The Trump Administration announced on June 25, 2025, that investigators of the Department of Labor’s (DOL) Wage and Hour Division (WHD) no longer will be authorized to seek the payment of liquidated damages for Fair Labor Standards Act (FLSA) violations during the course of prelitigation investigations. This policy is the latest development in the Administration’s roll-back of wage and hour policies implemented by the Biden Administration.
Read MoreMy recent real estate interest has been a brewing controversy involving Wandesforde’s Dock, an unusual floating home community situated on Lake Union in Seattle, WA. This blog covers the personal story of my interest in real estate and my sister’s purchase of a floating home at 2037 Fairview Ave E, Unit # B, Seattle, WA 98102.
Read MoreIf you thought President Biden’s Executive Order mandating the use of Project Labor Agreements was dying on the vine, think again. The Office of Management and Budget just told federal agencies that Biden’s Executive Order remains in effect. Is this the final word? Probably not.
Read MoreThe Walsh-Healey Public Contracts Act (“PCA”) is perhaps the least known and understood of the wage and hour laws. This blog examines the lives of the two legislative sponsors for which the Act is eponymously named — Senator David I. Walsh and Representative Arthur D. Healey.
Read MoreThe Department of Labor’s Wage and Hour Division is relaunching its opinion letter program. While these opinion letters are aimed at the broader private sector, they’re particularly valuable for government contractors because compliance with basic wage and hour law is a cornerstone for fulfilling their prevailing wage obligations.
Read MoreHere is a summary of the requirements of the Walsh-Healey Public Contracts Act (“PCA”), the federal wage law which covers supply and manufacturing contractors. Basically, the PCA only requires the FLSA minimum wage be paid, but still imposes child labor, overtime, health and welfare, posting, and recordkeeping requirements. In the conclusion, I tell two recent WHPCA-related war stories about cases I had involving hybrid contracts.
Read MoreThe Department of Labor’s Wage and Hour Division’s newsfeed dried up when the Trump administration came into office. Could the newsfeed drought be over? Possibly - WHD just announced two recent enforcement actions, one of which concerns the potential for bonus payments to require the payment of boosted overtime rates.
Read MoreWe are running up to the 60th anniversary of the McNamara-O’Hara Service Contract Act of 1965, the federal prevailing wage and fringe benefit law protecting US Government contract service employees. This blog discusses the legacy of the two principal legislative sponsors of the Act.
Read MoreDOL just published a new Field Assistance Bulletin to guide Wage and Hour Division field staff in how they should analyze whether workers have properly been classified as independent contractors or employees. So, is there anything new? Well, yes and no…
Read MoreOrdinarily, a party that signs a CBA after bidding on a government service contract, cannot pay less than the minimum wages and benefits set forth in that CBA come the next option year. And the price adjustment they are entitled to is based not on any lower bid price, but instead on the actual increased or decreased cost between the base year pay and the new option year pay. For that reason, the ASBCA got to the right result in a recent case. Albeit, the ASBCA also oversimplified the actual workings of section 4(c) of the SCA and how new CBA becomes binding on successor contractors. If there is no new CBA negotiated, it is possible that the SCA prevailing wage rates may displace the CBA rates in the option year, a situation the ASBCA appears to have ruled out. The occurrence of this event, however, doesn’t mean the contractor will get an upward adjustment in price. Indeed, if the contractor lowers the wages, then the Government gets a downward adjustment. And if the contractor increases the wages, they don’t get an “as bid” adjustment. They just get the differential between the old and new rates actually paid.
Read MoreA recent decision issued by the Armed Services Board of Contract Appeals highlights how contractors might be forced to take a loss if they underbid their offers to perform service contracts.
Read MoreEmployers furnishing Service Contract Act (“SCA”) compliant plans are advised to fully pay for the benefits, rather than require employees to contribute part of the expense. That applies to medical plans and 401K plans. This is more likely to assure that the workers can be compelled to take the benefit plans and cannot demand cash out of the bona fide benefits. You can’t compel SCA covered workers to contribute their own money to the benefit plan, and if you do try to do so, you provide an opportunity for workers to opt out and demand cash fringe benefits, which will cost the employer possible additional FICA, Medicare, FUTA, SUTA, and worker’s comp. payroll taxes.
Read MorePresident Trump signed an Executive Order entilled “Eliminating Waste and Saving Taxpayer Dollars by Consolidating Procurement” (“EO”). Issued on March 20, 2025, the EO’s main purpose is to transfer the purchasing of “common goods and services” from across the Government to the General Services Administration (“GSA”). Yeah, well, good luck with this.
Read MoreThe President’s Executive Orders directed against large law firms which he deems to be opponents is anti-democratic and despotic. I can’t keep silent. Here are my views on the subject.
Read MoreExecutive Orders that intimidate our clients or meddle with their choice of counsel will have zero impact on the putative risks posed by law firms the President doesn’t like. For our part, we will be honored to represent our clients before the Government with zeal and without fear.
Read MoreThe $17.75 Contractor Minimum Wage Executive Order is rescinded. But the Obama-era $13.30 Contractor Minimum Wage Executive Order remains in place. That creates some confusion. It is my opinion that the workers formerly covered by the $17.75 an hour minimum wage are now covered by the $13.30 minimum wage, or any higher wage required by the prevailing wage laws or state or local government minimum wages.
Read MoreGSA and DoD recently issued “Class Deviations” to implement President Trump’s Executive Order 14173 that repealed long-standing federal contract equal opportunity requirements. The deviations make significant changes to current and future solicitations and require the modification of existing contracts with more than six months remaining.
Read MoreSomething tells me we are about to get an explosion of termination disputes in our field of government contracts, and that the Boards of Contract Appeals and the Courts are going to have to sort out what is fair in the way of termination costs. So don’t believe the DOGE figures on cost savings. They haven’t any idea how much the termination of government contracts for convenience is going to cost them.
Read MorePresident Biden issued an Executive Order mandating the use of Project Labor Agreements for construction projects costing in excess of $35 million. A recent court decision and newly issued class deviations that waive the PLA requirement have put his EO on life support.
Read MoreGoverning by decree using executive orders is a terrible way of regulating government procurement. Both political parties should call a truce, and stop issuing procurement related executive orders.
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