Service Contract Act

My recollection is provided below with no references to offer other than the one you have provided. I did re-read the actual Act to make sure the one year is not mentioned in it and it is not. So I hesitated to post this but decided to anyway.

The collective bargained agreement is the basis for the WD determination that applied to the predecessor contract or at least that is the way I have seen them and therefore they are for the length of that contract. So you have a CB WD that is commensurate with the length of the contract. The contract has or is about to expire so the CO asks for a new WD. The WD issued is then based on the CB but the length of the WD is for only one year regardless of length of successor contract. After that one year period a new WD is issued either based on a new CB or on what I will call a general WD.

Now I cannot swear to all this without going through the actual effort of requesting an e98 for a current contract where a CB is applicable and where it may not be for the successor contract and see if what I remember is in fact true. Again this is how I recall it works which leads me to conclude that "one year" matter is based on how DOL issues the WD for the successor contract and you will not find it in the Act or in the regulations, it is again in the WD (process).

So this is my theory but others may be able to add clarity and possibly even regulation to support.

My recollection is provided below with no references to offer other than the one you have provided. I did re-read the actual Act to make sure the one year is not mentioned in it and it is not. So I hesitated to post this but decided to anyway.

The collective bargained agreement is the basis for the WD determination that applied to the predecessor contract or at least that is the way I have seen them and therefore they are for the length of that contract. So you have a CB WD that is commensurate with the length of the contract. The contract has or is about to expire so the CO asks for a new WD. The WD issued is then based on the CB but the length of the WD is for only one year regardless of length of successor contract. After that one year period a new WD is issued either based on a new CB or on what I will call a general WD.

Now I cannot swear to all this without going through the actual effort of requesting an e98 for a current contract where a CB is applicable and where it may not be for the successor contract and see if what I remember is in fact true. Again this is how I recall it works which leads me to conclude that "one year" matter is based on how DOL issues the WD for the successor contract and you will not find it in the Act or in the regulations, it is again in the WD (process).

So this is my theory but others may be able to add clarity and possibly even regulation to support.

Yes, I see. The CBA is the WD and (putting aside potential "ifs", "ands" and "buts") the WD (and it's"minimum" wages, etc.) in effect at award is incorporated in the first contract year awarded. Subsequent contract years may incorporate CBA/WDs with different wages, etc. I wonder that didn't occur to me. Thanks so much.

As to "ifs", "ands" and "buts", we've experienced some conflict where the first contract "year" doesn't last 12 months (often these days because an award is delayed), the CBA increases no longer track against the contract periods, or a combination of those types of factors. The trick is usually to get the CO, DOL Wage & Hour Division and the collective bargaining unit all on the same page.

The common wisdom in our industry and DOL's website...hold that the equal wages, etc. must be honored at least during, but not longer than, the first year of the the contract. I've never been able to nail down a statute or regulation stipulating the "first year of the contract" stricture. Is anyone able to tell me what law, theory or interpretation gives rise to it?

The "successor contract rule" applies to the base period of the follow-on procurement contract. For purposes of this rule, each option is considered a new contract. See 29 CFR ss 4.143 & 4.145