Field Operations Handbook — Chapter 19

Chapter 19
Executive Order 13706
Establishing Paid Sick Leave for Federal Contractors
Source: FOH revision 784, published 01/14/2025.
Substantive revisions made after 01/14/2025 are noted at the end of affected provisions below.
Table of Contents
19a INTRODUCTION
19a00 Purpose and use of FOH chapter 19.
19a01 Executive Order 13706, Establishing Paid Sick Leave for Federal Contractors.
19a02 Relationship of EO 13706 to other obligations.
19b CONTRACT COVERAGE
19b00 Covered contracts.
19b01 “Contract or contract-like instrument.”
19b02 Contracts with executive departments and agencies.
19b03 Agencies not considered to be executive departments and agencies under
EO 13706.
19b04 Definition of contractor.
19b05 Four types of contracts covered by EO 13706.
19b06 Excluded contracts.
19b07 New contracts.
19b08 Geographic scope.
19c COVERED EMPLOYEES
19c00 General.
19c01 Definition of employee.
19c02 Performing work on or in connection with a covered contract.
19c03 Wages governed by the SCA, DBA, or FLSA.
19c04 Coverage of apprentices and trainees.
19c05 Coverage of seasonal workers, students, and interns.
19c06 Excluded employees.
19d ACCRUAL OF PAID SICK LEAVE
19d00 Paid sick leave accrual.
19d01 Hours worked.
19d02 Calculation of paid sick leave.
19d03 Providing paid sick leave in advance (frontloading).
19e NOTIFICATION TO EMPLOYEES OF ACCRUED LEAVE
19e00 Notification of amount of paid sick leave.
19e01 Method of notification.

19f MAXIMUM ACCRUAL AND CARRYOVER OF LEAVE
19f00 Limits on accrual of paid sick leave.
19f01 Carryover of paid sick leave.
19g REINSTATEMENT OF PAID LEAVE AND PAYMENT FOR UNUSED LEAVE
19g00 Paid sick leave reinstatement.
19g01 Payment for unused paid sick leave and effect on reinstatement.
19h PAID TIME OFF POLICIES
19h00 Paid time off policies that can be used to satisfy a contractor’s obligations under
the EO.
19h01 Paid time off policies and DBA or SCA requirements.
19h02 Paid time off policies that provide more than 56 hours of leave per accrual year.
19i MULTIEMPLOYER PLANS AND OTHER PLANS, FUNDS, OR PROGRAMS
19i00 Definition.
19i01 Contractor responsibility.
19i02 Third-party administrators.
19j USE OF PAID SICK LEAVE
19j00 When paid sick leave can be used.
19j01 Purposes for which paid sick leave can be used.
19j02 Amount of paid sick leave used.
19j03 Pay while using paid sick leave.
19k REQUESTING, GRANTING, AND DENYING PAID SICK LEAVE
19k00 General.
19k01 Requesting paid sick leave.
19k02 Granting or denying the request.
19k03 Certifying or documenting the need for paid sick leave.
19L CONTRACTING AGENCY REQUIREMENTS
19L00 Including the required contract clause.
19L01 Withholding funds from, or suspending payment to, noncompliant contractors.
19L02 Action on complaints.
19m CONTRACTOR REQUIREMENTS
19m00 Contract clause.
19m01 Deductions.
19m02 Anti-kickback.
19m03 Interference and discrimination.
19m04 Records to be kept by contractors.
19m05 Notice to employees.

19n PROHIBITED ACTIONS
19n00 Interference.
19n01 Discrimination.
19n02 Recordkeeping.
19n03 Waiver of rights.
19n04 Anti-kickback.
19o COMPLAINTS AND REMEDIES
19o00 Complaints and investigations.
19o01 Remedies.
19o02 Debarment.
19o03 Civil actions to recover underpayment.
19o04 Retroactive inclusion of contract clauses.
19p ADMINISTRATIVE DISPUTE PROCEEDINGS
19p00 Contractor compliance disputes.
19p01 Debarment proceedings.
19p02 Consent findings.
19a INTRODUCTION
19a00 Purpose and use of FOH chapter 19.
This chapter provides guidance on 29 CFR part 13, which contains the United States (U.S.)
Department of Labor’s (DOL’s) regulations and interpretations with respect to Executive
Order (EO) 13706, Establishing Paid Sick Leave for Federal Contractors. Additional
information about the EO and
29 CFR part 13 is available through the Wage and Hour
Division’s (WHD’s) government contracts, EO 13706 website.
References:
29 CFR part 13
81 FR 67598
19a01 Executive Order 13706, Establishing Paid Sick Leave for Federal Contractors.
(a) Purpose
EO 13706, signed on 09/07/ 2015, requires certain federal contractors to provide covered
employees with at least 7 days (56 hours) of paid sick leave per year. The EO was intended
to improve the health and performance of employees of federal contractors and ensure those
contractors remain competitive in the search for dedicated and talented employees, leading to
improved economy and efficiency in government procurement.
References:
29 CFR 13.1

80 FR 54697
(b) Overview

(1) As described in FOH 19b, EO 13706 generally applies to a “new contract” entered
into by the Federal Government on or after 01/01/2017 that falls within one of the
following four categories:
a. Procurement contracts for construction covered by the Davis-Bacon Act
(DBA)
b. Contracts for services covered by the McNamara-O’Hara Service Contract
Act (SCA)
c. Contracts for concessions, including those excluded from coverage of the
SCA by the DOL’s regulations at 29 CFR 4.133(b)

d. Contracts in connection with federal property or lands and related to offering
services for federal employees, their dependents, or the general public
(2) As also described in FOH 19c, any covered employee performing work on or in
connection with a contract covered by the EO (including covered subcontracts) is
generally entitled to paid sick leave as described in 29 CFR 13.5
. Employees must be
permitted to accrue at least 1 hour of paid sick leave for every 30 hours worked on or
in connection with a covered contract. Employees must be permitted to use paid sick
leave during time they would otherwise be working on or in connection with covered
contracts for any of the following purposes:
a. Physical or mental illness, injury, or medical condition
b. Obtaining diagnosis, care, or preventive care from a health care provider
c. Caring for a child, a parent, a spouse, a domestic partner, or any other
individual related by blood or affinity whose close association with the
employee is the equivalent of a family relationship who has any of the
conditions or needs for diagnosis, care, or preventive care described in FOH
19a01(b)(2)a. or b., or is otherwise in need of care
d. Domestic violence, sexual assault, or stalking, if the time absent from work is
for the purposes described in FOH 19a01(b)(2)a. or b., or to obtain additional
counseling, seek relocation, seek assistance from a victim services
organization, take related legal action, including preparation for or
participation in any related civil or criminal legal proceeding, or assist an
individual related to the employee as described in FOH 19a01(b)(2)c. in
engaging in any of these activities
References:
29 CFR 13.3–13.5

19a02 Relationship of EO 13706 to other obligations.
(a) General
A brief description of the interaction between EO 13706 and the DBA, the SCA, the Fair
Labor Standards Act (FLSA), the Family and Medical Leave Act (FMLA), and state, local, or

other paid sick leave laws, as well as EO 13658, Establishing a Minimum Wage for
Contractors, and EO 14026, Increasing the Minimum Wage for Federal Contractors, is
provided below.
(b) Davis-Bacon Act and McNamara-O’Hara Service Contract Act
Paid sick leave required by EO 13706 is in addition to a contractor’s obligations under the
DBA and SCA, if applicable. A contractor cannot receive credit toward the prevailing wages
required by the DBA for any paid sick leave provided to comply with EO 13706. Similarly, a
contractor cannot receive credit toward the prevailing wage and fringe benefits required by
the SCA for any paid sick leave provided to comply with EO 13706. However, a contractor
can generally count the value of any paid sick leave provided in excess of the requirements of
EO 13706 toward its obligations under the DBA or SCA. See 29 CFR 13.5(f)(2)(i)–(ii)
. A
contractor that provides paid sick leave in accordance with EO 13706 and 29 CFR part 13 is
subject to a lower SCA health and welfare fringe benefit rate than a contractor on an SCA
contract that is not subject to EO 13706 or a contractor that failed to provide any paid sick
leave on a covered contract in accordance with EO 13706 and
29 CFR part 13]. See 29 CFR
13.44(a).
References:
29 CFR 13.5(f)(2)(i)–(ii)
(c) Fair Labor Standards Act
As explained at FOH 19c02
, EO 13706 applies to employees performing work on or in
connection with covered contracts who are entitled to receive minimum wage and/or
overtime compensation under the FLSA. In addition, unlike EOs 13658 and 14026, EO
13706 applies to employees who qualify for an exemption from the FLSA’s minimum wage
and overtime provisions, such as employees employed in a bona fide executive,
administrative, or professional capacity as defined in
29 CFR part 541. 29 CFR part 13 also
imports the FLSA’s hours worked principles set forth at 29 CFR part 785, as well as the
principles for determining what constitutes compensation for purposes of determining an
employee’s regular rate set forth at
29 CFR part 778. See FOH 19d01 and FOHj03.
(d) Family and Medical Leave Act
A contractor’s obligations under EO 13706 have no effect on its obligations under the FMLA.
Paid sick leave may be substituted for, or run concurrently with, unpaid FMLA leave under
the same conditions as other paid time off (PTO) under FMLA regulations at
29 CFR
825.207. Time off that is appropriately designated as FMLA leave must comply with all the
notices and certifications required by the FMLA at 29 CFR 825.300–.308. The required
FMLA notices and certifications will also satisfy relevant requirements for using paid sick
leave, such as those regarding employee requests to use paid leave and any employer requests
for leave certification. See
29 CFR 13.5(f)(3). See FOH 39 for more information about the
FMLA.
(e) Federal, state, and local paid sick leave laws
(1) A contractor must comply with all applicable laws related to paid sick leave.
Specifically, EO 13706 does not excuse noncompliance with any applicable federal,
state, or local paid sick leave law, or municipal ordinance, establishing a paid sick

leave requirement that provides more protection to an employee than the paid sick
leave required under EO 13706. The same applies to any applicable collective
bargaining agreement (CBA). Similarly, a contractor’s compliance with a state or
local law requiring that an employee be provided with paid sick leave does not
excuse the contractor from complying with any of its obligations under the EO or
29
CFR part 13.
(2) A contractor may be able to satisfy its obligations under the EO and other applicable
paid sick leave laws concurrently. Specifically, a contractor can satisfy its EO 13706
obligations by providing paid sick leave that complies with the requirements of
federal, state, or local law, provided that the time is accrued and may be used in the
same manner as required by EO 13706 and 29 CFR part 13
. Where the requirements
of EO 13706 and a federal, state, or local law are different, to comply with both the
EO and the applicable law, a contractor must fully comply with the requirements that
provide more protection to employees. See
29 CFR 13.5(f)(4).
Scenario 1:
A state law requires that an employee receive 3 days of paid sick leave per year. A
contractor subject to both the state law and EO 13706 typically will not need to
provide an employee with 10 days of paid sick leave per year (i.e., the 3 days
required by the state law and the 7 days (56 hours) called for by the EO), but could
satisfy both obligations by providing 7 days (56 hours) of paid sick leave.
Scenario 2:
A county law requires that employees earn at least 1 hour of paid sick leave for every
40 hours worked, while the EO allows employees to earn 1 hour of paid sick leave
for every 30 hours worked. A contractor could satisfy both obligations by allowing
employees to earn leave pursuant to the EO and 29 CFR part 13
.
Scenario 3:
A municipal ordinance does not permit a contractor to require certification of the
reason for using paid sick leave under any circumstances. A contractor could satisfy
its obligations under both the municipal ordinance and the EO by choosing not to
apply the EO’s certification requirement and therefore not requiring certification for
the use of paid sick leave even if an employee uses such leave for more than 3
consecutive days.
References:
29 CFR 13.5(f)(4)

(f) Executive Order 13658, Establishing a Minimum Wage for Contractors, and Executive
Order 14026, Increasing the Minimum Wage for Federal Contractors
EOs 13658 and 14026 directed federal agencies to contract only with entities willing to pay
employees performing work on or in connection with covered contracts at least the minimum
wage specified under the applicable EO, both of which provide for an increase in their EO
minimum wage each year based on inflation. Many of the coverage requirements,
definitions, and enforcement procedures in EO 13706 are based on, and often identical to,

those in EO 13658. In particular, the contract coverage requirements are the same in both
EOs. (Contract coverage under EO 14026 is broader in certain respects.) The employee
coverage requirements under all three EOs are nearly the same; the differences are that EO
13706 covers employees exempt from the FLSA’s minimum wage and overtime provisions,
and does not cover employees to whom a temporary exemption applies for work performed
pursuant to certain CBAs. More information about EOs 13658 and 14026 is available at the
WHD’s EO 13658 and EO 14026
websites.
References:
79 FR 60633

79 FR 9849
19b CONTRACT COVERAGE
19b00 Covered contracts.
In order for an agreement to be covered by EO 13706, the agreement must satisfy all of the
following elements, which are described in more detail in FOH 19b01–08:
(1) It must qualify as a “contract or contract-like instrument” under the definition set
forth in 29 CFR 13.2. See FOH 19b01(b)
.
(2) It must be a contract between a federal entity that falls under the definition of
“executive departments and agencies” set forth in 29 CFR 13.2
and a “contractor” as
defined at 29 CFR 13.2.
(3) It must be one of the four types of contracts named in 29 CFR 13.3, and meet any
applicable value threshold requirement listed in that section. It must not be a type of
contract that is excluded from coverage as explained in
29 CFR 13.4.
(4) It must be a new contract pursuant to the definition set forth in 29 CFR 13.2.
(5) It must require performance in whole or in part within the U.S.
References:
29 CFR 13.2–13.4

19b01 “Contract or contract-like instrument.”
(a) General
EO 13706 specifies that an agreement must qualify as a “contract or contract-like instrument”
for the EO to apply. However, there is no relevant distinction between those terms for
purposes of EO 13706 and they are defined collectively in 29 CFR part 13
. For purposes of
simplicity, this chapter generally only refers to “contracts.”
References:
29 CFR 13.2

