On September 7, 2015, President Obama signed Executive Order 13706, Establishment of Paid Sick Leave for Federal Contractors. The Executive Order requires employers that contract with the Federal Government to provide their workers with up to seven days of paid sick time annually. Regulations regarding the implementation are due from the Secretary of Labor by September 30, 2016. The Order applies to new and replacement for expiring federal contracts, on or after January 1, 2017.
Under the Order, employees may accrue up to 56 hours of sick leave annually. Any unused leave may be carried over, year to year. This sick leave is in addition to wage and benefit obligations under the Service Contract Act (SCA) and the Davis Bacon Act (DBA). If you would like to read more information about the Order please click here.
It is important that all contractors prepare themselves to meet the proposed Executive Order and have their personnel properly trained and ready to deal with SCA and DBA employees.
At Cleary, we know how important a comprehensive benefits package can be to your continued success. Give us a call today at 617-723-0700 and we will work with you to create a plan that meets your fringe-benefit obligations and provides your employees with valuable benefits.