September 27, 2023
3 min read

Davis-Bacon and Related Acts (DBRA) Changes For New Contracts Awarded After October 23, 2023.

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Updated: Oct 2, 2023

The first changes in over 40 years to Davis-Bacon and Related Acts (DBRA) take effect for all new contracts awarded after October 23, 2023.

What is the DBRA?

Under the Davis-Bacon and Related Acts and Reorganization Plan No. 14 of 1950, the U.S. Department of Labor (DOL) is responsible for determining prevailing wages, issuing regulations and standards to be observed by federal agencies that award or fund projects subject to Davis-Bacon labor standards, and overseeing consistent enforcement of the Davis-Bacon labor standards.

The Davis-Bacon and Related Acts (DBRA) apply to DBRA-covered contractors and subcontractors performing on federally funded or assisted contracts in excess of $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works. DBRA-covered contractors and subcontractors must pay their laborers and mechanics employed under the contract no less than the locally prevailing wages and fringe benefits for corresponding work on similar projects in the area. The Davis-Bacon Act directs the DOL to determine such locally prevailing wage rates. The Davis-Bacon Act prevailing wage provisions apply to the “Related Acts,” under which federal agencies assist construction projects through grants, loans, loan guarantees, and insurance.

For prime contracts in excess of $100,000, contractors and subcontractors must also, under the provisions of the Contract Work Hours and Safety Standards Act (CWHSSA), as amended, pay laborers and mechanics, including guards and watchmen, at least one and one-half times their regular rate of pay for all hours worked over 40 in a workweek. The overtime provisions of the Fair Labor Standards Act (FLSA) may also apply to DBA-covered contracts.

What is changing?

On August 23, 2023, the Department of Labor (DOL) published a final rule at: https://www.federalregister.gov/documents/2023/08/23/2023-17221/updating-the-davis-bacon-and-related-acts-regulations

In summary, the final rule updates Title 29 of the Code of Federal Regulations (CFR) parts 1, 3, and 5, to --

a) Update the definition of "prevailing wage" and return to the original methodology for determining whether a wage rate is prevailing, referred to as the “three-step process.”

(1) any wage rate paid to a majority of workers; and, if there was none, then

(2) the wage rate paid to the greatest number of workers, provided it was paid to at least 30 percent of workers, and, if there was none, then

(3) the weighted average rate.

(The second step has been referred to as the “30-percent rule” and had been eliminated in 1982.)

b) Outline procedural processes for consideration and implementation of functionally equivalent rates, Collective Bargaining Agreements (CBAs), wages where performance covers multiple counties, and use of State department of transportation highway districts or other similar State “geographic” subdivisions to determine applicable wages.

c) Clarify the definition of “type of construction” or “construction type” to mean the general category of construction as established for the publication of general wage determinations. The new language provides examples of types of construction, including building, residential, heavy, and highway, consistent with the four construction types currently used by DOL in general wage determinations, but did not exclude the possibility of other types.

Generally, wage determinations apply for the life of the contract. The final rule, however, clarifies that , if a contract is modified to include additional, substantial construction, alteration, and/or repair work not within the scope of work of the original contract or order, or requires the contractor to perform work for an additional time period not originally obligated, including where an agency exercises an option provision to unilaterally extend the term of a contract, then the most recent version of any applicable wage determination(s) must be incorporated into the contract.

How Do I Find Out More?

DOL published a comparison chart between current Davis-Bacon and Related Acts (DBRA) provisions and those that become effective for new contracts entered into after October 23, 2023. The chart can be found at: https://www.dol.gov/agencies/whd/government-contracts/construction/rulemaking-davis-bacon/dba-comparison-charts

DOL has also published a list of Frequently Asked Questions (FAQs) found at: https://www.dol.gov/agencies/whd/government-contracts/construction/rulemaking-davis-bacon/faqs

Video and slide presentations by the DOL Wage and Hour Division (WHD) about DBRA topics to include slides from the most recent overview (when available) can be found at: https://www.dol.gov/agencies/whd/government-contracts/construction/presentations

Who Do I Contact For Help?

For help understanding the law, questions, and technical assistance with any WHD topic, contact DOL at 1-866-487-9243 or find your local office. Email requests to DOL may experience delayed responses. DOL encourages you to call for the best response time.