(b) Definition

29 CFR 13.2 defines the term “contract or contract-like instrument” broadly to mean “an
agreement between two or more parties creating obligations that are enforceable or otherwise
recognizable at law.” This definition includes:
all contracts and any subcontracts of any tier thereunder, whether negotiated or
advertised, including any procurement actions, lease agreements, cooperative
agreements, provider agreements, intergovernmental service agreements, service
agreements, licenses, permits, or any other type of agreement, regardless of
nomenclature, type, or particular form, and whether entered into verbally or in
writing... In addition to bilateral instruments, contracts include, but are not limited
to, awards and notices of awards; job orders or task letters issued under basic
ordering agreements; letter contracts; [and] orders, such as purchase orders, under
which the contract becomes effective by written acceptance or performance ... .
(c) Examples of contracts or contract-like instruments
(1) Subcontracts
The definition of a “contract or contract-like instrument” in 29 CFR 13.2
does not
distinguish between a prime contract and a subcontract. Instead, it notes that both
prime contracts and sub-contracts are covered by EO 13706. As with the SCA and
DBA, all of the provisions of the EO that are applicable to a covered prime contract
and contractor apply to covered subcontract(s) and subcontractor(s).
(2) Verbal contracts
The inclusion of verbal agreements in the definition of the terms “contract or
contract-like instrument” ensures that coverage of EO 13706 can extend to situations
where contracting parties rely on an oral agreement and/or course of performance
rather than a written contract (e.g., where a written contract expires and the parties
agree to continue to perform work under the terms and conditions of the expired
contract).
(3) Nonprocurement contracts
EO 13706’s application is not limited to procurement contracts; it can also apply to
nonprocurement contracts. Examples of nonprocurement contracts that meet the
definition of a “contract or contract-like instrument” covered under EO 13706 and
that also fall into one of the enumerated categories addressed in FOH 19b05(e)
below
include special use permits issued by the Forest Service and commercial use
authorizations issued by the National Park Service.
References:
29 CFR 13.2

19b02 Contracts with executive departments and agencies.
EO 13706 applies to certain contracts entered into by executive departments and agencies of
the Federal Government. As explained in 29 CFR part 13
, these terms refer to any executive
agency or instrumentality of the U.S. that enters into a contract pursuant to authority derived
from the Constitution or laws of the U.S. The EO, therefore, applies to covered contracts

with “executive departments within the meaning of 5 USC 101, military departments within
the meaning of 5 USC 102, and independent establishments within the meaning of 5 USC
104(1).” See 29 CFR 13.2
. It also applies to nonappropriated fund instrumentalities under
the jurisdiction of the Armed Forces or other federal agencies.
References:
29 CFR 13.2

19b03 Agencies not considered to be executive departments and agencies under EO 13706.
EO 13706 does not cover contracts entered into by the District of Columbia (DC), any
territory or possession of the U.S., or any independent regulatory agency within the meaning
of 44 USC 3502(5). Below is a list of entities whose contracts are not covered by EO 13706:
(1) Board of Governors of the Federal Reserve System
(2) Bureau of Consumer Financial Protection
(3) Commodity Futures Trading Commission
(4) Consumer Product Safety Commission
(5) Federal Communications Commission
(6) Federal Deposit Insurance Corporation
(7) Federal Energy Regulatory Commission
(8) Federal Housing Finance Agency
(9) Federal Maritime Commission
(10) Federal Trade Commission
(11) Interstate Commerce Commission
(12) Mine Enforcement Safety and Health Review Commission
(13) National Labor Relations Board
(14) Nuclear Regulatory Commission
(15) Occupational Safety and Health Review Commission
(16) Office of Financial Research
(17) Office of the Comptroller of the Currency
(18) Postal Regulatory Commission
(19) Securities and Exchange Commission

(20) Any other similar agency designated by statute as a federal independent regulatory
agency or commission
(21) Contrary to a discussion in the preamble of the Final Rule, the EO does not apply to
contracts with the U.S. Postal Service (USPS), because the USPS is not subject to the
Federal Property and Administrative Services Act.
References:
29 CFR 13.2–13.4

19b04 Definition of contractor.
(a) For purposes of EO 13706, a contractor is any individual or other legal entity that is awarded
a Federal Government contract or a subcontract under a Federal Government contract. In
other words, the term “contractor” refers to both a prime contractor and all of its
subcontractors of any tier on a contract with the Federal Government. Lessors and lessees
can be contractors for purposes of the EO. Employers of employees whose wages are
computed pursuant to subminimum wage certificates issued under section 14(c) of the FLSA
for performing work on or in connection with covered contracts also fall within the definition
of “contractor.” The term “employer” is used interchangeably with the terms “contractor”
and “subcontractor” throughout 29 CFR part 13
, as well as in this chapter.
(b) The U.S. Government, its agencies, and its instrumentalities are not contractors,
subcontractors, employers, or joint employers for purposes of EO 13706.
References:
29 CFR 13.2

19b05 Four types of contracts covered by EO 13706.
(a) General
In order for a contract to be covered under EO 13706, it must fall within one of the four
categories of contracts identified in 29 CFR 13.3(a). See FOH 19a01
(b)(1). This requirement
applies to prime contracts and subcontracts alike. Additionally, some contracts covered by
EO 13706 are subject to monetary thresholds for coverage. These coverage requirements are
discussed in greater detail below. Note: three of the four categories of contracts (i.e., SCA-
covered contracts, contracts for concessions, and contracts in connection with federal
property or lands) are to some degree overlapping categories; therefore, a contract may fall
within more than one category. For example, some concessions contracts and contracts in
connection with federal property or lands are covered by the SCA. See
Cradle of Forestry in
Am. Interpretive Ass’n, ARB Case No. 99-035 (ARB March 30, 2001).
References:
29 CFR 13.3(a)

(b) Procurement contracts for construction covered by the DBA
EO 13706 applies to procurement construction contracts that are covered by the DBA. A
“procurement contract for construction” means a procurement contract that is in excess of
$2,000.00 for the construction, alteration, or repair (including painting and decorating) of

public buildings or public works, and that requires or involves the employment of mechanics
or laborers, and any subcontract of any tier thereunder. EO 13706 does not apply to contracts
entered into by the District of Columbia, or contracts subject only to the Davis-Bacon Related
Acts (DBRA). A list of active Davis-Bacon Related Acts is currently available at WHD’s
Government Contracts Compliance Assistance
website.
See FOH 15 for an explanation of the DBA.
References:
29 CFR 5.1(a)(2)–(60)

29 CFR 13.3(a)(1)(i)
(c) Contracts for services covered by the SCA
EO 13706 also applies to service contracts that are covered by the SCA. The SCA generally
applies to every contract exceeding $2,500.00 entered into by the Federal Government that
“has as its principal purpose the furnishing of services in the United States through the use of
service employees,” and any subcontract of any tier thereunder. See 41 USC 6702(a)(3). The
SCA is intended to cover a wide variety of service contracts with the Federal Government, so
long as the principal purpose of the contract is to provide services using service employees.
See, e.g., 29 CFR 4.130(a)
.
See FOH 14 for an explanation of the SCA.
References:
29 CFR 4.130(a)

29 CFR 13.3(a)(1)(ii)
(d) Contracts for concessions
(1) EO 13706 also applies to concessions contracts, including concessions contracts with
nonappropriated fund instrumentalities under the jurisdiction of the Armed Forces or
other federal agencies. Concessions contracts that are exempt from the SCA, as
explained in 29 CFR 4.133(b), are still covered under EO 13706. See
29 CFR
13.3(a)(1)(iii).
(2) Definition of “concessions contract” or “contract for concessions”
a. 29 CFR 13.2
defines a “concessions contract” or “contract for concessions”
as:
a contract under which the Federal Government grants a right to use
[f]ederal property, including land or facilities, for furnishing
services. The term [“]concessions contract[”] includes, but is not
limited to, a contract the principal purpose of which is to furnish
food, lodging, automobile fuel, souvenirs, newspaper stands, and/or
recreational equipment, regardless of whether the services are of
direct benefit to the [g]overnment, its personnel, or the general
public.

b. This definition also generally includes contracts for the provision of
noncommercial educational or interpretive services, energy, transportation,
communications, or water services to the general public.
References:
29 CFR 4.133(b)

29 CFR 13.2
29 CFR 13.3(a)(1)(iii)
(e) Contracts in connection with federal property or lands and related to offering services
for federal employees, their dependents, or the general public
(1) This final category of contracts covered by EO 13706 generally includes leases of
federal property, including space and facilities, and licenses to use such property
entered into by the Federal Government for the purpose of offering services for
federal employees, their dependents, or the general public. Although evidence that
an agency has retained some measure of control over the terms and conditions of the
lease or license to provide services is not necessary for a contractual agreement to fall
under this category, such a circumstance strongly indicates that the agreement
involved is covered by EO 13706.
Scenario 1:
A private fast food or casual dining restaurant rents space in a federal building and
serves food to the general public. This restaurant would be subject to the EO even if
the contract does not constitute a concessions contract for purposes of the EO.
Scenario 2:
Delegated leases of space in a federal building from an agency to a contractor, where
the contractor may operate a child care center, credit union, gift shop, coffee shop,
barber shop, or fitness center in the federal agency building to serve federal
employees and/or the general public would generally be covered by EO 13706, under
this category and/or another covered category.
(2) Coverage under this category only extends to contracts that are in connection with
federal property or lands. The DOL does not interpret EO 13706’s reference to
“[f] ederal property” to encompass money. Consequently, purely financial
transactions with the Federal Government (i.e., contracts that are not in connection
with physical property or lands) would not be covered under this category.
(3) Coverage under this category additionally only extends to contracts related to
offering services for federal employees, their dependents, or the general public.
Thus, if a federal agency contracts with a company solely to supply materials in
connection with federal property or lands, the DOL will not consider the contract to
be covered by this category because it is not a contract related to offering services.
Similarly, because a license or permit to conduct a wedding on federal property or
lands generally would not relate to offering services for federal employees, their
dependents, or the general public, but rather would only relate to offering services to
the specific individual applicants, the DOL would not consider such a contract to be
covered by this category.

References:
29 CFR 13.3(a)(1)(iv)

19b06 Excluded contracts.
(f) 29 CFR 13.4 expressly excludes the following types of legal instruments from coverage
under EO 13706:
(1) Grants
EO 13706 does not cover grants within the meaning of the Federal Grant and
Cooperative Agreement Act, as amended, 31 USC 6301 et seq., which defines a
“grant agreement” as:
the legal instrument reflecting a relationship between the United States
Government and a State, a local government, or other recipient when—(1)
the principal purpose of the relationship is to transfer a thing of value to the
State or local government or other recipient to carry out a public purpose of
support or stimulation authorized by a law of the United States instead of
acquiring (by purchase, lease, or barter) property or services for the direct
benefit or use of the United States Government; and (2) substantial
involvement is not expected between the executive agency and the State,
local government, or other recipient when carrying out the activity
contemplated in the agreement.” 31 USC 6304.
(2) Contracts and agreements with and grants to Indian Tribes
EO 13706 does not cover contracts and agreements with and grants to Indian Tribes
under the Indian Self-Determination and Education Assistance Act, as amended, 25
USC 450 et seq.
(3) Procurement contracts for construction that are not subject to the DBA
EO 13706 does not cover procurement contracts for construction that are not subject
to the DBA. This exclusion, for example, applies to prime contracts for construction
below the DBA’s $2,000.00 threshold.
(4) Contracts subject only to the DBRA
EO 13706 does not apply to contracts that are subject only to the DBRA.
(5) Contracts for services that are exempt from coverage under the SCA
Except for contracts that are covered because they are within another of the four
enumerated categories (i.e., DBA-covered contracts; concessions contracts, including
those exempt from coverage under the SCA as set forth in 29 CFR 4.133(b)
; and
contracts in connection with federal property or lands and related to offering services
for federal employees, their dependents, or the general public), service contracts that
are exempt from the SCA pursuant to its statutory language at 41 USC 6702(b) or its
implementing regulations, including those at
29 CFR 4.115–.122 and 29 CFR

4.123(d)–(e), are not subject to EO 13706. Additionally, this exclusion applies to
prime service contracts that do not meet the $2,500.00 threshold for SCA coverage.
(6) Supply contracts
EO 13706 does not apply to contracts for the manufacturing or furnishing of
materials, supplies, articles, or equipment to the Federal Government, including those
that are subject to the Walsh-Healey Public Contracts Act (PCA), 41 USC 6501 et
seq. See 29 CFR 13.3(d). Because the EO does not apply to prime supply contracts,
it also does not apply to subcontracts for the manufacturing or furnishing of
materials, supplies, articles, or equipment.
Scenario:
While EO 13706 may apply to a fast food establishment operating on a military base
because the fast food establishment operates under a covered concession contract, a
contract between the fast food establishment and its soft drink supplier for the supply
of beverages would not be covered by EO 13706.
(7) Prime procurement contracts governed by the FLSA below the micro-purchase
threshold
For prime procurement contracts where employees’ wages are governed by the
FLSA, such as procurement contracts for concessionaire services that are exempt
from the SCA as explained in 29 CFR 4.133(b)
, EO 13706 only applies when the
prime contract exceeds the micro-purchase threshold, as defined in 41 USC 1902(a)
and
48 CFR 2.101. The micro-purchase threshold currently is $10,000.00.
References:
29 CFR 13.4

29 CFR 4.115–4.122
29 CFR 4.123(d)–(e)
29 CFR 4.133(b)
19b07 New contracts.
(a) Definition
EO 13706 only applies to new contracts. As defined in 29 CFR 13.2
, a “new contract” is a
contract that results from a solicitation issued on or after 01/01/2017, or a contract that is
awarded outside the solicitation process on or after 01/01/2017. This term includes both new
contracts and replacements for expiring contracts, but it does not apply to the unilateral
exercise of a pre-negotiated option to renew an existing contract by the Federal Government
that resulted from a solicitation issued before 01/01/2017 or that was awarded outside the
solicitation process before 01/01/2017 (a “pre-2017” contract). The EO’s coverage of new
contracts is discussed in greater detail below in FOH 19b07(b)–(e).
References:
29 CFR 13.2

(b) Contracts entered into on or after 01/01/2017

EO 13706 applies to all covered contracts that result from solicitations issued on or after
01/01/2017, as well as covered contracts that are awarded outside the solicitation process on
or after 01/01/2017.
References:
29 CFR 13.2

(c) Contracts originally entered into prior to 01/01/2017
(1) For purposes of EO 13706, a contract that was entered into prior to 01/01/2017 will
constitute a new contract only if, through bilateral negotiations, on or after
01/01/2017:
a. the contract is renewed;
b. the contract is extended, unless the extension is made pursuant to a term in
the contract as of 12/31/2016 providing for a short-term limited extension
(e.g., an extension of 6 months or less); or
c. the contract is amended pursuant to a modification that is outside the scope
of the contract.
Scenario 1:
An SCA-covered contract for janitorial services at a federal building was
originally entered into in 2015 and subsequently modified by bilateral
negotiation after 01/01/2017 to also provide for security services at that
building. Such modification would likely be regarded as outside the scope of
the original contract; thus, this contract would qualify as a new contract
subject to the EO.
Scenario 2:
A DBA-covered contract for construction work at Site A was originally
entered into in 2016 and modified by bilateral negotiation after 01/01/2017 to
also cover construction work at Site B. Such modification would generally
be viewed as outside the scope of the original contract; thus, this contract
would be covered by the EO.
(2) In the above scenarios in FOH 19b07(c)(1)c., the EO would apply to the contracts
going forward from the effective dates of the modifications. However, contract
modifications that are within the scope of the contract within the meaning of the
Federal Acquisition Regulation (FAR) are not new contracts for purposes of EO
13706. See 48 CFR 6.001(c)
. For example, a small change in the delivery schedule
of a large contract for construction would not qualify as a modification outside the
scope of the original contract. Whether a modification qualifies as within or outside
the scope of the original contract is a fact-specific determination. See AT & T
Communications, Inc. v. Wiltel, Inc., 1 F.3d 1201 (Fed. Cir. 1993).
References:
29 CFR 13.2

