Julie Su is posed to ascend the ladder at DOL and become the next Secretary of Labor, as Marty Walsh leaves to go play hockey.
Read MoreJust out — a White House memorandum directing all federal contracting agencies to hire labor advisors to help coordinate with DOL and comply with the laws regarding labor and employment which pertain to federal procurements. This includes especially the Service Contract Act and the Davis-Bacon Act, but also many other labor requirements and Executive Orders.
Read MoreThe Wall Street Journal got the minimum wage wrong. But the good news is they issued an errata shortly thereafter correcting the mistake.
Read MoreDoughnut chain agrees to future compliance at company’s 242 US locations for failure to include bonus income in calculating regular rate of pay due for overtime
Read MoreThe Inflation Reduction Act of 2022 gives tax benefits to project owners who assure the payment of Davis-Bacon Act prevailing wages and benefits on certain energy construction projects. The devil, of course, is in the details.
Read MoreThe Biden Administration has issued an Executive Order and proposed regulations for project labor agreements which will likely get finalized and become effective in 2023. it is time for construction contractors to get prepared.
Read MoreWorkers don’t get to pick whether they should be classified as independent contractors or as employees. The burden is on the employer to do the classification analysis. And that burden will just get tighter when the Biden Administration proposed regulations get finalized.
Read MoreBack in August 2022, I was puzzled by the small annual increase in the Service Contract Act (“SCA”) health and welfare rate which jumped by only 5%. At that time raging inflation was exceeding 8%-9%. Now I think I have some idea of what was going on. The CPI was overestimating the health insurance inflation.
Read MoreFreddy’s back! DOL is tinkering with the independent contractor rules yet again. And one Philadelphia medical staffing company had to cough up $9.3M to cover the back wages, liquidated damages, and civil money penalties for going to far.
Read MoreGovernment contractor stocks have generally performed mediocre over the last 21 months and have been a losing bet in an inflationary world.
Read MoreNo Davis-Bacon Act price adjustment claims are allowed if the contract has a clause that requires wage and fringe benefit escalations be priced into the option year quotes.
Read MoreThe explanation to the disconnect in the Federal survey employment reports is that perhaps many workers are taking two full-time jobs, and getting two paychecks, while they work remotely from home. Government contract employers beware!
Read MoreSometimes the wage and hour regulations cannot be taken literally. Instead, you need to figure out the regulatory intent. For example, the SCA and DBA regulations bar the employer from claiming a credit for paying social security, worker’s comp and unemployment premiums. These tax like payments are not fringe benefits. But other federal and state mandated benefit plans like Obamacare, Romneycare in Massachusetts, holidays, and leave are fringe benefits and can be credited towards compliance.
Read MoreRecently, DOL has published a record of employers who have been caught violating the Wage and Hour or Occupational Safety and Health Administration laws. There is now a searchable data base that allows the public to search for violators by company name.
Read MoreHere are some musing for government contractors on inflation and the stock market. You are now riding the inflation tiger, and you may yet be eaten alive.
Read MoreCareful drafting of CBAs, particularly on service contracts, should include some attention to language expressly making any state mandated fringe benefits into a CBA contractual requirement. At least that would be prudent for a contractor looking to get a price adjustment for state mandated benefits.
Read MoreLawyers and law firms too get picked on by DOL for FLSA violations — usually misclassification, working time and overtime problems. Just because you have a law degree doesn’t mean you understand the law.
Read MoreThe SCA rules for carry forward of leave turn logic and worker rights on their head. It is like Alice in Wonderland.
Read MoreFalsifying payroll records, paying bonuses instead of premium overtime pay, and being a general scofflaw gets you double damages and civil money penalties. No Virginia, crime does not pay.
Read MoreBimbo Bakeries USA Inc. (“Bimbo”) agreed to pay monies for allegedly refusing to hire women as bakers and related occupations on their government baking contracts in violation of Executive Order 11246.
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