LABOR LAWS AND AFFIRMATIVE
ACTION CONSIDERATIONS IN
FEDERAL CONTRACTS
NCMBC FEDCON SUMMIT
Wilmington, NC
October 16-17, 20...
Labor Laws and Federal Contracts
Overview
ž  Federal

government implements
socioeconomic policies through its contracts
...
Labor Laws and Federal Contracts
Overview
ž  Legal

sources – statutes, regulations, orders

ž  Statutes – U.S. Code (U....
Labor Laws and Federal Contracts
Federal Prevailing Wage Policies
ž  Davis-Bacon Act:

40 U.S.C. § 3141, et seq.

—  Fed...
Labor Laws and Federal Contracts
Federal Prevailing Wage Policies
ž  Davis-Bacon Act:

40 U.S.C. § 3141, et seq.

—  Flo...
Labor Laws and Federal Contracts
Federal Prevailing Wage Policies
ž  Contract

Work Hours and Safety Standards
Act: 40 U....
Labor Laws and Federal Contracts
Federal Prevailing Wage Policies
ž 

Walsh-Healey Public Contracts Act: 41 U.S.C.
§6501,...
Labor Laws and Federal Contracts
Federal Prevailing Wage Policies
ž  Service

seq.

Contract Act: 41 U.S.C. § 351, et

—...
Labor Laws and Federal Contracts
Federal Prevailing Wage Policies
ž  Dept.

of Labor resources

—  http://www.dol.gov/co...
Labor Laws and Federal Contracts
Risks of Non-Compliance
ž  Summary
—  Non-compliance has a high price
—  Penalties are...
Labor Laws and Federal Contracts

Thanks
Rolly Chambers
Smith, Currie & Hancock LLP
5701 Westpark Dr., Suite 204
Charlotte...
Upcoming SlideShare
Loading in …5
×

FEDCON Summit: Labor Laws & Affirmative Action for Federal Contracts

605 views

Published on

Published in: Career, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
605
On SlideShare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
2
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

FEDCON Summit: Labor Laws & Affirmative Action for Federal Contracts

  1. 1. LABOR LAWS AND AFFIRMATIVE ACTION CONSIDERATIONS IN FEDERAL CONTRACTS NCMBC FEDCON SUMMIT Wilmington, NC October 16-17, 2013 Rolly Chambers Smith, Currie & Hancock LLP Charlotte, NC RLChambers@smithcurrie.com 704-334-3459
  2. 2. Labor Laws and Federal Contracts Overview ž  Federal government implements socioeconomic policies through its contracts ž  Cost of doing federal business = following government contracting policies ž  Build in admin overhead expenses
  3. 3. Labor Laws and Federal Contracts Overview ž  Legal sources – statutes, regulations, orders ž  Statutes – U.S. Code (U.S.C.) —  Legislation enacted by Congress ž  Regulations – rules adopted by agencies —  Code of Federal Regulations (CFR) —  Federal Acquisition Regulations (FAR) ž  Executive orders – order issued by president
  4. 4. Labor Laws and Federal Contracts Federal Prevailing Wage Policies ž  Davis-Bacon Act: 40 U.S.C. § 3141, et seq. —  Federal construction contracts where total value is $2000 or more —  Payment of “prevailing wages” to workers on federal construction projects ○  Wage Determinations set prevailing wages ○  Each contract includes a wage determination ○  Set by geographic area and job classification
  5. 5. Labor Laws and Federal Contracts Federal Prevailing Wage Policies ž  Davis-Bacon Act: 40 U.S.C. § 3141, et seq. —  Flow down - Subs must pay workers the wage in the Wage Determination —  Certified payrolls —  Enforcement penalties ○  Contract termination and debarment ○  Liability for unpaid wages and liquidated damages ○  Fines/imprisonment for false certified payrolls
  6. 6. Labor Laws and Federal Contracts Federal Prevailing Wage Policies ž  Contract Work Hours and Safety Standards Act: 40 U.S.C. § 3701, et seq. —  Applies to all federal contracts employing laborers or mechanics on public works —  Provides for overtime pay ○  1.5 x wage rate for hours worked above 40 hr./week —  Flow down – applies to subs —  Enforcement penalties ○  Withholding to pay required overtime ○  LD’s - $10 per day per worker for overtime not paid
  7. 7. Labor Laws and Federal Contracts Federal Prevailing Wage Policies ž  Walsh-Healey Public Contracts Act: 41 U.S.C. §6501, et seq. —  Applies to contracts for manufacture or furnishing of materials, supplies, equipment, etc. > $10,000 —  Workers paid prevailing wage ○  Set by Wage Determination —  No child labor or prison labor —  Poster display —  Enforcement penalties ○  LD’s - $10 per day per worker for overtime not paid ○  Potential Imprisonment
  8. 8. Labor Laws and Federal Contracts Federal Prevailing Wage Policies ž  Service seq. Contract Act: 41 U.S.C. § 351, et —  Applies to service contracts —  Construction and professional services contracts exempt —  Workers paid prevailing wage and benefits ○  DOL makes Wage Determination —  Enforcement penalties ○  Liability for underpayments ○  Contract termination; debarment
  9. 9. Labor Laws and Federal Contracts Federal Prevailing Wage Policies ž  Dept. of Labor resources —  http://www.dol.gov/compliance/index.htm - Help Navigating DOL Laws and Regulations; and —  http://www.dol.gov/compliance/guide/ index.htm - Employment Law Guide: Laws, Regulations, and Technical Assistance Services.
  10. 10. Labor Laws and Federal Contracts Risks of Non-Compliance ž  Summary —  Non-compliance has a high price —  Penalties are severe ○  Withholding of contract funds ○  Suspension ○  False Claims Act liability – treble damages ○  Possible Fines and Imprisonment —  Compliance is the right way to go
  11. 11. Labor Laws and Federal Contracts Thanks Rolly Chambers Smith, Currie & Hancock LLP 5701 Westpark Dr., Suite 204 Charlotte, NC 28217 rlchambers@smithcurrie.com 704-334-3459

×