(d) Options contracts
The unilateral exercise by the Federal Government of a pre-negotiated option to renew an
existing “pre-2017” contract by the Federal Government does not create a new contract.
References:
29 CFR 13.2

(e) Indefinite delivery, indefinite quantity contracts and task orders, including contracts
awarded under General Services Administration Schedules
(1) In certain situations, an indefinite delivery, indefinite quantity (IDIQ) contract,
including a General Services Administration (GSA) Schedule contract, will be
considered a new contract.
a. Any IDIQ contract, including a GSA Schedule contract, awarded on or after
01/01/2017, qualifies as a new contract. This includes contracts to add new
covered services to an existing IDIQ contract, as well as contracts to replace
an expiring IDIQ contract. Similarly, task orders issued under such contracts
are also considered new contracts, and thus are covered by EO 13706 if they
otherwise meet the criteria for EO coverage discussed in FOH 19b
.
b. Task orders issued against an IDIQ contract that was awarded prior to
01/01/2017 would not be covered by EO 13706 unless the contracting agency
modified the IDIQ contract to include the paid sick leave requirement. This
is so even if the task order itself was issued on or after 01/01/2017.
References:
29 CFR 13.2

(f) Subcontracts under “pre-2017” prime contracts that are not subject to the EO
EO 13706 does not apply to a subcontract unless the prime contract under which the
subcontract is awarded qualifies as a new contract subject to the EO.
References:
29 CFR 13.2

19b08 Geographic scope.
(a) EO 13706 only applies to contracts with the Federal Government requiring performance in
whole or in part within the U.S. See 29 CFR 13.3(c)
. For purposes of EO 13706, the term
“United States” means the 50 states and the District of Columbia when used in a geographic
sense. See
29 CFR 13.2. EO 13706 does not apply to work performed in a United States
territory, such as Guam, the Commonwealth of the Northern Mariana Islands, or Puerto Rico,
or to work performed in another country.
(b) If a contract with the Federal Government is to be performed in part within and in part
outside the U.S. and is otherwise covered by the EO, the EO would apply with respect to that
part of the contract that is performed within the U.S. See 29 CFR 13.3(c)
.

19c COVERED EMPLOYEES
19c00 General.
As described below, 29 CFR part 13 defines the term “employee” and provides that
employees performing work on or in connection with covered contracts must generally
receive paid sick leave. Note: not all employees whose work relates to a covered contract are
necessarily entitled to paid sick leave pursuant to EO 13706. See
FOH 19c02(d).
References:
29 CFR 13.2

19c01 Definition of employee.
Under 29 CFR 13.2, for purposes of EO 13706, an “employee” is any person:
(1) engaged in performing work on or in connection with a contract covered by the EO;
and
(2) whose wages under such contract are governed by the SCA, DBA, or FLSA,
including employees who are exempt from the FLSA’s minimum wage and overtime
provisions, regardless of the contractual relationship alleged to exist between the
individual and the employer.
19c02 Performing work on or in connection with a covered contract.
(a) General
EO 13706 applies to employees “engaged in performing work on or in connection with a
contract covered by the Executive Order.” See 29 CFR 13.2
.
(b) Performing work on a covered contract
(1) To perform work on a covered contract means to perform the specific functions
called for by the contract. Whether an employee is performing work on a covered
contract will be determined in part by the scope of work or a similar statement set
forth in the covered contract that identifies the work (e.g., services or construction) to
be performed under the contract.
(2) Performing work on an SCA contract
All service employees performing the specific services called for by the terms of an
SCA-covered contract are performing work on a contract covered by the EO.
(3) Performing work on a DBA contract
All laborers and mechanics engaged in the construction of a public building or public
work directly on the site of the work are performing work on a DBA-covered
contract. Consequently, they are performing work on a contract covered by the EO.
(4) Performing work on a concessions contract or contract in connection with federal
property

For purposes of concessions contracts and contracts in connection with federal
property or land and related to offering services for Federal employees, their
dependents, or the general public that are not subject to the SCA, any employee
performing the specific services called for by the terms of the contract is performing
work on a contract covered by the EO.
References:
29 CFR 13.2

(c) Performing work in connection with a covered contract
(1) An employee performing work in connection with a covered contract includes any
employee who is performing work activities that are necessary to the performance of
a covered contract but who are not directly engaged in performing the specific
functions called for by the contract. See FOH 19d01(d) for more information about
how the paid sick leave requirements apply to employees performing work in
connection with, but not on, covered contracts.
(2) Performing work in connection with an SCA contract
Employees who are not engaged in performing the specific services identified in the
contract (i.e., they are not entitled to prevailing wages and fringe benefits required by
the SCA) but are performing services necessary to the performance of the SCA
contract qualify as employees performing work in connection with an SCA-covered
contract. This includes, but is not limited to, any employees who are not entitled to
prevailing wages and fringe benefits required by the SCA but are entitled to at least
the FLSA minimum wage pursuant to 41 USC 6704(a) and 29 CFR 4.153
,
performing work in connection with an SCA contract.
Scenario:
A laundry contractor’s billing clerk performs billing work with respect to the items
laundered on an SCA contract. A job coach supports employees employed under a
certificate issued under section 14(c) of the FLSA in performing custodial work on an
SCA contract at a federal building. While neither employee actually performs the
specific services mentioned in the contracts, both may be performing work in
connection with SCA contracts.
(3) Performing work in connection with a DBA contract
Employees who are not engaged in performing the specific construction identified in
a DBA contract (i.e., they are not DBA-covered laborers or mechanics), but are
performing services that are necessary to the performance of the DBA contract,
qualify as employees performing work in connection with a covered contract. This
includes employees who do not perform the construction work identified in the DBA
contract, either due to the nature of their nonphysical duties and/or their lack of
presence on the site of the work, but who perform duties that are regarded as
necessary for the performance of the contract.
Scenario:

A security guard patrols or monitors a construction worksite where DBA-covered
work is being performed. A clerk processes the payroll for DBA contracts either on
or off the site of the work. Either employee may be performing work in connection
with a DBA contract.
(4) Performing work in connection with a concessions contract or contract in connection
with federal property
Employees who are not engaged in performing the services identified in a
concessions contract or contract in connection with federal property or land may
nevertheless qualify as employees performing work in connection with such contracts
if their services are necessary to the performance of the contract.
References:
29 CFR 13.2

29 CFR 13.3
(d) Work that is neither on nor in connection with a covered contract
Not all work performed by employees of a contractor with covered contracts is necessarily
performed on or in connection with a covered contract. Whether work is on or in connection
with a covered contract should be decided on a case-by-case basis depending on the facts.
Scenario 1:
A technician is hired to repair a DBA contractor’s electronic time system. A janitor is hired
to clean the bathrooms at the same DBA contractor’s company headquarters. Neither
employee is covered by the EO because they are not performing the specific duties called for
by the contract or other services or work necessary to the performance of the contract.
Scenario 2:
A landscaper planting trees at the home office of an SCA contractor is not performing work
in connection with a covered contract because the SCA contract does not call for such
landscaping services and such services are not necessary to the performance of the contract.
Scenario 3:
EO 13706 would not apply to an employee hired by a covered concessionaire to redesign the
storefront sign for a snack shop in a national park unless the redesign of the sign was called
for by the SCA contract or otherwise necessary to the performance of the contract.
References:
29 CFR 13.3

19c03 Wages governed by the SCA, DBA, or FLSA.
(a) General

As explained, the paid sick leave requirements of EO 13706 apply only to employees whose
wages are governed by the SCA, DBA, or FLSA, including employees who are exempt from
the FLSA’s minimum wage and overtime provisions.
References:
29 CFR 13.3(a)(2)

(b) Employees whose wages are governed by the SCA
(1) An employee’s wages are governed by the SCA for purposes of EO 13706 if the
employee is entitled to prevailing wages and fringe benefits required by the SCA.
See 29 CFR 4.150–.156
. Employees whose wages are governed by the SCA include
individuals who are employed on an SCA-covered contract and individually
registered in a bona fide apprenticeship program registered with the DOL’s
Employment and Training Administration (ETA), Office of Apprenticeship (OA), or
a state apprenticeship agency recognized by the OA.
(2) Note that employees who perform work on or in connection with SCA-covered
contracts, but who are not entitled to prevailing wages and fringe benefits required by
the SCA, may still be covered by EO 13706. For example, individuals employed in a
bona fide executive, administrative, or professional capacity, as defined in
29 CFR
part 541, are not service employees under the SCA. See 41 USC 6701(3)(C).
However, as explained below in FOH 19c03(d), they must receive paid sick leave
because their wages are governed by the FLSA.
Scenario:
A manager is exempt from the FLSA’s minimum wage and overtime provisions. The
manager supervises janitors on an SCA contract for cleaning services at a federal
building. The manager would be entitled to paid sick leave as required by the EO
even though they do not receive prevailing wages and fringe benefits required by the
SCA because they are employed in a bona fide executive capacity. The manager
would be entitled to paid sick leave because they perform work on or in connection
with a covered contract.
(3) Employees whose wages are governed by the SCA also include individuals whose
wages are calculated pursuant to subminimum wage certificates issued under section
14(c) of the FLSA for performing work on an SCA-covered contract. See
29 CFR
4.6(o)(1). See FOH 64 for more information about section 14(c) of the FLSA.
(c) Employees whose wages are governed by the DBA
(1) An employee’s wages are governed by the DBA for purposes of EO 13706 if such
employee is entitled to prevailing wages required by the DBA. This includes any
individual who is employed on a DBA-covered contract and individually registered
in a bona fide apprenticeship program registered with the DOL’s ETA, OA, or a state
apprenticeship agency recognized by the OA.
(2) Note that as with SCA-covered contracts, employees who perform work on or in
connection with a DBA-covered contract but are not entitled to prevailing wages
required by the DBA may still be covered by EO 13706. Specifically, the EO’s

coverage extends to employees performing work on or in connection with DBA-
covered contracts for construction who are not entitled to prevailing wages required
by the DBA but whose wages are governed by the FLSA, including those who are
exempt from the FLSA’s minimum wage and overtime provisions. These employees
include, for example, employees supervising or otherwise overseeing the laborers or
mechanics performing construction work who are exempt from the FLSA’s minimum
wage and overtime provisions under section 13(a)(1) of the FLSA and
29 CFR part
541, or accountants providing services that are necessary to the performance of the
construction contract. They also include employees who perform work in connection
with a DBA-covered contract away from the site of the work because those
employees’ wages are governed by the FLSA. See
29 CFR 5.2 and 29 CFR 5.5(a)(1).
References:
29 CFR 13.3

29 CFR 5.2
29 CFR 5.5(a)(1)
(d) Employees whose wages are governed by the FLSA
(1) For purposes of EO 13706, an employee’s wages are governed by the FLSA if the
employee qualifies as:
a. an employee who is entitled to the minimum wage and/or overtime under
sections 6 and/or 7 of the FLSA, including any tipped employees under
section 3(t) of the FLSA;
b. an employee who is covered by the FLSA, even if the employee qualifies for
an exemption from the FLSA’s minimum wage and/or overtime provisions.
This category of employees includes, for example, employees employed in a
bona fide executive, administrative, or professional capacity as defined in
section 13(a)(1) of the FLSA and 29 CFR part 541
; or
c. an employee whose wages are calculated pursuant to subminimum wage
certificates issued under section 14 of the FLSA, including a student worker
under section 14(b) or a worker with a disability under section 14(c). See 29
USC 206, 207, and 214.
References:
29 CFR 13.3

29 CFR part 541
19c04 Coverage of apprentices and trainees.
(a) Individuals who are employed on or in connection with an SCA- or DBA-covered contract
and individually registered in a bona fide apprenticeship or training program registered with
the DOL’s ETA, OA, or a state apprenticeship agency recognized by the OA, are covered by
EO 13706 for the time they spend working on or in connection with covered contracts.
(b) Apprentices whose wages are calculated pursuant to subminimum wage certificates issued
under section 14(a) of the FLSA are also entitled to paid sick leave.

