DOL Issues Final Rule on Federal Contractors' Sick Leave Requirement

On September 30, 2016, the U.S. Department of Labor (DOL) released its final rule requiring federal contractors (who have contracts covered by the Davis-Bacon Act or the Service Contract Act, concessions contracts or contracts in connection with Federal property or lands and related to offer services) to provide covered employees with up to 7 days (or 56 hours) of paid sick leave annually and must permit employees to carry over accrued, unused paid sick leave from one year to the next up to 56 hours at any point in time. The final rule implements Executive Order 13705, “Establishing Sick Leave for Federal Contractors,” which specifies that employees may use the leave for:

  • A physical/mental injury or medical condition;
  • Obtaining diagnosis, treatment or preventive care from a health care provider;
  • Caring for a child, parent, spouse, domestic partner, or any other individual related by blood or affinity whose close association with the employee is the equivalent of a family relationship for an injury, medical condition, or for obtaining diagnosis, treatment or preventive care; and
  • A domestic violence, sexual assault, or stalking incident.

The final rule applies to all covered contracts solicited and awarded on or after January 1, 2017. For more details, including types of contracts and subcontracts covered by the new rule, see the DOL fact sheet and FAQ. See also the previously published ES&A article.