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This week marks the first partial federal government shutdown in 17 years. The shutdown started when the deadline to extend congressional spending authority passed without an agreement on a spending plan.

Amidst confusion among contractors and other parties, 51���� has formally requested that the U.S. Department of Labor’s Wage and Hour Division (WHD) further clarify the application of the Davis-Bacon Act to Survey Crews.  The request is in response to WHD’s March 2013 issuance of All-Agency Memorandum 212 (AAM 212).  The guidance states that “survey crew members who perform primarily physical and/or manual work immediately prior to or during actual construction, and in direct support of construction crews, will be considered laborers or mechanics when employed on the site of work.”

The U.S. Court of Appeals for the Sixth Circuit (Ky., Mich., Ohio, Tenn.) has upheld a Michigan statute that precludes state agencies from requiring or prohibiting their construction contractors and subcontractors to adhere to a project labor agreement (PLA).  The decision overturns a district court ruling that the Michigan Fair and Open Competition in Government Construction Act was invalid as preempted by the National Labor Relations Act (NLRA).

On Nov. 7, 2013, 51���� will host a webinar on the Office of Contract Compliance Programs’ (OFCCP) recently announced final rules regarding veterans and individuals with disabilities.  Both rules expand the affirmative-action obligations of direct federal contractors and their subcontractors with regard to the two protected groups.  The webinar will be held at 2:00 p.m. EST.

The Construction Labor Research Council (of which 51���� is a member) has released its second report of the year on collective bargaining settlements in the industry.  According to the report, settlements reported between January and September of this year resulted in an average first-year wage-and-benefit increase of 2.2 percent or $1.10.  For newly negotiated, multiyear agreements, the average second year increase was 2.6 percent or $1.31, and the average third-year increase was 2.7 percent or $1.43.  Each of these averages is higher than those negotiated in 2012.  In both years, the most common settlements were between 2.1 and 2.5 percent.

For employers that use E-Verify, on Sept. 9, 2013, the Tentative Nonconfirmation Notice (TNC) and Referral letter were combined to create the new Further Action Notice and Referral Date Confirmation.  The new notice provides employees with information and instructions related to TNCs and how to resolve them.

On Sept. 24, the U.S. Department of Labor’s Office of Federal Contract Compliance Program’s (OFCCP) long-anticipated final rules on veterans and individuals with disabilities (IWD) were posted in the Federal Register. Both rules increase the affirmative action requirements of direct federal contractors and subcontractors. The agency pre-released each of the final rules in August but announced that they would not go into effect until 180 days after being published. The effective date of both rules is March 24, 2014. However, for contractors with a written affirmative action program in place at that time, the affirmative action program requirements do not go into effect until the beginning of the next plan year.

On Sept. 18, the U.S. Department of Labor’s Employee Benefits Security Administration (EBSA) issued new guidance on employee benefit plans as they relate to same-sex marriages.  The guidance is in response to a June 2013 ruling by the U.S. Supreme Court on Section 3 of the Defense of Marriage Act (DOMA).

As the new Health Insurance Marketplace mandated by the Affordable Care Act (ACA) prepares to open on Oct. 1, 2013, employers subject to the Fair Labor Standards Act are reminded to distribute a notice of available coverage options in the Marketplace (i.e., Marketplace Notice) to employees.  The notice should be distributed to current employees by Oct. 1 and to new hires within 14 days of the employee’s start date.  This mandate is unaffected by the Administration’s decision to delay enforcement of ACA’s employer mandate.

On Aug. 27, the U.S. Department of Labor’s Office of Contract Compliance Programs (OFCCP) announced two final rules that will expand the affirmative-action obligations of direct federal contractors and their subcontractors with regard to veterans and individuals with disabilities.  The rules update regulations under the Vietnam Era Veterans’ Readjustment Assistance Act of 1974 (VEVRAA) and Section 503 of the Rehabilitation Act of 1973. Both rules will be effective 180 days from the date of publication in the Federal Register.  Publication is expected to occur within two weeks.