['Government contracts']
["McNamara-O'Hara Service Contract Act"]
07/17/2024
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Summary of differences between federal and state regulations
There is not a comparable act or regulation for the State of Vermont.
Summary of the McNamara-O’Hara Service Contract Act
The McNamara-O'Hara Service Contract Act covers contracts entered into by federal and District of Columbia agencies where the principal purpose of the contract is to furnish services in the U.S. through the use of service employees. The definition of service employee includes any employee performing services on a covered contract other than a bona fide executive, administrative, or professional employee who meets the exemption criteria set forth in 29 CFR Part 541.
The 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.
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. Contractors must also, under the provisions of the Contract Work Hours and Safety Standards Act and the Fair Labor Standards Act, pay employees at least one and one-half times their regular rate of pay for all hours worked over 40 in a workweek.
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['Government contracts']
["McNamara-O'Hara Service Contract Act"]
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