Compliance Auditing
Worried about your compliance status? At Onsi Group, we specialize in keeping you up to date with the most current federal regulations and provisions. Let us help you reduce your risk and allow you to concentrate on expanding your business.
Are you prepared for a DOL Investigation?
Federal contracting can be a complex landscape, and ensuring compliance is paramount to avoiding disruptions and maintaining eligibility for lucrative contract opportunities. Onsi's team of subject matter experts specializes in navigating and interpreting the intricate provisions of key labor acts, including the Service Contract Act (SCA), Davis-Bacon Act (DBA), Davis-Bacon Related Acts (DBRA), and the Fair Labor Standards Act (FLSA).
Why Choose Onsi Group?
Accurate Employee Classification: We help you classify employees according to the Department of Labor's Directory of Occupation and Local Area Practice, ensuring compliance.
Conformance Request Documentation: Our experts assist you in completing and submitting the necessary documentation.
Vacation Entitlements: We guide you in determining whether to use the accrual or vesting method for vacation entitlements and along with appropriate payout obligations.
Fringe Benefit Verification: We verify employee holiday, sick, and vacation entitlements based on applicable wage determinations and/or collective bargaining agreements.
Employee Benefit Administration: We help you verify and validate the usage of health and welfare/fringe benefit dollars.
Competitive Advantage: Gain a competitive edge by staying compliant and well-prepared for DOL investigations.
Funding Deficiency Prevention: Avoid bona fide fringe benefit funding deficiencies that can hinder your operations.
Cost Overrun Prevention: We assess and prevent fringe benefit cost overruns, saving your business money.
Bid Support: Get expert bid support for prevailing wage contract pursuits.
Contract Profitability: Improve contract profitability by optimizing fringe benefits administration.
Price Adjustments: We facilitate price adjustments to ensure you remain competitive and compliant.
Compliance violations may result in SEVERE penalties
YOU COULD INCUR FINANCIAL LIABILITIES SUCH AS BACKPAY, PENALTIES, INTEREST, AND POSSIBLE
LIQUIDATED DAMAGES IN AN AMOUNT EQUAL TO ANY BACKPAY OWED!
YOUR CONTRACT COULD BE TERMINATED AND/OR PAYMENTS WITHHELD, INCLUDING CROSS
WITHHOLDING FROM OTHER FEDERAL CONTRACTS!
YOU COULD FACE DEBARMENT FROM FUTURE CONTRACTS FOR BOTH THE COMPANY AND
MANAGEMENT TEAM MEMBER(S) FOR UP TO 3 YEARS!
Service Contract Act (SCA) Compliance Auditing
Are you confident that your government contracts align with the requirements of the Service Contract Act (SCA)? Do you have SCA labor categories that you suspect might not be correctly classified? It's crucial to note that misclassification is the leading violation highlighted in Department of Labor investigations!
When you partner with Onsi Group for SCA compliance auditing, you gain access to a range of comprehensive services:
• Review of SCA Employee Occupational Classifications: Our expert team will meticulously assess your employee classifications to ensure they adhere to SCA guidelines.
• Health & Welfare Liability Understanding: We will collaborate with your team to provide a thorough understanding of the Health & Welfare liability associated with your SCA-covered contracts.
• Full Compliance Analysis: Our audit will encompass a comprehensive compliance analysis, including prevailing wages, vacation, holiday, sick leave, bona fide fringe benefits, "cash in-lieu-of" options, underpayments, overpayments, and more.
Upon completion of our audit, Onsi Group will furnish you with invaluable insights regarding the management of your prevailing wage contracts. Additionally, we'll offer guidance to enhance your company's profitability, streamline fringe benefit administration, and bolster your competitive edge in the future. Trust Onsi Group to safeguard your government contracts' SCA compliance.
Talk to an ExpertGet in touch with a representative.
Davis-Bacon Act (DBA) Compliance Auditing
Discover the essential practices for maintaining compliance when overseeing government-funded projects with our Davis-Bacon Act (DBA) Compliance Auditing service. Non-compliance with prevailing wage requirements can have severe consequences, such as back wage and fringe benefit claims, monetary fines, legal repercussions, and even debarment from future contracts.
