Overview
This section contains clauses that implement various labor laws and social policies governing the treatment of workers by federal contractors. It primarily focuses on wage protections for construction laborers (Davis-Bacon Act), overtime compensation, recordkeeping requirements, and restrictions on the use of convict labor.
Key Rules
- Labor Dispute Notification: Contractors must immediately notify the Contracting Officer of any actual or potential labor disputes that threaten to delay contract performance (52.222-1).
- Overtime Restrictions: Payment for overtime premiums is generally prohibited unless specifically authorized in the contract or required for emergencies, continuous processes, or cost-reduction (52.222-2).
- Construction Wage Standards: Under the Construction Wage Rate Requirements (Davis-Bacon Act), laborers and mechanics must be paid unconditionally and at least once a week at rates not less than the prevailing wages determined by the Secretary of Labor (52.222-6).
- Certified Payrolls: For construction contracts, contractors must submit weekly "Statements of Compliance" and maintain detailed payroll records for three years post-completion, omitting full social security numbers from transmittals for privacy (52.222-8).
- Overtime Compensation (CWHSSA): Laborers and mechanics must be paid 1.5 times their basic rate for hours worked over 40 in a workweek, with violations leading to liquidated damages and potential payment withholding (52.222-4).
- Convict Labor Prohibitions: Contractors are prohibited from using forced prison labor but may employ persons on parole, probation, or in certified work-release programs provided specific pay and local labor conditions are met (52.222-3).
Practical Implications
- Compliance Monitoring: Prime contractors bear the ultimate responsibility for subcontractor compliance, necessitating rigorous oversight of subcontractor payrolls and labor practices to avoid liability for unpaid wages.
- Financial Liability: The government has the authority to "cross-withhold" funds from any of a contractor’s federal contracts to satisfy unpaid wage claims or liquidated damages arising from labor law violations.
- Administrative Recordkeeping: Construction contractors must adopt robust administrative systems to handle weekly certified payroll submissions and ensure that required wage posters are visible to all employees at both primary and secondary work sites.