Reference Materials from DOL WHD

#smallbusinesses #DBA #DBRA #constructionindustry #federalcontracting

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Shauna Weatherly

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March 11, 2025

DoD Reduction In Force (RIF) Guidance

Just when you thought it couldn't get any more confusing, some agencies also have their own RIF guidance separate from the OPM guidance that is what we've heard the most about. DoD is one of those agencies.

A copy of the current DoD RIF guidance, DoD Instruction 1400.25, Volume 351, is found at: https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/140025/140025_V351.PDF?ver=DgEFMmb9dLDV7OV-PLb7VQ%3D%3D

This guide establishes policy, assigns responsibilities, and prescribes procedures for reduction in force (RIF) actions taken under Part 351 of Title 5, Code of Federal Regulations (CFR), as modified by Section 1597(f) of Title 10, United States Code (U.S.C.).

This guidance does not, in full, apply to DoD employees covered by an alternative personnel system (e.g., the Acquisition Demonstration; Science and Technology Reinvention Laboratories; and the Defense Civilian Intelligence Personnel System). Those systems will develop their own policies and procedures for RIF that comply with the law, as approved by the Under Secretary of Defense for Personnel and Readiness (USD(P&R)). This guide also does not apply to Senior Executive Service (SES) positions.

The policy statement in 1.2 states that, "For any RIF of civilians in the competitive and excepted services in the DoD, the determination as to which employees will be separated from employment must be made primarily on the basis of performance."

In accordance with 10 U.S.C. 1597, DoD must report to Congress 45 days prior to implementing an approved RIF.

DoD will comply with 5 CFR 351.402 and 351.403 when establishing competitive areas and competitive levels, respectively. Competitive service employees and excepted service employees are placed on separate retention registers established in accordance with 5 CFR 351.404 and 351.405.

For purposes of DoD RIF, employees are placed in one of two categories:

  • employees with a period of assessed performance of less than 12 months, and
  • employees with a period of assessed performance of 12 months or more.

An employee’s period of assessed performance for purposes of RIF will be the sum of the months of assessed performance associated with the employee’s performance appraisals within the most recent 4-year period preceding the cutoff date established for the RIF. However, periods of time in a rating cycle for which an employee’s performance was not assessed are not included in the employee’s period of assessed performance.

For example, if an employee receives a rating after serving 10 months of the 12-month cycle, the employee’s period of assessed performance is 10 months for that rating cycle.

For employees absent for military service, periods of time during the rating period may be treated as periods of assessed performance if they meet the requirements of Paragraph 3.3.c.(1) under Paragraph 3.3.b.(2) of the DoD guide.

Retention Factors

Competing employees are listed on a retention register based on--

  • Rating of Record. See Section 3.3.c. for rating of record examples based on cutoff dates, military service, time frames for ratings to be used, and ratings from a system other and the Defense Performance Management Program (DPMAP).
  • Tenure Group. This follows the definitions found in 5 CFR 351.501(b) for competitive service and 5 CFR 351.502(b) for excepted service.
  • Average Score. In general, an employee’s average score for one performance appraisal is derived by dividing the sum of the employee’s performance element ratings by the number of performance elements. The average of the average scores drawn from the two most recent performance appraisals received by the employee, except when the performance appraisal reflects an “unacceptable” rating of record will be reviewed. When the most recent performance appraisal reflects an “unacceptable” rating of record, only that performance appraisal will be considered for purposes of the employee’s average score.
  • Veterans’ Preference. This follows the procedures in 5 CFR 351.501(c) with three veterans' preference subgroups:
    • AD - 30% or more disabled veteran
    • A - eligible for veterans' preference for the purpose of RIF but not for placement in the AD category (i.e., less than 30% disabled veteran determination)
    • B - not eligible for veterans' preference for purpose of RIF
  • DoD Service Computation Date-Reduction in Force (DoD SCD-RIF). Follows rules of credible service as found in 5 CFR 351.503(a) and (b). DoD does not follow 5 CFR 351.504, which grants additional retention service credit in RIF based on an employee's ratings of record.

Rounds in Reduction in Force (RIF)

Two rounds of RIF will be conducted. Round One, Release from Competitive Level, and Round Two, Assignment Rights, are explained in the document in detail related to types of appointments, order of release from the competitive level, and exceptions that may apply. They are found in sections 3.5 and 3.6, respectively.

Displacement may occur during Round Two. Displacement is the assignment of an employee to a continuing position in a different competitive level that is held by another employee with a lower retention standing (i.e., “bumping” another employee). Displacement may be at the same grade or at a grade up to three grades or grade intervals (or equivalent) below the position of the released employee.

