GAO warns of SCA compliance problems just in time for the Biden administration

December 14, 2020 Jason Bakke 0 Comments

The Service Contract Act prevents the government from depressing wages in a location through its disproportionate buying power. The act sets alternate “minimum wages” that covered government contractors must pay by labor category and geography.

Just in time for the Biden administration, GAO finds “violations of the Act leading to over $220 million in back wages for workers” across 5,000 investigations in five years.

“Labor also determined that 60 contractors should be excluded from receiving new federal contracts for 3 years.”

Expect Labor to staff up wage enforcement. Contractors should be sure they are properly classifying and paying employees. Remember, they cam call your KO, agency IG, agency whistle-blower, DOL, etc.

Also like it or not, it’s in your contract.

GAO warns of SCA compliance problems just in time for the Biden administration was last modified: December 15th, 2020 by Jason Bakke

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