References:
29 CFR 13.3

19c05 Coverage of seasonal workers, students, and interns.
(a) Seasonal workers, students, and interns are not excluded from the EO’s requirements. These
types of employees can be covered by EO 13706 if they perform work on or in connection
with covered contracts and their wages are governed by the SCA, DBA, or FLSA, including
employees who are exempt from the FLSA’s minimum wage and/or overtime provisions.
(b) EO 13706 can apply to full-time students whose wages are calculated pursuant to
subminimum wage certificates issued under section 14(b) of the FLSA. See 29 CFR
13.3(a)(2).
(c) Additionally, the EO can apply to employees employed by certain seasonal and recreational
establishments who are exempt from the FLSA’s minimum wage and overtime provisions
pursuant to section 13(a)(3) of the FLSA.
References:
29 CFR 13.3(a)(2)

19c06 Excluded employees.
(a) “20 percent of hours worked” exclusion
(1) Employees eligible for the exclusion
a. As explained in FOH 19d
below regarding accrual of paid sick leave and in
FOH 19j below regarding use of paid sick leave, employees covered by EO
13706 may generally accrue and use paid sick leave when performing work
on or in connection with a covered contract. The “20 percent of hours
worked” exclusion is a narrow exception to this general rule. See 29 CFR
13.4(e). Specifically, this exclusion provides that in any workweek in which
an employee performs work in connection with covered contracts for less
than 20 percent of their hours, the contractor need not allow the employee to
accrue, or count any hours worked towards the accrual of, any paid sick leave
during that workweek.
Scenario:
An administrative assistant works for a single employer 40 hours per week
and spends 4 hours working in connection with covered contracts. The
contractor need not allow the administrative assistant to accrue, or count any
hours worked towards the accrual of, any paid sick leave during that
workweek.
b. If an employee spends any time performing work on, as opposed to solely in
connection with, a covered contract in a given workweek, this exclusion does
not apply. For example, the “20 percent of hours worked” exclusion does not
apply to any employee who is entitled to be paid prevailing wages under the
DBA or SCA for any time in a given workweek. See FOH 19c02 for a

description of the differences between performing on or in connection with
covered contracts.
(2) Hours worked in connection with covered contracts must be added together
When calculating hours worked in connection with covered contracts for purposes of
determining whether this exclusion may apply, contractors must determine the total
number of hours the employee worked in connection with covered contracts in a
given workweek.
Scenario:
If an administrative assistant works for a single employer 40 hours per week and
spends 8 hours working in connection with covered contracts, (2 hours each week
handling payroll for each of 4 separate SCA contracts), the exclusion would not
apply because the employee’s hours worked in connection with the SCA contracts
are 20 percent of their total hours worked for that workweek. As a result, the 8 hours
that the employee spends performing work in connection with the 4 covered contracts
each workweek would count toward the accrual of paid sick leave.
(3) Burden of proof is on the employer claiming the exclusion
a. This exclusion is only applicable if the contractor maintains accurate records
or other proof segregating an employee’s hours worked in connection with
covered contracts from other noncovered hours worked.
b. A contractor can apply this exclusion on the basis of an estimate of the
employee’s hours worked in connection with covered contracts, but the
estimate must be reasonable and based on verifiable information. See
29
CFR 13.5(a)(1)(i). See FOH 19d01(d) for a discussion of how to
appropriately arrive at such estimate.
c. The amount of proof necessary to adequately segregate an employee’s hours
worked on or in connection with a covered contract from other noncovered
hours worked, or to establish that all of an employee’s hours associated with
a contract was spent performing work in connection with rather than on the
contract, will vary with the circumstances. See FOH 19d01
.
Scenario:
A contractor is required to maintain considerably less proof to satisfy the
requirements under the 20 percent of hours worked exclusion for an
accounting clerk who only occasionally processes an SCA-contract-related
invoice than for a security guard who works on a DBA-covered site several
hours each week.
References:
29 CFR 13.4(e)

29 CFR 13.5(a)(1)(i)

(b) Employees who perform work on or in connection with a contract governed by a CBA
ratified before 09/30/2016 that provides paid sick leave
(1) CBA provides at least 56 hours (or 7 days) of paid sick leave or other PTO
If a CBA ratified before 09/30/2016 applies to an employee’s work performed on or
in connection with a covered contract and provides the employee with at least 56
hours (or 7 days, if the CBA refers to days rather than hours) of paid sick leave (or
other PTO that may be used for reasons related to sickness or health care) each year,
the requirements of EO 13706 do not apply to the employee until the earlier of the
date the CBA terminates or 01/01/2020. See 29 CFR 13.4(f)
.
(2) CBA provides some, but less than 56 hours (or 7 days) of paid sick leave or other
PTO
A partial exclusion applies if a CBA ratified before 09/30/2016 applies to an
employee’s work performed on or in connection with a covered contract and provides
the employee with paid sick leave (or other PTO that may be used for reasons related
to sickness or health care) each year, but the amount of such leave provided under the
CBA is less than 56 hours (or 7 days, if the CBA refers to days rather than hours). In
this case, the requirements of the EO do not apply to the employee until the earlier of
the date the CBA terminates or 01/01/2020, provided that each year the contractor
provides covered employees with additional paid sick leave or other PTO in an
amount at least equal to the difference between 56 hours (or 7 days) and the amount
provided under the CBA. The additional paid sick leave or other PTO must be
provided in a manner consistent with either the EO’s requirements or the terms and
conditions of the CBA. See 29 CFR 13.4(f)
.
Scenario:
If a CBA ratified before 09/30/2016 applies to an employee’s work performed on or
in connection with a covered contract and provides the employee with 20 hours of
paid sick leave each year, the contractor, in order to comply with the requirements of
this exclusion, would be required to allow the employee to accrue and use an
additional 36 hours of paid sick leave in the year, for a total of 56 hours.
(3) CBA provides no paid sick leave or other PTO
If a CBA does not provide any paid sick leave (or other PTO that could be used for
reasons related to sickness or health care), a contractor will be responsible for full
compliance with the EO with respect to any covered employees performing work on
or in connection with covered contracts to whom the CBA applies.
(4) Exclusion applies to employees, rather than contracts
This temporary exclusion applies to employees rather than contracts because on any
covered contract, some employees’ work might be governed by a CBA while others’
work may not. For example, laborers and mechanics performing work on a DBA
contract might be members of a union that has negotiated a CBA with the contractor,
but the administrative staff performing work in connection with the contract might
not be covered by the CBA. Similarly, a CBA could apply to janitors performing

work on an SCA contract but not their supervisor. As to employees to whom a CBA
does not apply, a contractor must provide paid sick leave without reliance on this
exclusion.
(5) Scope of paid sick leave or other PTO
This temporary exclusion applies to any paid sick leave policy or other PTO policy
under a CBA that allows employees to take leave for reasons related to sickness or
health care. Such policies do not need to permit employees to be absent for all of the
reasons required under the EO. See FOH 19j01. For example, as stated in the
preamble to the Final Rule, if a paid sick leave policy under a CBA allows an
employee to use leave if they are sick but not to care for family members, or if a paid
sick leave policy does not permit leave for reasons related to domestic violence,
sexual assault, or stalking other than seeking health care, the exclusion can still
apply.
References:
29 CFR 13.4(f)

19d ACCRUAL OF PAID SICK LEAVE
19d00 Paid sick leave accrual.
Contractors must permit employees to accrue not less than 1 hour of paid sick leave for every
30 hours worked on or in connection with a covered contract.
References:
29 CFR 13.5(a)

19d01 Hours worked.
(a) Definition of hours worked
Hours worked for purposes of EO 13706 is defined the same as the FLSA, as explained in
29
CFR part 785. In other words, an employee’s hours worked generally include all periods in
which the employee is suffered or permitted to work, whether or not required to do so, and all
time during which the employee is required to be on duty, to be on the employer’s premises,
or to be at a prescribed workplace. See FOH 31 for information regarding hours worked and
FOH 64 for hours worked under subminimum wage certificates issued under section 14(c) of
the FLSA.
References:
29 CFR 13.5(a)(1)

29 CFR part 785
(b) Totaling hours worked on or in connection with all covered contracts
A contractor must total an employee’s hours worked on or in connection with all covered
contracts for that contractor for purposes of accrual of paid sick leave. All the time the
employee spends performing work on the contracts (e.g., time spent working as a laborer or
mechanic on any DBA worksites and time spent by the employee working in connection with

the contracts, which might include time that is not spent on the site of the work) must be
added together to determine how much paid sick leave the employee has accrued.
Scenario:
A subcontractor that installs windows in building construction projects assigns a single
employee to work on three separate DBA-covered projects. Consequently, if in one pay
period or workweek this employee spends 20 hours installing windows at Worksite A and 10
hours preparing windows for installation at Worksite B away from the site of work, they
would accrue 1 hour of paid sick leave at the end of that pay period, because they have
worked a total of 30 hours on covered contracts. If in the next pay period the employee
spends 30 hours at Worksite C, they would then accrue an additional 1 hour of paid sick leave
for that pay period, for a total accrual of 2 hours of paid sick leave for both pay periods.
References:
29 CFR 13.5(a)(1)

(c) Hours worked on covered and noncovered contracts
(1) In situations where an employee is not exclusively engaged in performing work
covered by EO 13706, only hours worked on or in connection with a covered
contract, rather than hours worked on or in connection with a noncovered contract,
must be counted toward paid sick leave accrual.
Scenario:
If an employee works on an SCA-covered contract for security services for 30 hours
each pay period and works for the same contractor on a private contract for security
services for an additional 30 hours each pay period, the contractor would only be
required to allow the employee to accrue 1 hour, rather than 2 hours, of paid sick
leave each pay period. Similarly, if an employee works for a contractor on a DBA-
covered contract for construction for 2 months and then on a private contract for
construction for 2 months, the contractor would only be required to allow the
employee to accrue paid sick leave during the first 2 months.
(2) To exclude an employee’s hours worked on or in connection with a noncovered
contract, a contractor must accurately identify in its records the employee’s hours
worked on or in connection with covered and noncovered contracts. See
29 CFR
13.5(a)(1). In the absence of records or other proof adequately segregating the hours,
the employee will be presumed to have spent all paid hours performing work on or in
connection with a covered contract.
References:
29 CFR 13.5(a)(1)

(d) Estimating hours worked in connection with covered contracts
(1) If an employee performs work in connection with covered contracts, but not on
covered contracts, a contractor can estimate the portion of the employee’s hours
worked in connection with covered contracts if the estimate is reasonable and based
on verifiable information. The estimate could be based on the portion of the

contractor’s total revenue that derives from covered contracts (if it is reasonable to
assume that the employee’s hours worked is roughly evenly divided across all of the
contractor’s work), although revenue is not the only appropriate basis for estimating
hours worked.
Scenario 1:
If a contractor derives half of its revenue from covered contracts, the contractor
would likely have a reasonable basis for estimating that employees in the mail room
of the contractor’s corporate headquarters spend half of their hours worked in
connection with covered contracts. In contrast, if the contractor has offices in two
locations, and all of its work at one of those locations pertains to covered contracts,
the contractor could not reasonably assume that the employees in the mail room at
that location worked in connection with covered contracts only 50 percent of the
time.
Scenario 2:
A contractor could estimate that a receptionist who handles incoming calls for a
group of other employees who perform work on covered contracts during, on
average, one third of their work time also spends one third of their hours worked in
connection with covered contracts.
(2) The period of time for which an estimate could appropriately be used varies
depending upon the circumstances.
Scenario:
A contractor that claims the “20 percent of hours worked” exclusion described in
FOH 19c06(a) for its receptionist because at the time, only 5 percent of its revenue
derived from covered contracts, would not be able to continue to claim such
exclusion if the contractor is awarded a new covered contract that will account for 40
percent of its revenue in the following year.
References:
29 CFR 13.5(a)(1)

(e) Hours worked for FLSA-exempt employees
(1) If a contractor is not required to keep records of an employee’s hours worked under
the SCA, DBA, or FLSA because, for example, the employee is an executive,
administrative, or professional employee as defined by 29 CFR part 541
, the
contractor can calculate paid sick leave accrual by tracking the employee’s actual
hours worked, or by using the assumption that the employee works 40 hours on or in
connection with a covered contract each workweek. See
29 CFR 13.5(a)(1)(iii).
(2) If an employee regularly works fewer than 40 hours per week on or in connection
with covered contracts, a contractor can allow the employee to accrue paid sick leave
based on the employee’s typical number of hours worked on or in connection with
covered contracts per workweek. In this case, the contractor must have probative
evidence (e.g., payroll records showing that an employee was paid for 20 hours per

week for performing work on or in connection with covered contracts) of the
employee’s typical number of hours worked on or in connection with covered
contracts. If the employee performs work in connection with rather than on covered
contracts, a contractor may estimate the employee’s typical number of hours worked
in connection with covered contracts per workweek, provided the estimate is
reasonable and based on verifiable information.
References:
29 CFR 13.5(a)(1)(iii)

29 CFR part 541
19d02 Calculation of paid sick leave.
(a) Accrued paid sick leave must be calculated at the end of each pay period or each month,
whichever interval is shorter. See 29 CFR 13.5(a)(1)(ii)
.
(b) Contractors do not need to allow employees to accrue paid sick leave in increments smaller
than 1 hour. They may, however, choose to do so. Any remaining fraction of 30 hours
worked after an employee accrues leave for the pay period or month is added to hours worked
for the same contractor in following pay periods or months in the same accrual year, as
explained below, to reach 30 hours worked. See 29 CFR 13.5(a)(1)(ii)
.
Scenario:
A contractor with a 2-week pay period has an employee who works on a covered concessions
contract for 80 hours in pay period 1 and 35 hours in pay period 2. At the end of pay period
1, the employee will have accrued 2 hours of paid sick leave based on their first 60 hours
worked and, unless the employer chooses to allow accrual in increments smaller than 1 hour,
will not have accrued any more paid sick leave based on the additional 20 hours they worked
in that pay period. At the end of pay period 2, the employee will have accrued 1 more hour
of paid sick leave based on the remaining 20 hours from pay period 1 plus their first 10 hours
worked in pay period 2. They do not accrue any paid sick leave based on the remaining 25
hours worked in pay period 2. If the employee spends several subsequent weeks working for
the contractor on a private contract and then returns to working on the covered concessions
contract, under this provision, those remaining 25 hours would be added to their subsequent
hours worked on the concessions contract for purposes of reaching their next accrued hour of
paid sick leave, provided their return to the covered concessions contract occurred within the
same accrual year as pay period 2.
References:
29 CFR 13.5(a)(1)(ii)

19d03 Providing paid sick leave in advance (frontloading).
(a) A contractor may choose to provide an employee with at least 56 hours of paid sick leave at
the beginning of each accrual year rather than allowing the employee to accrue such leave
based on hours worked over time. If a contractor does so, it does not need to comply with the
accrual requirements outlined in FOH 19d00–02. However, the contractor must allow
carryover of paid sick leave of no fewer than 56 hours in each accrual year. The carryover
requirements that apply where an employer does not choose to frontload paid sick leave are
addressed at FOH 19f01.

