Except as hereinafter directed, in every contract made and entered
into by an executive department, independent establishment, or other
agency or instrumentality of the United States, or by the District of
Columbia, or by any corporation all the stock of which is beneficially
owned by the United States, for the manufacture or furnishing of
materials, supplies, articles, and equipment, the contracting officer
shall cause to be inserted or incorporated by reference in such
invitation or the specifications and in such contract, the following
stipulations:
Representations and Stipulations Pursuant to Public Law 846, 74th
Congress, as Amended
(a) All persons employed by the contractor in the manufacture or
furnishing of the materials, supplies, articles, or equipment used in
the performance of the contract will be paid, without subsequent
deduction or rebate on any account, not less than the minimum wages as
determined by the Secretary of Labor to be the prevailing minimum wages
for persons employed on similar work or in the particular or similar
industries or groups of industries currently operating in the locality
in which the materials, supplies, articles, or equipment are to be
manufactured or furnished under the contract.
(b) No person employed by the contractor in the manufacture or
furnishing of the materials, supplies, articles, or equipment used in
the performance of the contract shall be permittted to work in excess of
40 hours in any 1 week unless such person is paid such applicable
overtime rate as has been set by the Secretary of Labor: Provided,
however, That the provisions of this stipulation shall not apply to any
employer who shall have entered into an agreement with his employees
pursuant to the provisions of paragraphs 1 or 2 of subsection (b) of
section 7 of an act entitled ``The Fair Labor Standards Act of 1938'':
Provided, further, That in the case of such an employer, during the life
of the agreement referred to the applicable overtime rate set by the
Secretary of Labor shall be paid for hours in excess of 12 in any 1 day
or in excess of 56 in any 1 week and if such overtime is not paid, the
employer shall be required to compensate his employees during that week
at the applicable overtime rate set by the Secretary of Labor for hours
in excess of 40 in any 1 week.
(c) No person under 16 years of age and no convict labor will be
employed by the contractor in the manufacture or production or
furnishing of any of the materials, supplies,
articles, or equipment included in the contract.
(d) No part of the contract will be performed nor will any of the
materials, supplies, articles, or equipment to be manufactured or
furnished under said contract be manufactured or fabricated in any
plants, factories, buildings, or surroundings or under working
conditions which are unsanitary or hazardous or dangerous to the health
and safety of employees engaged in the performance of the contract.
Compliance with the safety, sanitary, and factory inspection laws of the
State in which the work or part thereof is to be performed shall be
prima facie evidence of compliance with this paragraph.
(e) Any breach or violation of any of the foregoing representations
and stipulations shall render the party responsible therefor liable to
the United States of America for liquidated damages, in addition to
damages for any other breach of the contract, in the sum of $10 per day
for each person under 16 years of age, or each convict laborer knowingly
employed in the performance of the contract, and a sum equal to the
amount of any deductions, rebates, refunds, or underpayment of wages due
to any employee engaged in the performance of the contract; and, in
addition, the agency of the United States entering into the contract
shall have the right to cancel same and to make open-market purchases or
enter into other contracts for the completion of the original contract,
charging any additional cost to the original contractor. Any sums of
money due to the United States of America by reason of any violation of
any of the representations and stipulations of the contract as set forth
herein may be withheld from any amounts due on the contract or may be
recovered in a suit brought in the name of the United States of America
by the Attorney General thereof. All sums withheld or recovered as
deductions, rebates, refunds, or underpayments of wages shall be held in
a special deposit account and shall be paid, on order of the Secretary
of Labor, directly to the employees who have been paid less than minimum
rates of pay as set forth in such contracts and on whose account such
sums were withheld or recovered: Provided, That no claims by employees
for such payments shall be entertained unless made within 1 year from
the date of actual notice to the contractor of the withholding or
recovery of such sums by the United States of America.
(f) The contractor shall post a copy of the stipulations in a
prominent and readily accessible place at the site of the contract work
and shall keep such employment records as are required in the
regulations under the act available for inspection by authorized
representatives of the Secretary of Labor.
(g) The contractor is not a person who is ineligible to be awarded
Government contracts by virtue of sanctions imposed pursuant to the
provisions of section 3 of the act.
(h) No part of the contract shall be performed and none of the
materials, articles, supplies or equipment manufactured or furnished
under the contract shall be manufactured or furnished by any person
found by the Secretary of Labor to be ineligible to be awarded
Government contracts pursuant to section 3 of the act.
(i) The foregoing stipulations shall be deemed inoperative if this
contract is for a definite amount not in excess of $10,000.
[7 FR 4494, June 16, 1942, as amended at 7 FR 11086, Dec. 30, 1942; 11
FR 6238, June 8, 1946. Redesignated at 24 FR 10952, Dec. 30, 1959, and
amended at 27 FR 306, Jan. 11, 1962; 27 FR 4556, May 12, 1962; 34 FR
6687, Apr. 19, 1969; 34 FR 7451, May 8, 1969; 51 FR 12266, Apr. 9, 1986.
Redesignated and amended at 61 FR 40716, Aug. 5, 1996]
