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CFR  

Code of Federal Regulations Pertaining to ESA

Title 29  

Labor

 

Chapter V  

Wage and Hour Division, Department of Labor

 

 

Part 776  

Interpretative Bulletin on the General Coverage of the Wage and Hours Provisions of the Fair Labor Standards Act of 1938

 

 

 

Subpart B  

Construction Industry


29 CFR 776.26 - Relationship of the construction work to the covered facility.

  • Section Number: 776.26
  • Section Name: Relationship of the construction work to the covered facility.

    Unless the construction work is physically or functionally 
integrated or closely identified with an existing covered facility it is 
not regarded as covered construction because it is not closely enough 
related to or integrated with the production of goods for commerce or 
the engagement in commerce. For this reason the erection, maintenance or 
repair of dwellings, apartments, hotels, churches and schools are not 
covered projects. 15  Similarly the construction of a 
separate, wholly new, factory building, not constructed as an integral 
part or as an improvement of an existing covered production plant, is 
not covered (Cf. Sec. 776.27(c)). Coverage of any construction work, 
whether new or repair work, depends upon how closely integrated it is 
with, and how essential it is to the functioning of, existing covered 
facilities. Neither the mere fact that the construction is ``new 
construction'' nor the fact that it is physically separated from an 
existing covered plant, is determinative. Moreover, the court decisions 
make it clear that the construction project itself need not be actually 
employed in commerce or in the production of goods for commerce during 
the time of its construction in order to be covered. 16  Such 
factors may be considered in determining whether as a practical matter 
the work is directly and vitally related to the functioning of the 
covered facility but would not be decisive.
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    15 Cf. Sec. 776.18(b).
    16 Mitchell v. Vollmer, ante; Bennett v. V. P. Loftis 
Co., ante; Mitchell v. Chambers Const. Co., 214 F. (2d) 515 (C.A. 10); 
Walling v. McCrady Const. Co., ante; Tobin v. Pennington-Winter Const. 
Co., 198 F. (2d) 334 (C.A. 5), certiorari denied, 345 U.S. 915.
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