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- The Law
- The Regulations
- Federal Register
- Proposed Rules
- Final Rules
Synopsis of Law
The Act requires contractors and subcontractors performing services on
prime contracts in excess of $2,500 to pay service employees in various
classes no less than the wage rates and fringe benefits found prevailing
in the locality, or the rates (including prospective increases) contained
in a predecessor contractor's collective bargaining agreement. The Department
of Labor issues wage determinations on a contract-by-contract basis in response
to specific requests from contracting agencies. These determinations are
incorporated into the contract.
For contracts equal to or less than $2,500, contractors are required to
pay the federal minimum wage as provided
in Section 6(a)(1) of the Fair Labor Standards Act. Contractors must also,
under the provisions of the Contract Work Hours and Safety Standards Act
and the Fair Labor Standards Act, pay employees at least one and one-half
times their regular rate of pay for all hours worked over 40 in a workweek.
Compliance Assistance Materials
Workplace Poster Memo FAQ Guides Fact
Sheet
- Memo 198
On May 20, 2005, Wage and Hour issued a memorandum to all contracting
agencies of the Federal government advising that the prevailing health
and welfare fringe benefits issued under the McNamara-O’Hara Service Contract
Act will increase to $2.87 an hour on June 1, 2005
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Memo 196
A Memo From the Administrator to All Contracting Agencies of the Federal Government and Contracting
Agencies of the District of Columbia on Service Contract Act Health and Welfare Fringe Benefit Changes
- Memo 202
A Memo From the Administrator to All Contracting Agencies of the Federal
Government and the District of Columbia on Service Contract Act Health
and Welfare Fringe Benefit Changes. Effective June 1, 2006, the new SCA
health and welfare benefit will be $3.01 per hour.
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