Right of Only One Offer

Employees released from a retention register are only eligible for one offer of assignment (similar to OPM rules), with some exceptions. If the employee accepts and offer, rejects an offer, or fails to reply to an offer in a timely manner, they are not entitled to further offers. However, the DoD Component must make a better offer of assignment to a released employee (i.e., to a position with a higher representative rate) if a position becomes available before, or on, the RIF effective date.

Sample retention registers and scenarios are found in the guide in Appendix 3A. Employees have the right to request a review of retention registers and have representation also be allowed to review the registers, as requested by the employee.

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DISCLAIMER: Info is provided for awareness. I am NOT an HR professional but an HR enthusiast having started in HR and being a Federal supervisor and hiring manager. Before taking any action that changes your status, please seek the advice of an attorney knowledgeable in Federal employment law.

Fed Forward
DoD News
March 10, 2025

Voluntary Separation Incentive Payment (VSIP)

Voluntary Separation Incentive Payment (VSIP) allows agencies that are downsizing or restructuring to offer employees lump-sum payments up to $25,000 as an incentive to voluntarily separate. The amount received is reduced by Fed and state taxes, social security, and Medicare, as applicable.

The full guide on the program is found at the OPM website https://www.opm.gov/policy-data-oversight/workforce-restructuring/voluntary-separation-incentive-payments/guide.pdf

Eligibility for VSIP requires an employee be employed by an Executive Branch agency for at least three (3) continous years without a time limit and not be--

▶️ a reemployed annuitant;

▶️ otherwise be eligible for disability retirement;

▶️ recipient of a notice of involuntary separation for misconduct or poor performance;

▶️ recipient of any previous VSIP from the Federal Government;

▶️ on a service agreement for which--

➡️ a student loan repayment benefit was paid, or is to be paid, during the 36-months preceding the date of separation;

➡️ a recruitment or relocation incentive was paid, or is to be paid, during the 24-months preceding the date of separation; and

➡️ a retention incentive was paid, or is to be paid, during the 12-months preceding the date of separation.

If you receive a VSIP and later come back to Federal Service within 5 years of the date of the separation on which the VSIP is based, you must repay the entire amount before your first day of reemployment. This includes working under a personal services contract or other direct contract with the Government.

The top 10 questions related to VSIP can be found at https://www.opm.gov/policy-data-oversight/workforce-restructuring/voluntary-early-retirement-authority/top-10-frequently-asked-questions-about-vera-and-vsip.pdf

OPM's page on VSIP is at https://www.opm.gov/policy-data-oversight/workforce-restructuring/voluntary-separation-incentive-payments/

DISCLAIMER: Information is provided for situational awareness. I am not an HR professional but an HR enthusiast having been a Chief of Contracting and Federal supervisor. Please consult with an attorney knowledgeable in Federal employment law before making any decisions that impact your Federal employment status.

Fed Forward
March 10, 2025

Separate Your Government and Personal Communications

Feds...if you haven't separated your Government communications from your personal communications yet, now is the time to do it.

There has never been an expectation of privacy while using Government Furnished Equipment (GFE). But GFE has been allowed to be used for quick personal calls or emails to check in with children or with family members during the work day. And over time, you may have blended your Government and personal communications more than you realize.

Now, however, it appears your every digital and possibly physical move may be tracked, recorded, and stored. Software and hardware that tracks employee activity, digital behavior, and even movements within Government office space should be expected. Tracking software has (allegedly) already been pushed at some agencies or is (allegedly) expected to be pushed soon.

Computer monitoring programs are expected to track:

🔸️Key stroke loggers to record what is typed or edited

🔸️Analyze chats for flagged words

🔸️Network activity, file access, login, and online behaviors

🔸️Application usage and websites visited and what was searched

Expect software applications to be employed that will analyze this information and generate behavior risk scores by employee. Also expect that all online meetings and chats will be recorded, transcribed, and stored / archived for review without the choice to turn those features off.

Several employees at one prominent agency are reporting their GFE laptop cameras and possibly mics are being turned on during their work day without their consent and outside of active video meetings.

Highly suggest --

▶️ using a privacy cover for your webcam.

▶️ monitoring the activation light.

▶️ taking all personal calls away from your work space on a personal device.

▶️ taking other precautions to protect sensitive conversations, business and personal such as only using a personal device.

Fed Forward

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