IMPLEMENTED IN THE FAR (FAC 2005-42)
Procurement Information Circular
October 15, 2009
CLASS DEVIATION FROM FAR 52.222-8, PAYROLLS AND BASIC RECORDS
PURPOSE: To provide a class deviation from FAR 52.222-8, Payrolls and Basic Records, to relieve contractors of the requirement to include social security numbers and other personal identity information on payroll and basic records.
BACKGROUND: In response to growing concerns over identity theft, The Department of Labor (DOL) recently implemented changes to their regulations issued pursuant to the Davis-Bacon Act and the Copeland Anti-Kickback Act. DOL no longer requires the reporting of full social security numbers and home addresses of employees for purposes of payroll records. (73 FR 77504, Dec, 19, 2008) Accordingly, the Federal Government should no longer request this information in conjunction with contract performance. Until a permanent change is made to FAR 52.222-8, this deviation will serve as authority to remove the reporting requirements for full social security numbers and addresses of contractor employees, when such records are a contract requirement under FAR 52.222-8.
GUIDANCE: FAR Clause 52.222-8 is hereby changed by removing the current paragraph (b)(1) and replacing it with the revised paragraph (b)(1) as indicated below. Effective immediately, the deviated clause shall be used in solicitations and contracts issued after the date of this deviation. Contracting officers may modify existing contracts to include the deviation, consistent with FAR 1.108(d).
EFFECTIVE DATE: This PIC is effective as dated and shall remain in effect until FAR 52.222-8 is revised to include the change described herein.
HEADQUARTERS CONTACT: Leigh Pomponio, Contract Management Division, (202) 358-0592, e-mail: firstname.lastname@example.org.
William P. McNally
Assistant Administrator for
As prescribed in 22.407(a), insert the following clause:
PAYROLLS AND BASIC RECORDS
(a) Payrolls and basic records relating thereto shall be maintained by the Contractor during the course of the work and preserved for a period of 3 years thereafter for all laborers and mechanics working at the site of the work. Such records shall contain the name, address, and social security number of each such worker, his or her correct classification, hourly rates of wages paid (including rates of contributions or costs anticipated for bona fide fringe benefits or cash equivalents thereof of the types described in section 1(b)(2)(B) of the Davis-Bacon Act), daily and weekly number of hours worked, deductions made, and actual wages paid. Whenever the Secretary of Labor has found, under paragraph (d) of the clause entitled Davis-Bacon Act, that the wages of any laborer or mechanic include the amount of any costs reasonably anticipated in providing benefits under a plan or program described in section 1(b)(2)(B) of the Davis-Bacon Act, the Contractor shall maintain records which show that the commitment to provide such benefits is enforceable, that the plan or program is financially responsible, and that the plan or program has been communicated in writing to the laborers or mechanics affected, and records which show the costs anticipated or the actual cost incurred in providing such benefits. Contractors employing apprentices or trainees under approved programs shall maintain written evidence of the registration of apprenticeship programs and certification of trainee programs, the registration of the apprentices and trainees, and the ratios and wage rates prescribed in the applicable programs.
(1) The Contractor shall submit weekly for each week in
which any contract work is performed a copy of all payrolls to the Contracting
Officer. The payrolls submitted shall set out accurately and completely all of
the information required to be maintained under paragraph (a) of this clause.
This information may be submitted in any form desired. Optional Form WH-347
(Federal Stock Number 029-005-00014-1) is available for this purpose and may be
purchased from the -- Superintendent of
U.S. Government Printing Office
Washington, DC 20402
The Prime Contractor is
responsible for the submission of copies of payrolls by all subcontractors.
(1) The Contractor shall submit weekly
for each week in which any contract work is performed a copy of all payrolls to
the Contracting Officer. The payrolls submitted shall set out accurately and
completely all of the information required to be maintained under 29CFR
5.5(a)(3)(i), except that full social security numbers and home addresses shall
not be included on weekly transmittals. Instead the payrolls shall only need to
include an individually identifying number for each employee (e.g., the last
four digits of the employee’s social security number). The required weekly
payroll information may be submitted in any form desired. Optional Form WH-347
is available for this purpose from the Wage and Hour Division Web site at http://www.dol.gov/esa/whd/forms/wh347instr.htm
or its successor site. The Prime Contractor is responsible for the submission
of copies of payrolls by all subcontractors. Contractors and subcontractors
shall maintain the full social security number and current address of each
covered worker, and shall provide them upon request to the Contracting Officer,
the contractor, or the Wage and Hour Division of the Department of Labor for
purposes of an investigation or audit of compliance with prevailing wage
requirements. It is not a violation of this section for a prime contractor to
require a subcontractor to provide addresses and social security numbers to the
prime contractor for its own records, without weekly submission to the
(2) Each payroll submitted shall be accompanied by a “Statement of Compliance,” signed by the Contractor or subcontractor or his or her agent who pays or supervises the payment of the persons employed under the contract and shall certify --
(i) That the payroll for the payroll period contains the information required to be maintained under paragraph (a) of this clause and that such information is correct and complete;
(ii) That each laborer or mechanic (including each helper, apprentice, and trainee) employed on the contract during the payroll period has been paid the full weekly wages earned, without rebate, either directly or indirectly, and that no deductions have been made either directly or indirectly from the full wages earned, other than permissible deductions as set forth in the Regulations, 29 CFR Part 3; and
(iii) That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash equivalents for the classification of work performed, as specified in the applicable wage determination incorporated into the contract.
(3) The weekly submission of a properly executed certification set forth on the reverse side of Optional Form WH-347 shall satisfy the requirement for submission of the “Statement of Compliance” required by subparagraph (b)(2) of this clause.
(4) The falsification of any of the certifications in this clause may subject the Contractor or subcontractor to civil or criminal prosecution under Section 1001 of Title 18 and Section 3729 of Title 31 of the United States Code.
(c) The Contractor or subcontractor shall make the records required under paragraph (a) of this clause available for inspection, copying, or transcription by the Contracting Officer or authorized representatives of the Contracting Officer or the Department of Labor. The Contractor or subcontractor shall permit the Contracting Officer or representatives of the Contracting Officer or the Department of Labor to interview employees during working hours on the job. If the Contractor or subcontractor fails to submit required records or to make them available, the Contracting Officer may, after written notice to the Contractor, take such action as may be necessary to cause the suspension of any further payment. Furthermore, failure to submit the required records upon request or to make such records available may be grounds for debarment action pursuant to 29 CFR 5.12.
(End of Clause)