FAR 52.222-49—Service Contract Labor Standards-Place of Performance Unknown.
Plain-English Summary
FAR 52.222-49 addresses how to handle Service Contract Labor Standards (SCLS) wage determinations when the place of performance is unknown at the time the solicitation is issued. It explains that the contract is still subject to the SCLS statute, even though the government cannot yet identify every location where the work will be performed. The clause covers three main topics: identifying any known places or areas of performance in the solicitation, requesting additional wage determinations for other places or areas by a stated deadline, and allowing offerors to compete even if a wage determination has not yet been attached or requested for a potential location. It also requires that any later-requested wage determination be incorporated into the resulting contract retroactive to the date of award, but without any price adjustment. In practice, this clause helps agencies compete service contracts when performance locations are uncertain, while preserving the statutory wage-determination framework and reducing the risk that a contractor will later claim a price increase because the location turned out to be different than expected. It is especially important for contracts involving mobile, distributed, or not-yet-finalized service locations.
Key Rules
SCLS still applies
The contract remains subject to the Service Contract Labor Standards statute even though the place of performance was unknown when the solicitation was issued. The uncertainty about location does not remove the government’s obligation to address applicable wage determinations.
Known locations must be identified
If the solicitation already knows some places or areas of performance, those locations and any attached wage determinations must be listed in the clause. This gives offerors notice of the wage requirements that are already known at solicitation time.
Additional wage determinations may be requested
The Contracting Officer must request wage determinations for other places or areas of performance if the solicitation specifies a written request deadline and an offeror asks by that time. This creates a controlled process for adding location-specific labor standards before award.
Bids may still be submitted
Offerors may submit bids or proposals even if a wage determination has not yet been attached or requested for a location where they intend to perform. The clause prevents the procurement from being blocked by incomplete location information.
Retroactive incorporation required
If a wage determination is later requested for a place or area of performance, it must be incorporated into the contract retroactive to the date of award. The contractor is bound as if the determination had been included from the start.
No contract price adjustment
The clause expressly states that there is no adjustment in the contract price when the later wage determination is incorporated. Contractors bear the pricing risk associated with unknown performance locations under this clause.
Responsibilities
Contracting Officer
Insert the clause when the solicitation is for a service contract subject to SCLS and the place of performance is unknown. Identify any known places or areas of performance, request wage determinations for those areas as appropriate, set the written-request deadline for additional locations, and incorporate any later-requested wage determinations into the contract retroactive to award without changing the price.
Offerors/Contractors
Review the solicitation for any known locations and attached wage determinations, decide whether to propose based on potentially unknown performance locations, and submit any written request for additional wage determinations by the stated deadline if they want the government to seek them before award. If awarded, comply with the incorporated wage determination even if it is added later.
Agency/Requirement Owner
Provide the best available information about anticipated performance locations so the contracting office can identify known places or areas and determine whether additional wage determinations should be requested. Update the contracting officer if location information changes before award.
Wage Determination Authority / DOL Process
Issue the applicable wage determinations for the identified places or areas of performance when requested through the proper process, so the contracting officer can incorporate the correct labor standards into the solicitation or contract.
Practical Implications
This clause is most useful when the government knows it needs service support but does not yet know exactly where the work will occur, such as geographically dispersed or rapidly changing requirements. It lets the procurement move forward without waiting for every location to be finalized.
Contractors should not assume that an unknown location means no wage determination will apply. If the contract later identifies a new place of performance, the applicable wage determination can be added retroactively, so pricing must account for that risk.
The written-request deadline matters. If an offeror wants the government to seek a wage determination for an additional location before award, it must ask by the specified date and time; missing that deadline can leave the contractor bound to a later-incorporated determination with no price relief.
Contracting officers should be careful to document which locations were known at solicitation time and which were added later. Poor documentation can create disputes over whether the correct wage determination was requested and when it became effective.
Because there is no price adjustment, contractors should build contingency into their pricing and labor planning when performance locations are uncertain. This is a common pitfall for firms that price only against the locations explicitly listed in the solicitation.
Official Regulatory Text
As prescribed in 22.1006 (f) , insert the following clause: Service Contract Labor Standards-Place of Performance Unknown (May 2014) (a) This contract is subject to the Service Contract Labor Standards statute, and the place of performance was unknown when the solicitation was issued. In addition to places or areas identified in wage determinations, if any, attached to the solicitation, wage determinations have also been requested for the following: ________ [ insert places or areas ] . The Contracting Officer will request wage determinations for additional places or areas of performance if asked to do so in writing by _____________ [ insert time and date ] . (b) Offerors who intend to perform in a place or area of performance for which a wage determination has not been attached or requested may nevertheless submit bids or proposals. However, a wage determination shall be requested and incorporated in the resultant contract retroactive to the date of contract award, and there shall be no adjustment in the contract price. (End of clause)