FAR 22.2102—Policy.
Plain-English Summary
FAR 22.2102 states the basic policy for the paid sick leave requirements tied to Executive Order 13706 and 29 CFR part 13. It tells agencies to require contractors to let covered employees accrue and use paid sick leave, and it makes clear that these requirements apply to employees performing work on or in connection with covered contracts. The section also explains how the federal paid sick leave rules interact with other legal authorities, including more protective Federal or State laws, municipal ordinances, collective bargaining agreements, the Service Contract Labor Standards statute, the Wage Rate Requirements (Construction) statute, the Family and Medical Leave Act, and State and local paid sick time laws. It further addresses how a contractor’s voluntary paid time off policy can satisfy the requirement if it meets or exceeds the E.O. and DOL standards. Finally, it allocates responsibility: contractors are generally responsible for compliance, while the Department of Labor is responsible for enforcement unless another provision in the subpart says otherwise. In practice, this section is the policy anchor for determining when paid sick leave must be provided, whether other leave arrangements can substitute, and who is accountable for meeting and enforcing the rule.
Key Rules
Covered contracts must provide sick leave
The Government must require contractors to allow employees performing work on or in connection with a covered contract to accrue and use paid sick leave under E.O. 13706 and 29 CFR part 13. This is the core policy requirement and applies only where the contract is covered by the Executive Order.
More protective laws still apply
Nothing in E.O. 13706 or 29 CFR part 13 overrides any applicable Federal or State law, municipal ordinance, or collective bargaining agreement that provides greater paid sick leave or broader leave rights. Contractors must comply with whichever requirement is more favorable to the employee.
Other labor laws may affect coverage
The rule points readers to 29 CFR 13.5(f)(2) through (4) for detailed interaction with the Service Contract Labor Standards statute, the Wage Rate Requirements (Construction) statute, the Family and Medical Leave Act, and State and local paid sick time laws. This means contractors must evaluate the paid sick leave rule alongside other labor obligations, not in isolation.
Voluntary PTO can satisfy the rule
A contractor’s voluntary paid time off policy may meet the paid sick leave requirement if it equals or exceeds the E.O. 13706 and 29 CFR part 13 standards. This can include a PTO policy provided under a collective bargaining agreement or a non-CBA policy, but only if the policy is at least as generous as the required sick leave protections.
Contractor compliance, DOL enforcement
Unless another provision in the subpart says otherwise, the contractor is responsible for compliance and the Department of Labor is responsible for enforcement. In practice, contractors must implement the leave system correctly, while DOL investigates and enforces violations.
Responsibilities
Government / Contracting Agency
Require contractors to provide paid sick leave to employees performing work on or in connection with contracts covered by E.O. 13706. The agency must structure the contract so the policy requirement is included and understood.
Contractor
Allow covered employees to accrue and use paid sick leave in accordance with E.O. 13706 and 29 CFR part 13, comply with any more protective applicable law or agreement, and ensure any PTO policy used in place of sick leave meets or exceeds the required standards.
Department of Labor
Enforce compliance with the paid sick leave requirements, including interpreting and applying the regulatory requirements unless another provision assigns responsibility differently.
Employees performing covered work
Use the paid sick leave or PTO benefits made available under the contractor’s compliant policy, subject to the terms and protections established by the E.O., the regulation, and any more protective applicable law or agreement.
Practical Implications
Contractors cannot treat the federal paid sick leave rule as the only leave law that matters; they must check State, local, and collective bargaining requirements for more generous benefits.
A standard PTO bank may be acceptable, but only if it truly meets or exceeds the federal sick leave requirements; a weaker or more restrictive PTO policy will not substitute.
Contractors working under multiple labor regimes, such as service or construction contracts, need to coordinate leave policies carefully to avoid conflicts with wage and hour obligations.
The phrase "on or in connection with" broadens the employee population that may be covered, so contractors should not limit their analysis only to employees directly performing contract work.
Because DOL enforces the rule, documentation, leave tracking, and policy language should be audit-ready; common pitfalls include misclassifying covered employees, failing to provide accrual/use rights, and assuming a CBA or PTO policy automatically satisfies the rule without a side-by-side comparison.
Official Regulatory Text
(a) The Government shall require contractors to allow employees performing work on or in connection with a contract covered by E.O. 13706 to accrue and use paid sick leave in accordance with the E.O. and 29 CFR Part 13 . (b) Interaction with other laws. Nothing in E.O. 13706 or 29 CFR Part 13 shall excuse noncompliance with or supersede any applicable Federal or State law, any applicable law or municipal ordinance, or a collective bargaining agreement requiring greater paid sick leave or leave rights than those established under E.O. 13706 and 29 CFR Part 13 . For additional details regarding interaction with the Service Contract Labor Standards statute, the Wage Rate Requirements (Construction) statute, the Family and Medical Leave Act, and State and local paid sick time laws, see 29 CFR 13.5 (f)(2) through (4). (c) Interaction with paid time off policies. In accordance with 29 CFR 13.5 (f)(5)(i), the paid sick leave requirements of E.O. 13706 and 29 CFR Part 13 may be satisfied by a contractor's voluntary paid time off policy, whether provided pursuant to a collective bargaining agreement or otherwise, where the voluntary paid time off policy meets or exceeds the requirements. For additional details regarding paid time off policies, see 29 CFR 13.5 (f)(5)(ii) and (iii). (d) Unless otherwise provided in this subpart, compliance is the responsibility of the contractor, and enforcement is the responsibility of the Department of Labor.