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Overview
The McNamara-O’Hara Service Contract 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.
For prime contracts in excess of $100,000, contractors and subcontractors must also, under the provisions of the Contract Work Hours and Safety Standards Act, as amended, pay laborers and mechanics, including guards and watchmen, at least one and one-half times their regular rate of pay for all hours worked over 40 in a workweek. The overtime provisions of the Fair Labor Standards Act may also apply to SCA-covered contracts.
General Guidance
Guides
Fact Sheets
- Fact Sheet 39 The Payment of Special Minimum Wages to Workers with Disabilities Who Are Employed on Federal Service Contracts Subject to the McNamara-O'Hara Service Contract Act (PDF)
- Fact Sheet 17a Exemption for Executive, Administrative, Professional, Computer & Outside Sales Employees Under the Fair Labor Standards Act (PDF)
- Fact Sheet 22 Hours Worked Under the Fair Labor Standards Act (PDF)
- Fact Sheet 23 Overtime Pay Requirements of the FLSA (PDF)
- Fact Sheet 44 Visits to Employers (PDF)
- Additional Fact Sheets
E-Tools
Workplace Posters
Forms:
Interpretive Guidance
- Field Operations Handbook
- Chapter 14 The McNamara-O'Hara Service Contract Act (PDF)
- Chapter 64 Employment of Workers with Disabilities at Special Minimum Wages under Section 14(c)
Applicable Laws and Regulations
- Laws
- Regulations
- SCA
- 29 C.F.R. Part 4 Labor Standards for Federal Service Contracts
- 29 C.F.R. Part 6 Rules of Practice for Administrative Proceedings Enforcing Labor Standards In Federal and Federally Assisted Construction Contracts and Federal Service Contracts
- 29 C.F.R. Part 8 Practice Before the Administrative Review Board With Regard to Federal Service Contracts
- FLSA
- CWHSSA
- 29 C.F.R. Part 5 Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction (Also Labor Standards Provisions Applicable to Nonconstruction Contracts Subject to the Contract Work Hours and Safety Standards Act.
- 29 C.F.R. Part 6 Rules of Practice for Administrative Proceedings Enforcing Labor Standards In Federal and Federally Assisted Construction Contracts and Federal Service Contracts
- 29 C.F.R. Part 8 Practice Before the Administrative Review Board With Regard to Federal Service Contracts
- PCA
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