SCA/DBA certified payroll, multi-state fringe benefits, E-Verify, and audit-ready 941s for DCAA. One specialist who’s survived a DOL WH-347 audit and can get you through one too.
$0M–$10M
Single-contract loss from SCA debarment
First try
B.D.'s clean pass on the audit that killed the last prime
Zero
OFCCP compliance findings under Jenifer
SCA Wage Determinations
We map every covered employee to the right contract, locality, and occupational class, then update wage determinations proactively at each DOL renewal. With fringe credits tracked alongside.
Every covered employee mapped to the correct contract, locality, and occupational class. Wage determinations and fringe credits updated at every DOL renewal.
What you're exposed to DOL Wage-Hour recovery on SCA wage-determination misapplication + 3-year debarment under 41 USC §354. Single-contract loss: $1M–$10M.
In practice "SCA wage determinations used to eat three days of my week every quarter. Dave runs them now. The audit that killed our last contract-prime was a clean pass on the first try." B.D., Program Manager, 140-employee Utah federal contractor
E-Verify Mandate
Every new hire triggers an E-Verify query inside our onboarding workflow within the required window, with timestamped case results stored in the employee file for any contracting officer inquiry.
Every new hire cleared through E-Verify inside the FAR-required window. Timestamped case results stored in the employee file for any contracting officer inquiry.
What you're exposed to Knowing hire of unauthorized worker: $627–$25,076 per violation (2024 adjusted). Debarment risk on federal contracts.
In practice "I've written more handbooks than any auditor has read. I know what every state wants to see." Jenifer V, HR Advisor
OFCCP Affirmative Action
Our HRIS captures applicant flow, workforce composition, and compensation data in the exact format your AAP consultant needs. Ready the day an OFCCP review letter arrives.
Every applicant flow, workforce composition, and compensation data point captured in the exact format your AAP consultant needs. Ready the day an OFCCP review letter arrives.
What you're exposed to OFCCP compliance review finding: back pay + injunctive relief + potential contract cancellation. Median settlement: $250K per protected class.
In practice "Compliance is a phone call. Mine. You don't get a ticket number from me." Jenifer V, HR Advisor
Multi-State Contract Payroll
Our PEO handles state tax registration, the right minimum wage and overtime regime, and SCA fringe credits for each contract and locality. All on one unified payroll run.
Every state tax registration, minimum wage, overtime regime, and SCA fringe credit handled per contract and locality on one unified payroll run. All 50 states supported.
What you're exposed to Mis-run certified payroll (WH-347) on a federal project = back-wage recovery + 3× liquidated damages + debarment risk.
In practice "I reconcile every payroll to the cent. If the numbers don't match, I find the reason before Monday." Dave Harris, Accounting Lead
Contract Transition Retention
Large-group medical, dental, vision, and retirement plans. Plus responsive specialist-led HR support. Give incumbent employees a reason to stay when the contract re-competes.
100% of medical, dental, vision, and retirement enrollment administered, with carriers shopped on your behalf for competitive rates our carrier relationships earn. Specialist-led HR support through every re-compete.
What you're exposed to SCA service contract transition without successor-hiring compliance = unfair labor practice findings + contract clawback. Median settlement: $180K per transition.
In practice "If something's off, you hear from me before you notice. That's the whole job." Jena Glazier, Client Success Manager
From a 15-person federal service contractor to a 250-person defense subcontractor, our PEO model scales with your contract base.
SCA-covered service contractors providing facility management, administrative support, custodial services, and professional services to federal agencies. We handle SCA wage determination compliance, E-Verify, and multi-site workforce payroll for the full contract workforce.
Defense prime contractors and subcontractors with OFCCP compliance obligations, cleared workforce requirements, and multi-state operations. We provide the HR infrastructure and documentation framework that defense contractor compliance reviews require.
Federal IT contractors and professional services firms with geographically dispersed workforces, multiple contract vehicles, and OFCCP obligations. We handle multi-state payroll, benefits, E-Verify, and the HRIS infrastructure that government IT contract work requires.
A federal service contractor holding three SCA-covered task orders across six states was generating WH-347 certified payroll in spreadsheets every week. The controller spent most of each Monday re-keying wage determinations. When DOL issued a revised wage determination at option-year exercise, retroactive calculations took the better part of a week. An incoming DOL Wage and Hour Division inquiry surfaced gaps in the DBRA retention file.
Certified payroll now runs on schedule every week. Signed, timestamped, and archived without the controller rebuilding a spreadsheet. Wage determination changes at option-year exercise are handled inside the payroll engine. When the DOL inquiry closed, every certified payroll, wage determination, fringe reconciliation, and I-9 was available from the archive in minutes. The controller got Mondays back.
