AND SAFETY STANDARDS ACT) (FAR 22.3) No laborer or mechanic

shall be required or permitted to work more than 40 hours a week unless paid time and a half. The act is applicable to contracts that may require or involve the employment of laborers or mechanics.

C. LABOR STANDARDS FOR CONTRACTS INVOLVING CONSTRUCTION (FAR 22.4) Applicable to contracts for construction, alteration, or repair, including painting and decorating, of public buildings and public works in excess of the FAR 22.400 threshold. The Wage Rate Requirements statute (formerly Davis-Bacon Act) provides

that no laborer or mechanic employed on the site shall receive less than prevailing wage rates as determined by the Secretary of Labor. Contracts including clause 52.222-6 are also required to provide sick leave for contractor employees (FAR 22.2).

C. LABOR STANDARDS FOR CONTRACTS INVOLVING CONSTRUCTION (FAR 22.4) Applicable to contracts for construction, alteration, or repair, including painting and decorating, of public buildings and public works in excess of the FAR 22.400 threshold. The Kickbacks statute (formerly Copeland Anti-Kickback) Act) makes it unlawful

to induce any person to give up any part of the compensation to which that person is entitled under a contract of employment.

C. LABOR STANDARDS FOR CONTRACTS INVOLVING CONSTRUCTION (FAR 22.4) Applicable to contracts for construction, alteration, or repair, including painting and decorating, of public buildings and public works in excess of the FAR 22.400 threshold. The Contract Work Hours and Safety Standards statute (Contract Work Hours and Safety Standards Act) requires that laborers and mechanics must

be paid time and a half for overtime work (>40 hours per week). Wage determinations are discussed in FAR 22.404-1 through 11. There are two types: general (prevailing wage rates within a specified geographical area, no expiration date); and project (specific to project, used when no general wage determination applies, effective for 180 calendar days). Once incorporated in a contract, wage determinations normally remain effective for the life of the contract unless the contracting officer exercises an option and extends the term of the contract. In this situation, the most current wage determination is incorporated. Contracting agencies are responsible for enforcing labor standards in the administration of construction contracts. This is most commonly done through review of payrolls and statements and regular compliance checks. Results are then reported to the Department of Labor through the submission of semiannual enforcement reports.

D. PROJECT LABOR AGREEMENTS (FAR 22.5) A project labor agreement (PLA) is a

prehire collective bargaining agreement with one or more labor organizations that establishes the terms and conditions of employment for a specific construction project. PLAs allow all contractors and subcontractors to compete on the project without regard to whether they are otherwise parties to collective bargaining agreements; contain guarantees against strikes, lockouts, and similar job disruptions; establish procedures for resolving labor disputes; and provide other mechanisms for labor-management cooperation. If appropriate, an agency may require that every contractor and subcontractor engaged in a large-scale construction project agree, for that project, to become a party to a PLA with one or more labor organizations.

Agencies may consider the following factors in deciding whether the use of a PLA is appropriate:

The project will require multiple construction contractors and/or subcontractors employing workers in multiple crafts or trades; The possibility of a shortage of skilled labor in the region in which the construction project will be sited; Completion of the project will require an extended period of time; PLAs have been used on comparable projects in the geographic area of the project; A PLA will promote the agency's long-term program interests, such as facilitating the training of a skilled workforce to meet the agency's future construction needs; and Any other factors that the agency decides are appropriate.

E. CONTRACTS FOR MATERIAL, SUPPLIES, ARTICLES, AND EQUIPMENT (WALSH-HEALEY PUBLIC CONTRACTS ACT) (FAR 22.6) The statute applies to supply contracts valued in excess of the amount referred to in the FAR 22.602. It addresses such matters

as minimum wages, maximum hours, child labor, convict labor, and safe and sanitary working conditions. Statutory/regulatory exemptions are listed in FAR 22.604-1 and -2.

F. EQUAL EMPLOYMENT OPPORTUNITY (FAR 22.8) Equal Employment Opportunity (EEO) requirements are prescribed for all nonexempt governmental prime and subcontracts to

promote equal employment opportunities for all persons, regardless of race, color, religion, sex, sexual orientation, gender identity, or national origin. See FAR 22.807 for exemptions. Contractors found to be in violation are subject to having their names or the names of their unions published; cancellation, termination, or suspension of the contract; debarment; and referral to the Department of Justice or EEO Commission for civil or criminal proceedings.

G. SERVICE CONTRACT LABOR STANDARDS STATUTE (SERVICE CONTRACT ACT OF 1965), AS AMENDED (FAR 22.10) Service contracts valued in excess of the amount specified as the threshold found in FAR 22.1002-1 must contain mandatory

provisions regarding minimum wage and fringe benefits, safe and sanitary working conditions, notification to employees of the minimum allowable compensation, equivalent federal employee classifications and wage rates, and (per FAR 22.2) sick leave. Statutory exemptions are covered in FAR 22.1003-3 and exclusions for sick leave payment requirements are covered in FAR 22.2104. Contracting officers may obtain wage determinations using the WDOL website or the Department of Labor's e98 electronic process. Contracting officers must include the applicable wage determination in the solicitation and resulting contract.