Overview
This section clarifies the methods by which federal contractors may administer and provide the paid sick leave required by Executive Order 13706 and 29 CFR Part 13.
Key Rules
- Joint Fulfillment: Contractors are permitted to meet their paid sick leave obligations jointly with other contractors through the use of a multi-employer plan.
- Individual Fulfillment: Alternatively, contractors may fulfill these requirements independently through their own individual funds, plans, or programs.
- Regulatory Compliance: All methods of fulfillment must remain consistent with the standards set forth in 29 CFR 13.8.
Practical Implications
- Administrative Flexibility: This provides flexibility for contractors in industries where multi-employer benefit plans are common (such as the construction trades) to leverage existing collective bargaining structures to meet federal mandates.
- Compliance Options: Small or independent contractors not part of a trade association can still satisfy the requirement by maintaining their own internal tracking and funding systems for paid sick leave.