Scenario:
A contractor chooses the frontloading option, providing employees with 56 hours of paid sick
leave at the beginning of each accrual year. An employee carries over 16 hours of paid sick
leave from one accrual year to the next. The contractor must permit the employee to have 72
hours (i.e., 16 hours plus 56 hours) of paid sick leave available for use at the beginning of the
second accrual year. If the employee did not use any paid sick leave in the second accrual
year, the contractor could limit the amount of paid sick leave the employee can carry over in
the third accrual year to 56 hours. See 29 CFR 13.5(b)
.
(b) If a contractor using this option hires an employee or newly assigns an employee to work on
or in connection with a covered contract after the beginning of the accrual year, the contractor
can provide the employee with a prorated amount of paid sick leave based on the number of
pay periods remaining in the accrual year. See 29 CFR 13.5(a)(3)
.
Scenario:
An employee could be hired by a contractor to work full-time on a covered contract after one-
third of the pay periods in the current accrual year have passed. If the contractor chooses the
frontloading option, the employee would be entitled to begin their employment with at least
37 hours (i.e., two-thirds of 56 hours, rounded to the nearest hour) of paid sick leave.
(c) A contractor may choose to frontload leave for any or all of its employees in any or all
accrual years. A contractor is not permitted to change its accrual system in the middle of an
accrual year. In addition, a contractor may not decide to frontload leave in an effort to avoid
its obligations under the EO.
References:
29 CFR 13.5(a)(3)

29 CFR 13.5(b)
19e NOTIFICATION TO EMPLOYEES OF ACCRUED LEAVE
19e00 Notification of amount of paid sick leave.
(a) A contractor must inform each employee, in writing, of the amount of paid sick leave the
employee has accrued but not used no less than once per pay period or per month, whichever
interval is shorter. See 29 CFR 13.5(a)(2)
.
(b) A contractor must also inform employees in writing of the amount of paid sick leave they
have upon a separation from employment and upon any required reinstatement of paid sick
leave described in FOH 19g. See 29 CFR 13.5(a)(2)
.
References:
29 CFR 13.5(a)(2)

19e01 Method of notification.
(a) A contractor’s existing procedure for informing employees of their available PTO (e.g.,
notification accompanying each paycheck or an online system that an employee can use to
check at any time) could be used to satisfy or partially satisfy these accrual notification

requirements, provided it is written and it clearly indicates the amount of paid sick leave an
employee has accrued separately from other types of PTO (unless the employer complies
with the EO’s requirements with a PTO policy as described at FOH 19h).
(b) If a contractor customarily corresponds with or makes information available to its employees
by electronic means, this requirement can be fulfilled with electronic transmissions.
References:
29 CFR 13.5(a)(2)

19f MAXIMUM ACCRUAL AND CARRYOVER OF LEAVE
19f00 Limits on accrual of paid sick leave.
(a) A contractor may limit the amount of paid sick leave an employee is permitted to accrue to no
fewer than 56 hours in each accrual year.
(b) An accrual year is a 12-month period beginning on the date of an employee’s work on or in
connection with a covered contract or any other fixed date chosen by the contractor. A
contractor may choose its accrual year but is required to use a consistent option for all
employees, or across similarly situated groups of employees. See 29 CFR 13.5(b). A
contractor may not select or change its accrual year in order to avoid the requirements of the
EO. Similar to the FMLA, if a contractor does not select an accrual year, the Wage and Hour
Division (WHD) will use the option that provides the most beneficial outcome to the
employee.
References:
29 CFR 13.5(b)

19f01 Carryover of paid sick leave.
(a) A contractor must allow carryover of EO 13706 paid sick leave an employee has accrued but
not used from one accrual year to the next. Paid sick leave carried over from the previous
accrual year does not count toward any limit the contractor sets on annual accrual.
Scenario:
If an employee carries over 30 unused hours of paid sick leave from accrual year 1 to accrual
year 2, they must still be permitted to accrue up to 56 additional hours of paid sick leave in
accrual year 2 rather than only 26 (56 minus the 30 carried over). However, the contractor
can limit them to have 56 hours of paid sick leave at any one time, as explained below in
FOH 19f01(b).
(b) A contractor may limit the amount of paid sick leave available for an employee to use at any
point to no fewer than 56 hours. Even if the employee has accrued fewer than 56 hours of
paid sick leave since the beginning of the accrual year, the contractor does not need to permit
the employee to accrue additional paid sick leave so long as the employee has at least 56
hours of paid sick leave available for use. If the employee uses paid sick leave and no longer
has at least 56 hours available for use, the employee must once more be permitted to accrue
leave until they either have 56 hours available for use or has accrued at least 56 hours in that
accrual year.

Scenario 1:
If an employee accrues 56 hours of paid sick leave in accrual year 1 and uses no paid sick
leave in years 1 or 2, they could begin accrual year 3 with only 56 hours of leave, because
their employer does not need to allow them to accrue any additional hours in accrual year 2.
Scenario 2:
If an employee carries over 16 hours of unused paid sick leave into a new accrual year, they
must be permitted to accrue 40 additional hours of paid sick leave even if they do not use any
paid sick leave while the accrual occurs. Once they have 56 hours of paid sick leave accrued,
the contractor may prohibit them from accruing any additional leave, unless they use some
portion of the 56 hours. If they use, for example, 24 hours of paid sick leave in the same
accrual year (i.e., them has 32 hours available for use), they must be permitted to accrue up to
at least 16 more hours, in addition to the 40 hours they have already accrued during the
accrual year, in order to accrue a total of 56 hours in that accrual year.
References:
29 CFR 13.5(a)(2)

19g REINSTATEMENT OF PAID LEAVE AND PAYMENT FOR UNUSED LEAVE
19g00 Paid sick leave reinstatement.
Previously accrued, unused paid sick leave must be reinstated for an employee rehired by the
same contractor within 12 months after a job separation from the contractor. This obligation
applies whether the employee leaves and returns to work on or in connection with a single
covered contract, or works on or in connection with more than one covered contract,
regardless of whether the employee remains employed by the contractor in between periods
of performing work on or in connection with covered contracts. See 29 CFR 13.5(b)(4).
Scenario:
An employee accrued but did not use 12 hours of paid sick leave while working for a
contractor on an SCA contract. They left the contract to perform work on a noncovered
contract for the same contractor, but returned to work on the SCA contract 6 months later.
The employee would start back to work on the contract with 12 hours of paid sick leave
available for use. Note that if the employee’s first week back on the SCA job is within the
same accrual year during which they accrued the 12 hours, the contractor would be required
to count any fraction of 30 hours worked in their previous time on the contract toward the
accrual of their next hour of paid sick leave, but the contractor may also limit their additional
accrual in that accrual year to 44 hours such that they can only accrue a total of 56 hours in
the accrual year.
References:
29 CFR 13.5(b)(4)

19g01 Payment for unused paid sick leave and effect on reinstatement.
(a) A contractor is not required to pay an employee for unused accrued paid sick leave when the
employee leaves employment.

(b) If a contractor makes a payment in an amount equal to or greater than the value of the pay
and benefits, as described in FOH 19j03(c), that an employee would have received had the
employee used their accrued paid sick leave, the contractor is not required to reinstate the
employee’s accrued paid sick leave upon rehiring the employee within 12 months of
separation. See 29 CFR 13.5(b)(5)
.
References:
29 CFR 13.5(b)(5)

19h PAID TIME OFF POLICIES
19h00 Paid time off policies that can be used to satisfy a contractor’s obligations under the EO.
(a) Under certain circumstances, a contractor’s policy that provides PTO, which an employee can
use for any purpose, including but not limited to as paid sick leave, can satisfy the
contractor’s obligations under the EO. Specifically, a contractor’s existing PTO policy will
satisfy the requirements of EO 13706 if the PTO:
(1) is available to all the employees covered by the EO;
(2) may be used for at least all of the purposes described in FOH 19j01
;
(3) is provided in a method and amount that gives employees as much PTO they would
receive as paid sick leave under the accrual, carryover, and other rules described in
FOH 19d and FOH 19f;
(4) is provided in a way that is compliant with the rules and restrictions regarding the use
of paid sick leave, requests for leave, and certification and documentation described
in FOH 19j and FOH 19k, when used for purposes described in FOH 19j; and
(5) is protected by the prohibitions against interference, discrimination, recordkeeping
violations, and waiver of rights described in FOH 19n00–03, when used for the
purposes described in FOH 19j. See 29 CFR 13.5(f)(5)
.
References:
29 CFR 13.5(f)(5)

19h01 Paid time off policies and DBA or SCA requirements.
PTO used to satisfy the EO requirements cannot also count toward satisfying any applicable
DBA or SCA requirements. However, if a contractor’s PTO policy provides more PTO than
is necessary to comply with the EO, the contractor could count that additional PTO toward
fulfilling DBA or SCA requirements.
References:
29 CFR 13.5(f)(2)

19h02 Paid time off policies that provide more than 56 hours of leave per accrual year.
(a) A contractor with a PTO policy that provides more than 56 hours of leave per accrual year
has two options:

(1) The contractor can choose to provide all PTO as described in FOH 19j.
(2) The contractor can choose to track, make, and maintain records reflecting the amount
of PTO an employee uses for the purposes described in FOH 19j. If the contractor
chooses this option, the contractor is only required to provide, for each accrual year,
up to 56 hours of PTO the employee requests to use for such purposes to comply with
the EO and 29 CFR part 13.
Scenario 1:
A contractor provides its employees with 120 hours of PTO per accrual year. The
contractor maintains a record of the amount of PTO used by each employee and
distinguishes between leave used for the purposes described in FOH 19j and all other
leave. The contractor also maintains its records in such a way that each employee
has access to a record of how much PTO they have used for the purposes described in
FOH 19j. Therefore, the contractor provides each employee with information on
how many hours of paid sick leave, subject to the protections of the EO, the
employee has remaining for use out of at least 56 hours per accrual year. An
employee who uses 56 hours for the purposes described in FOH 19j early in the
accrual year would not be entitled to the EO’s protections for their remaining 64
hours of PTO, regardless of the purposes for which they request to use them. In
contrast, an employee who uses 64 hours of PTO for vacation early in the accrual
year would still be entitled to use any or all of their remaining 56 hours of leave for
such purposes subject to the protections required by the EO.
Scenario 2:
A contractor provides its employees with 120 hours of PTO per accrual year. An
employee who uses 80 hours of PTO for vacation early in the year would only be
entitled to use up to 40 remaining hours of leave for the purposes described in FOH
19j subject to the protections required by the EO, and if they use those 40 hours for
another vacation, they would have no paid leave remaining that their contractor
would be obligated to provide for the purposes described in FOH 19j.
Scenario 3:
A contractor that provides 120 hours of PTO chooses not to track and record the
amount of PTO employees use for the purposes described in FOH 19j. This
contractor would not have information to demonstrate that an employee has in fact
used their full entitlement of up to 56 hours of paid sick leave for the purposes
described in FOH 19j. If one of the contractor’s employees uses 56 hours of leave
early in the accrual year for reasons that the contractor did not document, even if the
contractor was informally aware of those reasons, the employee would still be
entitled to use any or all of their 64 remaining hours of PTO for the purposes
described in FOH 19j subject to the protections of the EO.
(b) Regardless of whether a contractor distinguishes between PTO used for the purposes
described in FOH 19j and other purposes, if a contractor’s policy meets the requirements
described in FOH 19h, the contractor is not required to provide any additional paid sick leave
or PTO beyond the amount provided by the contractor’s PTO policy. If a contractor’s PTO
policy does not meet the requirements described in FOH 19h, however, the contractor must

provide up to 56 hours of paid sick leave in compliance with the EO separately from any PTO
it provides.
References:
29 CFR 13.5(f)(5)

19i MULTIEMPLOYER PLANS AND OTHER PLANS, FUNDS, OR PROGRAMS
19i00 Definition.
(a) For purposes of the EO, a multiemployer plan is a plan to which more than one employer is
required to contribute and is maintained pursuant to one or more CBAs between one or more
employee organizations and more than one employer. This is a broader definition than the
one used for purposes of the Employee Retirement Income Security Act of 1974. See 29
USC 1002(37).
References:
29 CFR 13.8

19i01 Contractor responsibility.
(a) A contractor can comply with EO 13706 jointly with other contractors (i.e., as though all of
the contractors are a single contractor) through a multiemployer plan that provides paid sick
leave in compliance with the EO. Each contractor participating in the multiemployer plan
remains responsible for any violation of the EO or 29 CFR part 13 that occurs during its
employment of employees. See 29 CFR 13.8(a).
Scenario:
An employee is a member of a union that has a CBA with Contractors A and B that requires
that the employers will contribute to a multiemployer plan to provide paid sick leave that
complies with the requirements of the EO. If the employee works for Contractor A on a
DBA contract for a single pay period and accrues 2 hours of paid sick leave, and they
subsequently work for Contractor B on a different DBA contract for several pay periods, the
employee would begin the job for Contractor B with 2 hours of paid sick leave available for
use and would accrue additional paid sick leave that would be added to those 2 hours for
purposes of the accrual cap of no fewer than 56 hours for which the CBA provides.
(b) In the scenario in FOH 19i01(a) above, Contractors A and B are each separately responsible
for complying with the EO as to the employee’s accrual and use of paid sick leave while
working for each respective employer.
Scenario:
If Contractor B denied an employee’s valid request to use paid sick leave the employee
accrued while working for Contractor A, Contractor B would have violated the prohibition on
interference with the use of paid sick leave described at FOH 19n00, and Contractor A would
not be responsible for that violation.
(c) Contractors can provide paid sick leave through any fund, plan, or program. However,
regardless of the manner in which a contractor provides paid sick leave or what functions any

fund, plan, or program performs, the contractor remains responsible for any violation of the
EO or 29 CFR part 13 with respect to any of its employees. See 29 CFR 13.8(b)
.
References:
29 CFR 13.8

19i02 Third-p arty administrators.
To the extent the plan or any third party that administers the plan plays a role in administering
paid sick leave (e.g., by tracking accrual, notifying employees of the amounts of paid sick
leave they have accrued but not used, responding to employee requests to use paid sick leave,
or providing employees with the pay and benefits to which they are entitled while using paid
sick leave), the contractor for which the employee is working at the time such actions are
taken is responsible for ensuring that the plan performs those functions in compliance with
the requirements of the EO.
References:
29 CFR 13.8(a)

19j USE OF PAID SICK LEAVE
19j00 When paid sick leave can be used.
(a) A contractor must permit an employee to use their available paid sick leave during time the
employee would have been performing work on or in connection with a covered contract.
However, if the contractor estimates the employee’s hours worked in connection with such
contract for purposes of accrual pursuant to FOH 19d01(d), it must permit the employee to
use available paid sick leave during any work time.
(b) Use of paid sick leave is specific to a contractor, rather than a contract. Consequently, an
employee who has accrued paid sick leave working on or in connection with one covered
contract could use the leave for time they would otherwise have been working on or in
connection with another covered contract for the same contractor.
Scenario:
An employee accrues 4 hours of paid sick leave over the course of several pay periods during
which they work for a single contractor in connection with 1 covered contract for 60 hours
and another 2 covered contracts for 30 hours each. They may use their accrued paid sick
leave during the time they are scheduled to perform work in connection with any of the 3
contracts, or any other covered contract, on behalf of the same contractor.
References:
29 CFR 13.5(c)

19j01 Purposes for which paid sick leave can be used.
(a) A contractor must permit an employee to use paid sick leave to be absent because of:
(1) a physical or mental illness, injury, or medical condition of the employee;

(2) obtaining diagnosis, care, or preventive care from a health care provider by the
employee;
(3) caring for the employee’s 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 who has any of the conditions or needs for
diagnosis, care, or preventive care referred to in FOH 19j01(a)(1) or FOH 19j01(a)(2)
or is otherwise in need of care; or
(4) domestic violence, sexual assault, or stalking, if the absence from work is for the
purposes otherwise described in FOH 19j01(a)(1) or FOH 19j01(a)(2); or to obtain
additional counseling, seek relocation, seek assistance from a victim services
organization, take related legal action, including preparation for or participation in
any related civil or criminal legal proceeding, or assist an individual related to the
employee as described in FOH 19j01(a)(3) in engaging in any of these activities.
References:
29 CFR 13.5(c)(1)