Our target audience for these courses include:
• How to correct positions improperly classified
• Identify fringe benefit deficiencies or overpayments
• How to improve contract profitability as it relates to fringe benefit administration
• How to increase contract competitiveness
• And so much more!
Onsi Group offers valuable insights into managing your company's prevailing wage contracts, along with guidance to optimize profitability, streamline fringe benefit administration, and enhance your competitive edge in future projects.
Talk to an expertGet in touch with a representative.
Fair Labor Standards Act (FLSA) Compliance Auditing
Ensure your business's adherence to Fair Labor Standards Act (FLSA) regulations with Onsi Group's comprehensive FLSA Compliance Auditing services. Our expert team conducts a thorough review and analysis of your employees' wages, exemptions, duties, and responsibilities. We meticulously examine your company's employment policies, procedures, practices, and documentation to verify FLSA compliance, covering crucial aspects like minimum wage requirements, overtime pay, verifying and validating records, and child labor standards where applicable.
Participating in routine internal FLSA audits is highly recommended for employers to maintain compliance and avoid potential issues. Onsi Group is here to assist your organization in this endeavor. After the audit, we provide a comprehensive analysis of your compliance status and offer recommendations to address any deficiencies in meeting FLSA requirements and regulations.
Get in touch with a representative.
Our company's growth, in part, is secure due to Onsi's direct involvement. Our future expansion has been driven, also in part, by Onsi's ability to help position us in a changing marketplace.
Compliance Auditing FAQs
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If an employer has incorrectly classified an SCA employee as exempt, can he/she make changes to the employee's pay in order to come into compliance with the SCA?
Yes. An employer should make changes to its pay practices whenever non-compliant areas are discovered. Additionally, the employer is highly encouraged to make retroactive restitution for the time employees were paid in violation. Failure to do so may result in potential back wages and/or debarment proceedings brought against the employer by the Department of Labor (DOL). The typical investigation period for a DOL investigation is 2 years.
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Can an employer "promote" an employee to a salary exempt position in order to avoid paying Prevailing Wages and Health and Welfare?
29 CFR 541.100; 29 CFR 541.200; 29 CFR 541.300; 29 CFR 541.400
No. An employer cannot simply promote an employee, pay him/her on a salary and call him/her exempt, thereby relieving the company from the requirements of the SCA/DBA. For an employee to be considered an exempt employee and therefore not subject to the SCA/DBA’s compensation requirements, the employee must meet the requirements of 29 CFR Part 541, which defines and delimits the exemptions for executive, administrative, professional, computer and outside sales employees. -
DOL issued a new Wage Determination in the middle of my performance year, do I have to pay the new rates?
No. An employer is only bound by a Wage Determination after the Contracting Officer has incorporated it, officially, as part of the contract. Typically, the Wage Determination incorporated at the time of award or extension remains in effect for the entire period of performance, regardless of whether a new revision is issued by DOL in the middle of the period*.
*Only if an applicable wage determination itself, requires that the hourly wage rate be increased during the period of the contract, will a rate increase be required. -
Can I create a "blended hourly rate" to pay employees who work in two (2) or more different classifications?
29 CFR 4.169 Wage payments – work subject to different rates
No. “If an employee during a workweek works in different capacities in the performance of the contract and two (2) or more rates of compensation are applicable to the work which he or she performs, the employee must be paid the highest of such rates for all hours worked in the workweek unless it appears from the employer’s records […] which […] hours were […] spent in each class of work.” -
What hour types are subject to the health and welfar / fringe benefit rates?
29 CFR 4.175(a)
For SCA:Odd-numbered Wage Determinations (e.g. 2005-2531) – Unless otherwise specified in the applicabe Wage Determination (WD), health and welfare payments are due for all hours paid for, including paid vacation, sick leave, and holiday hours, up to a maximum of 40 hours per week and 2,080 hours per year on each contract.
Even-numbered Wage Determinations (e.g. 2005-2531) – Unless otherwise specificed on the applicable Wage Determination (WD), health and welfare payments are due for all hours worked, including overtime hours, but not including paid leave hours such as holiday, vacation or sick leave.
For DBA:Unless, otherwise specified in the applicable Wage Determination (WD) or Collective Bargaining Agreement (CBA), fringe benefit payments are due for all hours worked, including overtime hours, but not including paid leave hours such as holiday, vacation or sick leave.