"We used to rebuild WH-347s every Monday. Now they just appear. Signed and filed."
Every regulation we handle on your behalf. Tap to expand.
The SCA requires federal service contractors to pay prevailing wages and fringe benefits determined by the DOL for each specific contract locality and occupation. Applying the wrong wage determination, or failing to update when a determination changes. Can trigger back pay liability, DOL investigation, and contract debarment.
How we solve this →Federal contractors subject to the FAR E-Verify clause must verify work authorization for all new hires. Not just contract workers. Failure to maintain a consistent E-Verify program with complete case documentation is a compliance gap that surfaces during contracting officer reviews and audits.
How we solve this →Federal contractors above certain threshold sizes must maintain written Affirmative Action Plans, track applicant flow data by race and gender, and have complete documentation ready when OFCCP selects them for a compliance review. Most small and mid-size contractors lack the HR infrastructure to maintain this documentation systematically.
How we solve this →Federal contracts often require employees across multiple states, and each state has different payroll tax registration requirements, wage and hour laws, and employment tax rates. Managing multi-state payroll compliance while also applying SCA wage determinations correctly requires HR infrastructure that most small contractors don't have.
How we solve this →When a federal service contract transitions to a new contractor, incumbent contractor employees. Who have built the institutional knowledge on that contract. Are not required to be rehired. Offering competitive benefits and maintaining strong employment relationships is the most effective way to retain key staff through contract transitions.
How we solve this →The most common questions we get from federal service contractors, defense contractors, and government IT executives.
Yes. Government contractors and subcontractors use PEOs to manage Service Contract Act compliance, OFCCP requirements, E-Verify obligations, and complex multi-state payroll for contract-based workforces. The PEO model is fully compatible with federal contracting requirements. Including the FAR E-Verify clause, and does not affect the contractor's legal standing on federal contracts.
The Service Contract Act requires that federal service contractors pay covered employees the prevailing wage rates and fringe benefits determined by the Department of Labor for the specific locality and occupation. These wage determinations affect payroll calculations for every covered employee and must be applied correctly on each contract. Failure to comply can result in back pay liability, DOL investigation, and contract debarment.
Yes. Federal contractors are required to use E-Verify for all new hires under the FAR E-Verify clause. We integrate E-Verify verification into the onboarding workflow, maintain required case documentation with timestamps, and provide audit-ready records for every new hire.
The Office of Federal Contract Compliance Programs (OFCCP) enforces equal employment opportunity requirements for federal contractors. Contractors above applicable thresholds must maintain written Affirmative Action Plans, track applicant and employee data by race and gender, and have complete documentation available for compliance reviews. We provide the HR data and documentation framework that supports your OFCCP compliance obligations alongside your AAP consultant or legal counsel.
SCA wage determinations include both wage rates and fringe benefit requirements. The fringe benefit obligation can be fulfilled through cash wages paid above the minimum wage rate, a bona fide benefit plan (medical, retirement), or a combination. Through our PEO, we help contractors structure benefit plans that satisfy SCA fringe benefit obligations through genuine plan value. Which is typically more cost-effective than paying the full fringe obligation in cash wages.
Yes. We generate WH-347 weekly certified payroll reports directly from your payroll data. No spreadsheet re-entry, no manual rate lookups. Each report is reviewed against the applicable wage determination before submission and archived so a DOL auditor can request any week from the last three years of DBRA retention and receive the record immediately.
Yes. Many contractors run both. Construction work under Davis-Bacon and service work under the SCA. Sometimes on the same prime contract. We configure each employee's labor mapping by contract, project, and classification so Davis-Bacon workers get the correct prevailing wage and fringe under the DBRA while SCA workers get the correct H&W and vacation entitlement under the applicable SCA wage determination. On one unified payroll run.
Wage determinations are updated by the DOL and can change at option year exercise, modification, or new task order. We monitor the Wage Determinations OnLine (WDOL / SAM.gov) system for updates tied to your contract vehicles, push changes into the payroll engine, back-calculate any retroactive adjustments, and document every rate change in the employee file so your compliance history is defensible.
Our audit-ready file package includes: signed WH-347s for every covered pay period, the applicable wage determinations, fringe benefit reconciliations, time and attendance records, I-9 and E-Verify documentation, employee classifications, and the DBRA retention trail for the full three-year window. When the DOL letter arrives, you forward it to your specialist and we assemble the response alongside your counsel.
Click any state to see minimum wage, paid leave, pay transparency laws, and upcoming deadlines.
Open state compliance map →Whether you're a 15-person service contractor or a 300-person defense subcontractor, we will show you exactly how our PEO handles SCA compliance, E-Verify, OFCCP documentation, and multi-state payroll. In one conversation.
Talk to a Federal Contractor HR Specialist → 855-565-8747