(b) Physical or mental illness, injury, or medical condition
This term is meant to broadly include any illness, injury, or medical condition, regardless of
whether it requires attention from a health care provider or whether it would be a “serious
health condition” that qualifies for use of leave under the FMLA. Examples of conditions
included are a common cold, ear infection, upset stomach, ulcer, flu, headache, migraine,
sprained ankle, broken arm, or depressive episode.
References:
29 CFR 13.5(c)(1)(i)

(c) Obtaining diagnosis, care, or preventive care from a health care provider
This term means receiving services from a health care provider, whether to identify, treat, or
otherwise address an existing condition or to prevent potential conditions from arising.
Examples include obtaining a prescription for antibiotics at a health clinic, attending an
appointment with a psychologist, having an annual physical or gynecological exam, or
receiving a teeth cleaning from a dentist’s assistant. Time spent traveling to and from the
location at which such services are provided, or recovering from receiving such services is
also included.
References:
29 CFR 13.5(c)(1)(ii)

(d) 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 who has any of the conditions or needs for diagnosis, care, or preventive
care referred to in FOH 19j01(a) or FOH 19j01(b) or is otherwise in need of care
(1) This category is meant to include a wide range of family members and individuals
who are like family to the employee. In addition to children, parents, spouses, and
domestic partners, it includes grandparents, grandchildren, siblings, siblings-in-law,

fiancées, fiancés, cousins, uncles, and aunts. It also includes any person with whom
the employee has a significant personal bond that is or is like a family relationship,
regardless of biological or legal relationship.
(2) This category includes when an individual for whom an employee is caring has any
of the broadly understood conditions or needs referred to in FOH 19j01(a)(1)–(2).
For example, an employee may use paid sick leave to be with a child home from
school with a cold, or to accompany their spouse to an appointment at a fertility
clinic.
(3) This category’s reference to individuals “otherwise in need of care” refers to non-
medical caregiving for an individual who has a general need for assistance related to
the individual’s underlying health condition. For example, an employee may use
paid sick leave to provide their grandfather, who has dementia, unpaid assistance
with bathing, dressing, and eating if the grandfather’s usual paid personal care
attendant is unable to keep their regular schedule.
References:
29 CFR 13.5(c)(1)(iii)

(e) Reasons related to domestic violence, sexual assault, or stalking
This purpose of this category of leave is to ensure that victims of domestic violence, sexual
assault, or stalking are able to obtain the care, safety, and legal protections they need without
losing wages or their jobs, and that employees can assist such victims who are family
members or like family in doing so. Assisting another individual who is a victim of domestic
violence, sexual assault, or stalking includes, but is not limited to, accompanying the victim
to see a health care provider, attorney, social worker, victim advocate, or other individual
who provides services the victim needs as a result of the domestic violence, sexual assault, or
stalking.
Scenario 1:
An employee who is a victim of domestic violence could use a day of paid sick leave to
prepare for a meeting with an attorney, travel to the attorney’s office, have the meeting to
discuss their legal options, and travel home.
Scenario 2:
An employee who is a victim of sexual assault or stalking could use a day of paid sick leave
to go to a courthouse to determine the process for filing a petition for a civil protection order,
complete any necessary paperwork, and file the paperwork with the court, and use another
full day to attend proceedings at the court in support of the application, including mandatory
mediation.
Scenario 3:
An employee could use a day of paid sick leave to seek legal protections for a minor victim
of domestic violence or child sexual abuse, including filing a police report and/or seeking a
civil protection order, medical treatment for the victim, or emergency relocation services.

References:
29 CFR 13.5(c)(1)(iv)

19j02 Amount of paid sick leave used.
(a) A contractor must account for an employee’s use of paid sick leave in increments of no more
than 1 hour. See 29 CFR 13.5(c)(2)
.
Scenario:
If an employee needs to be an hour late for work because they accompanied their sister to a
chemotherapy appointment that morning, their employer must permit them to use 1 hour of
paid sick leave (rather than, for instance, requiring them to take a full day off or use a full
day’s leave).
(b) A contractor may not reduce an employee’s accrued paid sick leave by more than the amount
of time the employee is actually absent from work, and may not require an employee to use
more leave than is necessary to address the circumstances that caused the need for leave.
Therefore, if a contractor chooses to waive its increment of leave policy in order to return an
employee to work, the contractor would be required to treat the employee as having used no
more than the amount of leave the employee actually used. Under no circumstances could a
contractor treat an employee as having used paid sick leave for any time the employee was
working.
Scenario:
If an employee arrives half an hour late to work because they were at an appointment with a
psychologist, and the contractor waives its normal 1-hour increment of leave and puts the
employee to work immediately, the contractor may deduct half an hour from the employee’s
accrued paid sick leave.
(c) The amount of paid sick leave used may not exceed the hours an employee would have
worked if the need for leave had not arisen. Similarly, if an employee is using paid sick leave
at a time when they could have worked beyond their scheduled hours but would not have
been required to do so, the contractor could not treat the employee as having used paid sick
leave for those optional hours.
Scenario 1:
An employee is scheduled to work from 9 a.m. to 3 p.m., and they are absent from work from
10:30 a.m. to 12:30 p.m. to take their father to a doctor’s appointment. A contractor may
deduct no more than 2 hours of paid sick leave from their accrued paid sick leave.
Scenario 2:
An employee is scheduled to work from 9 a.m. to 3 p.m. and they are absent from work for
the entire day to care for their sick child. A contractor may deduct no more than 6 hours of
paid sick leave from their accrued paid sick leave.
Scenario 3:

An employee is scheduled to work from 9 a.m. to 3 p.m. They could have chosen to stay
until 7 p.m. that night to earn overtime, but they were absent for the entire day. A contractor
may not deduct more than 6 hours of paid sick leave from the employee’s accrued paid sick
leave.
(d) If it is not physically possible for an employee to begin or end work mid-way through a shift,
such as a flight attendant or a railroad engineer scheduled to work aboard an airplane or train,
or a laboratory employee unable to enter or leave a sealed clean room during a certain period
of time, and no equivalent position is available, the entire period of time the employee is
absent will be paid sick leave. The period of the physical impossibility is limited to the
period during which the contractor is unable to permit the employee to work prior to the use
of paid sick leave or return the employee to the same or an equivalent position due to the
physical impossibility after the use of paid sick leave. See 29 CFR 13.5(c)(2)(iii)
.
(e) A contractor may not limit the amount of paid sick leave an employee may use per accrual
year or at once on any basis other than the amount of paid sick leave the employee has
available. See 29 CFR 13.5(c)(4)
. For example, an employer may not establish a policy
prohibiting an employee from using any particular number of hours of paid sick leave in a
single workweek, or deny an employee’s request to use paid sick leave based on the length of
time requested (as long as the employee has accrued sufficient paid sick leave to cover the
time).
Scenario:
An employee carries over 16 hours of paid sick leave from accrual year 1 into accrual year 2.
The employee gets the flu and uses all 16 hours to be absent from work for 2 days. They then
accrues 56 hours of paid sick leave in the remainder of accrual year 2. Their employer may
not prohibit them from using all 56 hours at the end of accrual year 2 to care for their father
while during recovery from surgery, even though the employee will have used more than a
total of 56 hours of paid sick leave in accrual year 2.
(f) Under 29 CFR part 13
, an employee is encouraged to make a reasonable effort to schedule
preventive care or another foreseeable need to use paid sick leave to suit the needs of both the
contractor and employee, and a contractor may ask an employee to make a reasonable effort
to schedule foreseeable absences for paid sick leave so as to not disrupt unduly the
contractor’s operations. A contractor may not, however, make an employee’s use of paid sick
leave contingent on the employee’s finding a replacement worker to cover any work time to
be missed or on the fulfillment of the contractor’s operational needs. See
29 CFR 13.5(c)(5).
References:
29 CFR 13.5(c)(2)–(5)

19j03 Pay while using paid sick leave.
(a) A contractor must provide an employee using paid sick leave the same pay and benefits the
employee would have received had the employee not been absent from work.
(b) Regular pay

(1) While using paid sick leave, employees paid on a salary basis may not face any
deduction in pay, and employees paid hourly must receive the same hourly rate of
pay they would have earned had they been present at work.
(2) Regular pay means only payments that would be included in the calculation of the
employee’s regular rate for hours worked under the FLSA (or basic rate for purposes
of the Contract Work Hours and Safety Standards Act (CWHSSA), 40 USC 3701 et
seq.). This must be provided to an employee using paid sick leave to fulfill the
obligation to provide the same pay to that employee. The relevant FLSA principles
(adopted under the CWHSSA, see 29 CFR 5.15(c)) are set forth at 29 CFR part 778
.
(3) Note that the regular pay for an employee paid under subminimum wage certificates
under section 14(c) of the FLSA is calculated at a rate equal to the employee’s
average hourly earnings during the most representative period, not to exceed a
quarter. See FOH 64 for more information about section 14(c) of the FLSA.
References:
29 CFR 13.5(c)(3)

(c) Same benefits
(1) An employee must receive the same benefits that they would have received were they
present at work while using paid sick leave. For example, a contractor must continue
to make contributions to any fringe benefit plan (e.g., a health insurance plan or
retirement account) for the time an employee is using paid sick leave and count such
time toward the earning of other benefits (e.g., the accrual of vacation time), although
the time the employee is using paid sick leave does not constitute hours worked for
purposes of paid sick leave accrual.
(2) Any benefits should generally be provided in the same manner in which an employee
receives them when they are present at work rather than using paid sick leave. For
example, if a contractor provides its employees with health insurance coverage by
making monthly payments to a third-party insurer on behalf of each employee, the
contractor must not make any reduction in such payments to account for time an
employee used paid sick leave. Similarly, if a contractor satisfies its requirements
under the DBA by making contributions to a benefit fund of a certain amount per
hour that an employee works on DBA-covered contracts, it must continue to make
the same payments when the employee is using paid sick leave.
(3) Contractors may make contributions to benefit plans that will not accept
contributions for nonwork time and an amendment to such a plan may not feasible.
Therefore, the contractor is unable to provide the same benefits to an employee
during the time the employee is using paid sick leave. The contractor may instead
provide cash or another benefit of the same or greater value as the benefits it cannot
provide.
References:
29 CFR 13.5(c)(3)

(d) Regular pay and benefits under the DBA and SCA

Employees whose wages are governed by the SCA or DBA would receive the same wages
and benefits required under those statutes, including health and welfare and other fringe
benefits or the cash equivalent thereof, as they would have earned had they been present at
work instead of using paid sick leave.
(e) Varying wage rates
For an employee who receives different pay and benefits for different portions of their work
(e.g., an employee who works as a carpenter on one DBA-covered contract and a skilled
laborer on another DBA-covered contract on which they work for the same contractor), the
pay and benefits due while the employee uses paid sick leave is to be determined based on
which work they would have been performing at the time they use the leave. The employee’s
pay rate at the time they accrued the paid sick leave is not relevant.
References:
29 CFR 13.5(c)(3)

(f) Timing of pay
The contractor shall compensate an employee for time during which the employee used paid
sick leave no later than one pay period following the end of the regular pay period in which
the paid sick leave was used.
References:
29 CFR 13.27
19k REQUESTING, GRANTING, AND DENYING PAID SICK LEAVE
19k00 General.
A contractor must permit an employee to use any or all of the employee’s available paid sick
leave upon an oral or written request, made at least 7 days in advance or as soon as
practicable, that includes enough information to inform the contractor that the employee is
seeking to be absent from work for a purpose outlined in FOH 19j and, to the extent possible,
the anticipated duration of the leave.
References:
29 CFR 13.5(d)

19k01 Requesting paid sick leave.
(a) Contents of request
(1) Need for leave
An employee’s request to use leave does not need to specifically refer to the EO,
“sick leave,” or “paid sick leave,” and a contractor may not require an employee to
specify all the symptoms or details of the need for leave. See 29 CFR 13.5(d)
. An
employee could simply state, for example, that the employee has a cold, a dentist
appointment, or an appointment with an attorney regarding a domestic violence
matter. In such cases, the employer could not ask, for the purposes of approving or

denying the paid sick leave, when the cold began or how severe it is, which dentist
the employee is seeing or for what purpose, or for any detail regarding the domestic
violence.
(2) Family or family-like relationship
Similarly, a contractor may not require an employee to include in their request
extensive details regarding the employee’s relationship with an individual for whom
the employee wishes to care in the time absent from work. The employee only needs
to inform the contractor that they have a family or family-like relationship with the
individual. For example, it is sufficient for an employee to say that the employee’s
son has a stomach bug, the employee’s husband or wife was injured in a car accident,
the employee’s ill grandmother needs care, or a man who is like a brother to the
employee needs to be accompanied to a doctor’s appointment.
(3) Duration of leave
An employee should make a good faith effort to provide a reasonable estimate of the
amount of time they will need to be absent from work. A contractor must, however,
permit an employee to return to work earlier, or continue to use available paid sick
leave for longer, than the employee anticipated.
References:
29 CFR 13.5(d)

(b) Timing of request
If the need for the leave is foreseeable, an employee’s request for leave must be made at least
7 days in advance. If the request cannot be made in advance, it must be made as soon as
practicable, usually either on the day the employee becomes aware of the need or the next
business day. In all cases, the determination of when an employee could practicably make a
request must take into account the individual facts and circumstances. See
29 CFR
13.5(d)(2).
Scenario 1:
An employee makes an appointment for their daughter to have an annual exam with their
doctor 2 weeks in the future. The employee should ask to use paid sick leave to take their
daughter to the appointment at least 7 days before the date on which it is scheduled.
Scenario 2:
The nurse at an employee’s daughter’s school calls one afternoon to say the daughter has a
high fever and they need to take their daughter out of school right away. The employee
plainly could not have requested leave 7 days in advance, and they should instead request
leave as soon as practicable. Depending on the circumstances, as soon as practicable could
be as the employee is preparing to leave work to get their daughter, when they get home with
their daughter later that evening (perhaps after their daughter falls asleep), or the next
morning (assuming the following day was a business day).
Scenario 3:

An employee is in a serious car accident, is taken to the hospital, and has surgery the next
day. They could not practicably have requested leave the day of the accident or the surgery
(i.e., the day they become aware of the need for leave or the following day).
References:
29 CFR 13.5(d)(2)

