News & Announcements

Federal Contractor Paid Sick Leave Requirements Take Effect

Posted Monday, January 9, 2017 7:40 am
Paid sick leave obligations took effect for federal contractors on new covered contracts issued on or after January 1, 2017.  Obligations are also in effect with respect to existing covered contracts that are renewed, extended or in some cases modified through bilateral negotiation on or after January 1.  For purposes of paid sick leave, covered contracts include:
 
  • Procurement contracts or subcontracts for construction covered by the Davis-Bacon Act ($2000 and above),

 

  • Contracts or subcontracts covered by the Service Contract Act ($2500 and above),

 

  • Contracts for concessions using federal land or facilities, and

 

  • Contracts with the federal government in connection with federal property/lands, and related to offering services for federal employees, their dependents, or the general public (e.g., leases of federal real property).
 
If a federal contractor has a covered contract, it must provide covered employees (including part-time, temporary and FLSA-exempt workers) with one hour of paid sick leave for every thirty hours of work performed on covered contracts/subcontracts, up to a maximum of fifty-six hours per accrual year.   Sick leave may be used for:
 
  • An employee's own physical, mental illness or injury,

 

  • Obtaining diagnosis, care or preventative care,

 

  • To care for a child/parent/spouse/domestic partner or persons having the equivalent of a "family relationship," or

 

  • Where an employee is a victim of domestic violence, sexual assault or stalking.
 
Paid sick leave must be given in addition to the prevailing wage benefits provided to employees under Davis-Bacon or the Service Contract Act.  Final Rule.
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