The Department of Labor (DOL) is requiring federal contractors, subcontractors and certain parties who contract with the Federal Government to provide their employees with up to 7 days of paid sick leave annually, implementing Executive Order 13706, which was signed by President Obama on September 7, 2015.
The proposed rule applies to new contracts or contract-like instruments, if:
(i)(A) it is a procurement contract for services or construction; (B) a contract covered by the Service Contract Act; (C) a contract for concessions; and (D) a contract entered into with the Federal government in connection with Federal property or lands related to offering services for Federal employees, their dependents, or the general public; and
(ii) the wages of employees under such contract are governed by the Davis-Bacon Act, the Service Contract Act, or the Fair Labor Standards Act (FLSA), including employees who qualify for an exemption from the FLSA.
DOL estimates that the proposed rule will cost each small business $150-$650 for the first year in implementation costs and payroll costs.
Comments are due to the DOL by March 28, 2016.
- Read and Comment on this rule on Regulations.gov.
- Overview of the Proposed Rule, Fact Sheet, and FAQs from the DOL Website.
- Link to the Executive Order from the White House Website.
- Advocacy Contact: Janis Reyes (link sends e-mail) or call 202-205-6533.