(c) Manner of request
The request should be submitted to the appropriate personnel in compliance with a
contractor’s policy or, in the absence of a formal policy, to any personnel who typically
receive requests for other types of leave or who are responsible for scheduling matters. The
policy may include particular procedures to use to contact the specified personnel, such as a
designated phone number or email address, as long as an employee may communicate the
request by at least one oral and one written method. If the employee directs a request to
someone who is not the individual or individuals identified in the contractor’s policy, the
recipient may formally reject the request or explain that they are without authority to respond
to it. In either case, the recipient may inform the employee of the correct personnel to whom
to direct a new request, or may forward the request to the correct personnel himself or herself.
References:
29 CFR 13.5(d)(1)(iii)

19k02 Granting or denying the request.
(a) A contractor must respond to any request to use paid sick leave as soon as practicable (i.e., as
promptly as reasonable under the circumstances).
(b) A contractor can communicate its grant of a request to use paid sick leave orally or in writing,
including electronically if the contractor customarily corresponds with or makes information
available to its employees by such means.
(c) A denial of a request must be in writing, including electronically if the contractor customarily
corresponds with or makes information available to its employees by such means.
Appropriate reasons for denial include, but are not limited to, the following:
(1) The employee did not provide sufficient information about the need for paid sick
leave.
(2) The employee’s reason for the need for paid sick leave is not consistent with the use
of paid sick leave described in FOH 19j01.
(3) The employee did not indicate when the need would arise.
(4) The employee has not accrued, and will not accrue, a sufficient amount of paid sick
leave by the time the leave is to be taken. In such case, unless the employee has no
accrued leave, only a partial denial is appropriate.
(5) The leave is to be taken during the time the employee is scheduled to be performing
noncovered work. A denial for this reason must be supported by records segregating
the employee’s time on covered and noncovered contracts. If a contractor estimates

the amount of time an employee spends performing work in connection with covered
contracts, the employee must be permitted to use paid sick leave during any work
time for the contractor, not just while the employee is working on or in connection
with covered contracts. See FOH 19d01(d).
(d) If a denial is based on insufficient information, a contractor must permit an employee to
submit a corrected request, as discussed in FOH 19k03(e).
References:
29 CFR 13.5(d)(3)

19k03 Certifying or documenting the need for paid sick leave.
(a) A contractor may require that a health care provider certify the need for paid sick leave used
for the purposes described in FOH 19j01(a)(1)–(3) only if an employee is absent for 3 or
more consecutive full workdays. A certification by a health care provider can be any type of
written document created or signed by a health care provider, or representative of the health
care provider, that contains information verifying that the reason for using paid sick leave
exists. The health care provider or representative need not have seen the employee or the
individual for whom the employee is caring in person to create a valid certification.
(b) A contractor may require documentation from an appropriate individual to verify the need for
paid sick leave used for the purposes described in FOH 19j01(a)(4) (i.e., absences related to
domestic violence, sexual assault, or stalking) only if an employee is absent for 3 or more
consecutive full workdays. The source of this documentation can be any person involved in
providing or assisting with care, counseling, relocation, or related legal action such as, but not
limited to, a health care provider, counselor, victim services organization, victim services
representative, attorney, clergy member, family member, or close friend. Self-certification is
also permitted. Only the minimum documentation necessary to establish a need for the
employee to be absent from work may be required.
Scenario 1:
Documentation could include a note from a social worker at a victim services organization
stating that an employee received services from the organization related to being a victim of
domestic violence, and moved to a new home for reasons related to the domestic violence, as
well as a receipt from a moving company or a note from a landlord that indicates the date(s)
of the move. This information need not name the perpetrator of the domestic violence, the
nature of the acts that constitute domestic violence, the addresses of the old or new home, or
any other details beyond those sufficient to make clear that the time was used for a purpose
that justifies the use of paid sick leave.
Scenario 2:
A letter from a legal services attorney or sexual assault victim advocate, assisting an
employee who is a victim of sexual assault in completing the paperwork related to and filing
for a civil protection order or restraining order, could provide documentation explaining that
the employee spent 3 or more consecutive full workdays with the attorney or advocate
preparing for the hearing, including completing the petition for the court’s order, obtaining a
time for the hearing, and attending the hearing, including waiting at the courthouse and
attending the proceedings. The letter would not need to explain the circumstances of the

sexual assault, name the person(s) accused of the sexual assault, or otherwise provide any
details beyond those sufficient to justify the need to use paid sick leave.
Scenario 3:
An employee uses 3 or more consecutive full workdays of paid sick leave to fly across the
country to be with their daughter who is a victim of sexual assault to provide support related
to an administrative hearing at the university the daughter attends. Documentation could
consist of the boarding passes from the employee’s flights and emails from a university
official to the daughter setting the date of the hearing, without providing details about the
specific subject matter of the hearing.
(c) If the certification or documentation is to verify the illness, injury, condition, or need for care
for an individual who is an employee’s child, parent, spouse, domestic partner, or any other
individual related by blood or affinity, a contractor may also require the employee to provide
reasonable documentation of the family or family-like relationship. The documentation
provided by the employee could be a legal or other document proving the relationship, such
as a birth certificate or court order, or could be a simple written statement by the employee.
References:
29 CFR 13.5(e)

(d) Requesting certification or documentation
(1) Certification or documentation may be required only if a contractor informs an
employee before the employee returns to work that such certification or
documentation will be required if the employee is absent for 3 or more consecutive
workdays.
(2) A contractor may inform an employee of this requirement each time the employee
requests to use or uses paid sick leave, or the contractor may inform employees of a
general policy to require certification or documentation for absences of 3 or more
consecutive full workdays if it does so in a manner reasonably calculated to provide
actual notice of the requirement to employees.
(3) Certification or documentation may be required within 30 days of the first day of the
3 or more consecutive full workdays of paid sick leave. A contractor may not
establish a shorter deadline for the submission.
References:
29 CFR 13.5(e)(3)(i)–(ii)

(e) Reviewing certification or documentation
(1) While a contractor is waiting for or reviewing certification or documentation, it must
treat an employee’s otherwise proper request as valid.
(2) If an employee provides certification or documentation that is not sufficient to verify
the need for paid sick leave, a contractor must allow the employee at least 5 days to
provide new or supplemental certification or documentation.

(3) If an employee has not provided the requested certification within 30 days of the first
day of the 3 or more consecutive full workdays of paid sick leave, has not provided
new or supplemental certification or documentation within the required time period
of no fewer than 5 days, or has submitted new or supplemental certification or
documentation that is still insufficient, a contractor may retroactively deny the
request for paid sick leave within 10 calendar days of the employee’s deadline for
resubmission.
(4) A contractor may recover the value of the pay and benefits an employee received
through deductions from any money due to the employee (e.g., unpaid wages,
vacation pay, profit sharing, etc.), provided such deductions do not violate any
applicable federal, state, or local laws.
References:
29 CFR 13.5(e)(3)(iii)

(f) Authentication or clarification
(1) A contractor may contact the health care provider or other individual who created or
signed the certification or documentation only for purposes of authenticating the
document or clarifying its contents.
a. Authentication means verifying that the health care provider or other
individual did in fact create or sign the certification or documentation.
b. Clarification means contacting the health care provider or other individual to
understand the illegible handwriting or other unreadable text or ask for an
explanation of the meaning of words used or information contained in the
certification.
(2) A contractor may not request additional details about the medical or other condition,
seek a second opinion, or otherwise question the certification or documentation.
(3) If made, this contact must be by a human resource professional, leave administrator,
or management official. An employee’s direct supervisor cannot contact the
employee’s healthcare provider or other individual unless there is no other
appropriate person who can do so.
References:
29 CFR 13.5(e)(4)

19L CONTRACTING AGENCY REQUIREMENTS
19L00 Including the required contract clause.
(a) Contract clause
A contracting agency must include the EO paid sick leave contract clause set forth in
Appendix A of 29 CFR part 13
in all covered contracts and solicitations for such contracts, as
described in 29 CFR 13.3, except for procurement contracts subject to 48 CFR 52.222-62.
The clause at 48 CFR 52.222-62 must be inserted into any procurement contract subject to

EO 13706 and the FAR. The required contract clause directs, as a condition of payment, that
all employees performing work on or in connection with covered contracts must be provided
with paid sick leave as required by EO 13706 and 29 CFR part 13
.
References:
29 CFR 13.11(a)

(b) Failure to include the contract clause
Where the DOL or contracting agency discovers or determines, whether before or after
contract award, that the contracting agency made an erroneous determination that EO 13706
and 29 CFR part 13
did not apply to a particular contract, and/or failed to include the
applicable contract clause in a contract to which EO 13706 applies, the contracting agency,
on its own initiative or within 15 calendar days of notification by an authorized representative
of the DOL, must incorporate the contract clause in the contract, retroactive to the beginning
of performance under the contract through the exercise of any and all authority that may be
needed (including, where necessary, its authority to negotiate or amend, its authority to pay
any necessary additional costs, and its authority under any contract provision authorizing
changes, cancellation, and termination).
References:
29 CFR 13.11(a)

19L01 Withholding funds from, or suspending payment to, noncompliant contractors.
(a) A contracting officer must, upon their own action or upon written request of an authorized
representative of the DOL, withhold or cause to be withheld from a prime contractor under a
covered contract, or any other federal contract with the same prime contractor, so much of the
accrued payments or advances as may be considered necessary to pay employees the full
amount owed to compensate for any violation of the EO or 29 CFR part 13. See
29 CFR
13.11(c).
(b) In the event of any such violation, a contracting agency may, upon authorization or upon the
direction of the Administrator of the WHD (Administrator) and written notification to the
contractor, take action to cause suspension of any further payment, advance, or guarantee of
funds until the violations have ceased. Additionally, any failure to comply with the
requirements of EO 13706 or 29 CFR part 13
may be grounds for termination of the right to
proceed with the contract work. In such event, the contracting agency may enter into other
contracts or arrangements for completion of the work, charging the contractor in default with
any additional cost.
(c) A contracting officer must, upon their own action or upon the direction of the WHD and
written notification of the contractor, take action to cause suspension of any further payment,
advance, or guarantee of funds to a contractor that has failed to make available for inspection,
copying, and transcription any of the records identified in 29 CFR 13.25
(and also listed at
FOH 19m03). See 29 CFR 13.11(d).
References:
29 CFR 13.11(c)–(d)

29 CFR 13.25

19L02 Action on complaints.
(a) Reporting time frame
A contracting agency must forward all information specified at 29 CFR 13.11(e)(2)
to the
local office of the WHD within 14 calendar days of receipt of a complaint alleging a
contractor’s noncompliance with EO 13706, or within 14 calendar days of being contacted by
the WHD regarding any such complaint. See
29 CFR 13.11(e).
References:
29 CFR 13.11(e)

(b) Report contents
(1) A contracting agency must forward to the local offices of the WHD any:
a. complaint of contractor’s noncompliance with EO 13706 or 29 CFR part 13
;
b. available statements by an employee, contractor, or any other person
regarding the alleged violation;
c. evidence that the EO 13706 contract clause was included in the contract;
d. information concerning known settlement negotiations between the parties, if
applicable; and
e. any other relevant facts known to the contracting agency or other information
requested by the WHD.
References:
29 CFR 13.11(e)

19m CONTRACTOR REQUIREMENTS
19m00 Contract clause.
(a) As required by 29 CFR 13.11(a), executive departments and agencies must include the
applicable EO paid sick leave contract clause, either the contract clause set forth in Appendix
A of
29 CFR part 13 or the contract clause set forth in 48 CFR 52.222-62 depending on the
type of contract, in any new contracts and solicitations for contracts covered by EO 13706.
This contract clause and the regulations require that contractors allow employees performing
work on or in connection with covered contracts to accrue and use paid sick leave as required
by the EO and
29 CFR part 13. See 29 CFR 13.21–.22.
(b) A contractor, as a condition of payment, must abide by the terms of the applicable EO paid
sick leave contract clause referred to in 29 CFR 13.11(a)
.
(c) Prime contractors and upper-tier subcontractors must insert the EO paid sick leave contract
clause in any covered subcontracts and must require, as a condition of payment, that
subcontractors include the clause in all lower-tier subcontracts.

(d) It is the responsibility of the prime contractor and upper-tier contractor(s) to ensure
compliance by any covered subcontractor(s) or lower-tier subcontractor(s) with the EO paid
sick leave contract clause. See 29 CFR 13.21(b)
.
References:
29 CFR 13.21–.22

29 CFR 13.11(a)
19m01 Deductions.
(a) A contractor may make deductions from the pay and benefits of an employee who is using
paid sick leave only if the deductions qualify as:
(1) deductions required by federal, state, or local law, including federal or state
withholding of income taxes;
(2) deductions for payments made to third parties pursuant to court orders, such as those
made for child support;
(3) deductions directed by a voluntary assignment of the employee or their authorized
representative, including deductions for U.S. savings bonds, union dues, and
payments to charitable organizations;
(4) deductions made for the reasonable cost or fair value, as determined by the
Administrator, of furnishing such employee with board, lodging, or other facilities.
Deductions for these items must be in compliance with 29 CFR part 531
; or
(5) deductions, to the extent permitted by law, for the purpose of recouping pay and
benefits provided for paid sick leave that was retroactively denied pursuant to
29
CFR 13.5(e)(3)(iii), or because the contractor approved the use of paid sick leave
based on a request that was determined to be fraudulent.
References:
29 CFR 13.23

29 CFR 13.5(e)(3)(iii)
29 CFR part 531
19m02 Anti-kickback.
All paid sick leave used by an employee performing work on or in connection with covered
contracts must be paid free and clear and without subsequent deduction (except as set forth in
29 CFR 13.23
), rebate, or kickback on any account. Kickbacks directly or indirectly to a
contractor or another person for the contractor’s benefit for the whole or part of the paid sick
leave are prohibited. See
FOH 19n04.
References:
29 CFR 13.24

19m03 Interference and Discrimination.

