McNamara-O'Hara Service Contract Act (SCA)

The McNamara-O’Hara Service Contract Act requires contractors and subcontractors performing services on prime contracts in excess of $2,500 to pay service employees in various classes no less than the wage rates and fringe benefits found prevailing in the locality, or the rates (including prospective increases) contained in a predecessor contractor's collective bargaining agreement. The Department of Labor issues wage determinations on a contract-by-contract basis in response to specific requests from contracting agencies. These determinations are incorporated into the contract.

For contracts equal to or less than $2,500, contractors are required to pay the federal minimum wage as provided in Section 6(a)(1) of the Fair Labor Standards Act.

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

Service Contract Act prevailing wage resources

SCA laws and regulations

Review laws and regulations relevant to the McNamara-O'Hara Service Contract Act (SCA)

View SCA relevant laws

SCA coverage

Learn about the SCA's purpose, requirements and coverage for applicable federal construction projects.

Learn about coverage

SCA compliance principles

Find basic information regarding major aspects of compliance with the Service Contract Act standards.

View compliance topics

Variances and exemptions

Learn about reasonable limitations, variations and exemptions to SCA provisions that DOL may make in special circumstances.

Learn more about expemptions

SCA wage determinations

Find SCA requirements for providing wage and fringe benefit rates to service employees on contracts subject to the McNamara-O'Hara Service Contract Act.

View requirements for wages and benefits under the SCA

SCA conformances

Find information on how to propose job titles and wage rates for occupations that are not listed in the applicable SCA wage determination.

View the process for conformances on SCA

 

Quick links: SCA posters, fact sheets, forms, and training

  • Fact Sheet 39F — The Payment of Special Minimum Wages to Workers with Disabilities Who Are Employed on Federal Service Contracts Subject to the McNamara-O'Hara Service Contract Act

  • Fact Sheet 17a — Exemption for Executive, Administrative, Professional, Computer & Outside Sales Employees Under the Fair Labor Standards Act

    • Fact Sheet 17a — Spanish Version – Exención para ejecutivos, administradores, profesionales y empleados de la informática y de ventas exteriores bajo la Ley de Normas Razonables de Trabajo (FLSA-en sus siglas en inglés)

  • Fact Sheet 22 — Hours Worked Under the Fair Labor Standards Act

  • Fact Sheet 23 — Overtime Pay Requirements of the FLSA

  • Fact Sheet 44 — Visits to Employers

  • Fact Sheet 67 — The McNamara-O’Hara Service Contract Act (SCA)

  • Fact Sheet 67B — Meeting Requirements for Service Contract Act (SCA) Fringe Benefits

  • Fact Sheet 67C — Application of the McNamara-O’Hara Service Contract Act (SCA) to U.S. Postal Service Mail Haul Contracts

  • Additional Fact Sheets

Find interpretations of statutory provisions, procedures for conducting investigations, and general administrative guidance in our the Field Operations Handbook. 

Field Operations Handbook - Chapter 14 (PDF): The McNamara-O'Hara Service Contract Act