FAR 22.403—Statutory, Executive Order, and regulatory requirements.
Contents
- 22.403-1
Construction Wage Rate Requirements statute.
FAR 22.403-1 identifies the statutory basis for the Construction Wage Rate Requirements, formerly the Davis-Bacon Act, and explains when the requirement applies to federal construction contracting. It covers contracts in excess of $2,000 where the United States or the District of Columbia is a party and the work involves construction, alteration, or repair, including painting and decorating, of public buildings or public works within the United States. The section also points to the required contract clause at FAR 52.222-6, which must be included in covered contracts. In practical terms, this means contractors performing covered construction work must pay laborers and mechanics at least the prevailing wage rates determined by the Secretary of Labor for work performed directly on the site of the work. The rule exists to protect local wage standards on federally funded construction and to ensure wage competition does not undercut area labor rates. For contracting officers, it is a threshold and clause-inclusion rule; for contractors, it is a wage compliance obligation that affects pricing, payroll, subcontract management, and labor recordkeeping.
- 22.403-2
Copeland Act.
FAR 22.403-2 explains the Copeland (Anti-Kickback) Act and how it applies to federal construction and repair work. This section covers two core subjects: first, the Act’s prohibition on coercing or inducing employees on federally financed public buildings or public works to surrender any part of their earned compensation; and second, the weekly statement-of-compliance requirement for contractors and subcontractors regarding wages paid. It also explains the contracting requirement that covered contracts include the mandatory clause at FAR 52.222-10, which binds contractors and subcontractors to the Department of Labor’s Copeland Act regulations. In practice, this section is about protecting workers from wage kickbacks and ensuring payroll transparency on covered construction projects. For contracting officers, it is a clause-and-compliance trigger; for contractors and subcontractors, it is a payroll administration and labor-compliance obligation that must be built into weekly reporting and subcontract management.
- 22.403-3
Contract Work Hours and Safety Standards.
FAR 22.403-3 explains the core overtime requirement under the Contract Work Hours and Safety Standards statute for covered federal contracts. It tells contracting officers and contractors that certain contracts must include the required labor standards clause at FAR 52.222-4, and that the clause protects laborers and mechanics working on the contract by limiting the standard workweek to 40 hours unless they are paid overtime at not less than 1.5 times the basic rate of pay. This section ties together three key subjects: which contracts are covered by the statute, what clause must be inserted, and what pay rule applies when covered workers exceed 40 hours in a workweek. In practice, it matters because it creates a mandatory wage-and-hour obligation on covered federal work and gives contracting personnel a clear trigger for clause insertion and compliance oversight. For contractors, it affects labor planning, payroll systems, subcontract administration, and cost estimating. For agencies, it is a compliance control that helps ensure the contract includes the statutory overtime protections required by law.
- 22.403-4
Executive Orders 13658 and 14026.
FAR 22.403-4 explains how the federal contractor minimum wage rules under Executive Order (E.O.) 13658 and E.O. 14026 work, how the older order was superseded, and how the applicable minimum wage is determined for covered workers. It identifies the historical E.O. 13658 rate of $10.10 per hour, notes the annual increases that raised that rate to $11.25 on January 1, 2022, and explains that E.O. 13658 is superseded by E.O. 14026 to the extent the two are inconsistent as of January 30, 2022. The section also states that E.O. 14026 established a $15.00 per hour minimum wage for certain workers, with future annual adjustments set by the Secretary of Labor, and points readers to subpart 22.19 for the broader implementing rules. In practice, this section matters because contractors must pay the highest applicable minimum wage to covered workers, and the clause at 52.222-55 requires the E.O. 14026 rate when it exceeds other minimum wage requirements, including statutory wage determination amounts under subpart 22.4. For contracting officers and contractors, the key issue is not just knowing the base rate, but correctly identifying which wage floor applies on a given contract and ensuring payroll, pricing, and compliance systems are updated when rates change.
- 22.403-5
Executive Order 13706.
FAR 22.403-5 is a cross-reference provision that points readers to the governmentwide paid sick leave requirements created by Executive Order 13706. In practical terms, it tells contracting officers and contractors that the operative rules are not fully stated in this short section; instead, they are implemented in FAR subpart 22.21 and the contract clause at 52.222-62, Paid Sick Leave Under Executive Order 13706. The subject matter covered by this framework includes which Federal service and construction contracts are covered, how paid sick leave accrues and may be used, how contractors must flow the requirement down to covered subcontractors, and how compliance is administered through contract clauses and labor standards procedures. The purpose is to ensure employees performing work on covered Federal contracts receive paid sick leave, while giving agencies a uniform way to include and enforce the requirement in solicitations and contracts. For contractors, this means paid sick leave is a mandatory contract administration issue, not just an internal HR policy choice. For contracting officers, it means they must identify when the clause applies and ensure the solicitation and award documents incorporate the correct labor requirement.
- 22.403-6
Department of Labor regulations involving construction.
FAR 22.403-6 explains how Department of Labor (DOL) regulations apply to federal construction contracting and where contracting personnel and contractors must look for the controlling labor rules. It ties the FAR construction labor framework to the DOL regulations in Title 29, Subtitle A, and identifies the specific DOL parts that govern construction wage rates, payroll and anti-kickback requirements, enforcement procedures, appeals, federal contractor minimum wage, and paid sick leave. In practice, this section tells agencies and contractors that the FAR subpart is not self-contained; it implements DOL standards and procedures for construction contracts and must be read together with the DOL rules. It also directs that questions about wage determinations, including labor classifications, and about interpreting the DOL regulations in this area must be sent to the Administrator, Wage and Hour Division. This matters because construction labor compliance is highly technical, and mistakes in wage rates, payroll records, classifications, or enforcement responses can lead to back wages, contract remedies, and disputes.