Human Resource Blog

Determining Whether or Not the Contract Work Hours and Safety Standards Act Applies to Our Company

How do we know if the Contract Work Hours and Safety Standards Act applies to our company?

The Contract Work Hours and Safety Standards Act (CWHSSA) is a federal Act that applies to all federal service contracts and federal or federally assisted construction contracts that are valued at more than $100,000. The Act is a federal Act, which means that it applies to companies in states across the U.S. So, if you have a contract with the federal government that amounts to $100,000 or more, then you will have to comply with the CWHSSA.

Here are some things that you need to know about the CWHSSA if it applies to your company:

The CWHHSA requires that government contractors and subcontractors on contracts that are covered by the CWHHSA pay overtime rates to their mechanics and laborers that are working on the project.

The overtime rates that employers have to pay their laborers and mechanics need to amount to one-and-a-half times their basic pay rate.

Overtime should apply to all the hours that these employees work that are more than the standard 40-hour workweek.

The CWHHSA prohibits employers from having unsanitary, hazardous, or dangerous working conditions when they have federal or federally financed construction contracts.

The CWHHSA is enforced by the Department of Labor. Within the Department of Labor, the Wage and Hour Division of the Employment Standards Administration has direct oversight of the Act.

When it comes to the health and safety considerations of the workplace, the Department of Labor’s Occupational Safety and Health Administration (OSHA) is in charge of enforcing the safety and health requirements.

If you have a contract that is covered by the CWHHSA, then you will need to be very diligent in your record keeping. Depending on the type of contract that you have, your recordkeeping requirements will vary. Some employers will need to keep records according to the Copeland Act while other employers will need to keep records according to the McNamara-O’Hara Service Contract.  CB