Contractors are prohibited from interfering with an employee’s accrual or use of EO 13706
paid sick leave and from discharging or in any other way discriminating against an employee
for using or attempting to use EO 13706 paid sick leave, filing a complaint, cooperating in
any investigation or proceeding under the EO, or informing any other person about their
rights under the EO. See FOH 19n00 and 19n01
.
References:
29 CFR 13.6

19m04 Records to be kept by contractors.
(a) As provided under 29 CFR 13.25(a), a covered contractor and subcontractor must make and
maintain, during the course of the covered contract, and preserve for no fewer than 3 years
thereafter, the following required records:
(1) Name, address, and social security number of each employee;
(2) Employee’s occupation(s) or classification(s);
(3) Rate or rates of wages paid, including all pay and benefits provided;
(4) Number of daily and weekly hours worked by each employee;
(5) Any deductions made;
(6) Total wages paid, including all pay and benefits provided each pay period;
(7) A copy of notifications to employees of the amount of paid sick leave the employees
have accrued as required by 29 CFR 13.5(a)(2) and described in FOH 19e00
;
(8) A copy of all employee requests to use paid sick leave if in writing or, if not in
writing, any other records reflecting such employee requests;
(9) Dates and amounts of paid sick leave used by employees (unless a contractor’s PTO
policy satisfies the requirements of EO 13706 and 29 CFR part 13 as described in
29
CFR 13.5(f)(5) and FOH 19h, the leave must be designated in records as paid sick
leave pursuant to EO 13706);
(10) A copy of any written responses to employees’ requests to use paid sick leave,
including explanations for any denials of such requests, as required by
29 CFR
13.5(d)(3) and described in FOH 19k02;
(11) Any records relating to the certification and documentation a contractor may require
an employee to provide under 29 CFR 13.5(e)
, including copies of any certification
or documentation provided by an employee;
(12) Any other records showing any tracking of or calculations related to an employee’s
accrual and/or use of paid sick leave;
(13) Relevant covered contract;

(14) Regular pay and benefits provided to an employee for each use of paid sick leave;
and
(15) Any financial payment made for unused paid sick leave upon a separation from
employment pursuant to 29 CFR 13.5(b)(5)
intended to relieve a contractor from the
obligation to reinstate such paid sick leave as otherwise required by 29 CFR
13.5(b)(4).
(b) If a contractor wishes to distinguish between an employee’s covered and noncovered work,
such as performing work on or in connection with covered contracts versus time spent
performing work on or in connection with noncovered contracts, or to establish that time
spent performing work in connection with covered contracts was less than 20 percent of the
employee’s hours worked in a particular week, the contractor must keep records or other
proof reflecting these distinctions.
(c) If a contractor estimates covered hours worked by an employee who performs work in
connection with covered contracts as permitted by 29 CFR 13.5(a)(1)(i) or (iii)
, the contractor
must keep records or proof of the verifiable information on which the estimates are based.
(d) If a contractor is not obligated by the SCA, DBA, or FLSA to keep records of an employee’s
hours worked because, for example, the employee is employed in a bona fide executive,
administrative, or professional capacity as defined by 29 CFR part 541
, and the contractor
uses the assumption permitted by 29 CFR 13.5(a)(1)(iii), the contractor is not required to
keep records of daily and weekly hours worked.
(e) Records relating to medical histories or domestic violence, sexual assault, or stalking created
by or provided to a contractor for purposes of EO 13706 must be maintained as confidential
records separately from the usual personnel files and records. If the confidentiality
requirements of the Genetic Information Nondiscrimination Act of 2008, section 503 of the
Rehabilitation Act of 1973, and/or the Americans with Disabilities Act apply to medical
information contained in records or documents that the contractor created or received in
connection with compliance with the recordkeeping or other requirements of this part, the
records and documents must be maintained in compliance with these requirements as well.
The contractor must not disclose any documentation used to verify the need to use 3 or more
consecutive days of paid sick leave for the purposes listed in 29 CFR 13.5(c)(1)(iv)
(as
described in 29 CFR 13.5(d)(2)) and must maintain confidentiality about any domestic abuse,
sexual assault, or stalking, unless the employee consents or when disclosure is required by
law.
(f) A contractor must make the above records available for inspection and transcription by the
WHD. A contractor is also required to permit authorized representatives of the WHD to
conduct interviews of employees at the worksite during normal working hours.
(g) The general recordkeeping and related requirements for a contractor under EO 13706 are
partially derived from the FLSA, SCA, and DBA. EO 13706 does not limit or otherwise
modify the contractor’s recordkeeping obligations, if any, under the DBA, SCA, FLSA,
FMLA, EO 13658, or their implementing regulations, or any other applicable law.
References:
29 CFR 13.25

19m05 Notice to employees.
A contractor must notify all employees performing work on or in connection with a covered
contract of the paid sick leave requirements of EO 13706 by posting a notice provided by the
DOL in a prominent and accessible place at the worksite. The poster is available at the
WHD’s government contracts, EO 13706
website. A contractor that customarily posts
notices to employees electronically may post the EO 13706 notice electronically as well.
References:
29 CFR 13.26

19n PROHIBITED ACTIONS
19n00 Interference.
(a) A contractor is prohibited from interfering with an employee’s accrual or use of EO 13706
paid sick leave by, for example:
(1) miscalculating the amount of paid sick leave accrued by the employee;
(2) denying or unreasonably delaying a response to a proper request to use paid sick
leave;
(3) discouraging the employee from using paid sick leave;
(4) reducing the employee’s accrued paid sick leave by more than the amount of such
leave used;
(5) transferring the employee to noncovered contracts for the purpose of preventing the
employee from accruing or using paid sick leave;
(6) disclosing confidential information received to certify or document the need to use
paid sick leave; or
(7) making the use of paid sick leave contingent on the employee’s finding a replacement
worker or the fulfillment of the contractor’s operational needs. See 29 CFR 13.6(a)
.
Scenario 1:
A contractor denies a request to use paid sick leave for an appointment with a clinical social
worker because the contractor mistakenly believes a clinical social worker is not a health care
provider.
Scenario 2:
A contractor denies a request to use paid sick leave to accompany an employee’s sister to a
court proceeding regarding stalking because the contractor does not believe the employee can
use paid sick leave for a family member’s legal proceeding related to stalking.
References:
29 CFR 13.44(a)

19n01 Discrimination.
(a) A contractor is prohibited from discharging or in any other way discriminating against an
employee for:
(1) using, or attempting to use, EO 13706 paid sick leave;
(2) filing a complaint;
(3) cooperating in any investigation or proceeding under the EO; or
(4) informing any other person about their rights under the EO. See 29 CFR 13.6(a)
.
(b) Examples of discriminatory acts include, but are not limited to, reassigning an employee to
fewer or less preferable shifts, to a less well-paid position, or to noncovered contracts, or
using a request for or use of leave as a negative factor in a hiring, promotion, or disciplinary
decision. See 29 CFR 13.6(b)
.
(c) To the extent it is supported by case law in the jurisdiction, the prohibition against
discrimination applies even in situations where there is no current employment relationship
between the parties so that it protects against discrimination by a prospective or former
employer.
Scenario:
A contractor could not refuse to hire an employee to perform work on or in connection with a
covered contract because the contractor would then be required to reinstate the employee’s
unused paid sick leave from prior covered work.
References:
29 CFR 13.44(b)

29 CFR 13.6
Field Assistance Bulletin No. 2022-02
(d) Employees who engage in fraud
(1) An employee who engages in fraud is not entitled to the benefits or protections
afforded by the EO.
(2) A contractor may investigate situations in which it believes an employee has
committed fraud.
(3) If a contractor determines, based on a reasonable investigation of the circumstances,
that an employee has abused paid sick leave, it may respond appropriately, such as by
recouping (to the extent permitted by law) pay and benefits provided when the
employee used paid sick leave based on a request premised on false information or
by imposing discipline on the employee.
(4) In the absence of verification of abuse, however, a contractor must permit an
employee to accrue and use paid sick leave as required by the EO.
19n02 Recordkeeping.

Failure to make and maintain the records required by 29 CFR 13.25, or make them available
to representatives of the WHD, constitutes a violation of EO 13706, 29 CFR part 13, and the
underlying contract. See 29 CFR 13.6(c).
References:
29 CFR 13.6(c)

19n03 Waiver of rights.
An employee cannot waive, nor may a contractor induce an employee to waive, their rights
under EO 13706 or 29 CFR part 13. See 29 CFR 13.7
. This is consistent with the
longstanding principle that an employee’s rights and remedies under the FLSA, including
payment of minimum wage and back wages, cannot be waived or abridged by a contract.
References:
29 CFR 13.7

Tony & Susan Alamo Found. v. Sec’y of Labor, 471 U.S. 290, 302 (1985)
Barrentine v. Arkansas-Best Freight Sys., Inc., 450 U.S. 728, 740 (1981)
19n04 Anti-k ickback.
All paid sick leave used by an employee performing on or in connection with covered
contracts must be paid free and clear and without subsequent deduction (except as permitted
by 29 CFR 13.23), rebate, or kickback on any account. Kickbacks directly or indirectly to the
contractor or another person for the contractor’s benefit for the whole or part of paid sick
leave are prohibited, and may subject violating contractors to civil penalties under the Anti-
Kickback Act, 41 USC 8701-07.
References:
29 CFR 13.24

19o COMPLAINTS AND REMEDIES
19o00 Complaints and investigations.
Any employee, contractor, labor organization, trade organization, contracting agency, or
other person or entity that believes a violation of EO 13706 has occurred can file a complaint
with any office of the WHD. The identity of any individual making an oral or written
complaint will be kept confidential and will not be disclosed in any manner to anyone other
than Federal officials without the prior consent of the individual. Disclosures of such
statements will be governed by the provisions of the Freedom of Information Act, 5 U.S.C.
552, 29 CFR part 70
and the Privacy Act of 1974, 5 U.S.C. 552a. The WHD may investigate
possible violations of EO 13706 or 29 CFR part 13 in response to a complaint or at any time
on its own initiative. Investigations may include interviews with contractors and employees
and inspection of records, as well as require the production of documents or other evidence
necessary to determine whether a violation has occurred.
References:
29 CFR 13.41–.43

19o01 Remedies.

(a) Interference and discrimination violations
(1) When the Administrator determines that a contractor fails to comply with the
prohibition against interference and discrimination at 29 CFR 13.6(a) and (b)
, the
Administrator will notify the contractor and contracting agency and request that the
contractor remedy the violations. The Administrator will direct the contractor to
provide any appropriate relief to the affected employee(s).
(2) If the violation is interference with an employee’s accrual or use of paid sick leave,
relief may include any pay and/or benefits denied or lost because of the violation,
actual monetary losses caused by the violation, or other appropriate equitable or other
relief.
(3) If the violation is discrimination against an employee, relief may include
employment, reinstatement, promotion, restoration of leave, or lost pay and/or
benefits.
(4) For either type of violation, the Administrator can direct payment of liquidated
damages equal to any monetary relief unless the amount is reduced because the
violation was in good faith and the contractor had reasonable grounds for believing it
had not violated the EO. The Administrator can also direct that payments due on the
contract or any other contract between the contractor and the Federal Government be
withheld as necessary to provide appropriate monetary relief.
References:
29 CFR 13.44(a)–(b)

(b) Recordkeeping violations
When a contractor fails to comply with the requirements of 29 CFR 13.25 in violation of
29
CFR 13.6(c), the Administrator will request that the contractor remedy the violation. If the
contractor fails to produce the required records upon request, the contracting officer, at the
direction of the DOL or under its own direction, will take such action as necessary to cause
suspension of any further payment or guarantee of funds on the contract until the violations
cease. See
29 CFR 13.44(c).
References:
29 CFR 13.6(c)

29 CFR 13.25
29 CFR 13.44(c)
19o02 Debarment.
When a contractor is found to have disregarded its obligations under EO 13706 or 29 CFR
part 13, the contractor and its responsible officers, and any firm, corporation, partnership, or
association in which the contractor or its responsible officers have an interest, will be
ineligible to be awarded any contract or subcontract subject to EO 13706 for up to 3 years
from the date of publication of the name of the contractor or its responsible officers on the
excluded parties list currently at
www.SAM.gov. See 29 CFR 13.44(d).
References:

29 CFR 13.44(d)
19o03 Civil actions to recover underpayments.
If payments withheld under 29 CFR 13.11(c) are not sufficient to reimburse all the monetary
relief due, or if there are no payments to withhold, the DOL, following a final order of the
Secretary, can bring an action against a contractor to recover the remaining amount. See 29
CFR 13.44(e).
References:
29 CFR 13.11(c)

29 CFR 13.44(e)
19o04 Retroactive inclusion of contract clauses.
If a contracting agency fails to include the applicable contract clause in a contract to which
EO 13706 applies, the contracting agency, on its own initiative or within 15 calendar days of
notification by the DOL, must incorporate the clause in the contract retroactive to the
beginning of performance through the exercise of any and all authority that may be needed.
See 29 CFR 13.44(f)
.
References:
29 CFR 13.44(f)

19p ADMINISTRATIVE DISPUTE PROCEEDINGS
19p00 Contractor compliance disputes.
(a) Disputes where it appears relevant facts are at issue
(1) If there is a dispute in which it appears that relevant facts are at issue concerning a
contractor’s compliance with 29 CFR part 13, the Administrator on their own motion,
or upon the request of the contractor, will notify the affected contractor(s) of the
investigative findings by certified mail.
(2) If the contractor wants a hearing regarding the findings, it must request a hearing
within 30 days of the date of the Administrator’s letter.
(3) Upon receiving a timely request for a hearing, the Administrator will refer the case to
the Chief Administrative Law Judge (ALJ) to conduct a hearing as may be necessary.
References:
29 CFR 13.51

(b) Disputes where it appears no relevant facts are at issue
(1) If there is a dispute in which it appears that no relevant facts are at issue, and no
reasonable cause to initiate debarment proceedings, the Administrator will notify the
contractor(s) and issue a ruling letter.

(2) If the contractor disagrees with the factual findings of the Administrator, the
contractor must advise the Administrator within 30 days of the date of the
Administrator’s letter.
(3) If the Administrator determines that relevant facts are at issue, the Administrator will
refer the case to the Chief ALJ for a hearing.
(4) If a contractor wants a review of the ruling of the Administrator, it must file a petition
for review with the Administrative Review Board (ARB) within 30 days of the
ruling.
(c) If a timely response to the Administrator’s investigative findings letter or ruling letter is not
made, or a timely petition for review is not filed, the Administrator’s letter becomes the final
order of the Secretary. However, if a timely response or petition for review is filed, the
Administrator’s letter is inoperative unless and until the decision is upheld by an ALJ, the
ARB, or otherwise becomes a final order. See 29 CFR 13.51(d)
.
References:
29 CFR 13.51(d)

19p01 Debarment proceedings.
When the Administrator finds reasonable cause to believe that a contractor has disregarded its
obligations to employees or subcontractors, the Administrator must notify the contractor and
its responsible officers by certified mail of the findings. The contractor and any other parties
will be notified of the opportunity for a hearing as to whether they should be debarred, and be
furnished with a summary of the investigative findings. A request for a hearing must be
made within 30 days of the Administrator’s letter advising of the investigative findings and
must set forth any findings that are in dispute. Upon receiving a timely request, the
Administrator will refer the case to the Chief ALJ for a hearing. See 29 CFR 13.52
.
References:
29 CFR 13.52

19p02 Consent findings.
Any time before the receipt of evidence, or at the discretion of the ALJ before a decision is
issued, the parties can enter into consent findings and an order disposing of the proceeding in
whole or in part. See 29 CFR 13.54
.
References:
29 CFR 13.54