On June 23, 2022, the Department of Labor announced an increase to the rate for prevailing health and welfare benefits issued under the Service Contract Act.

Effective June 23, 2022, the rate is now $4.80 per hour, an increase from the 2021 rate of $4.60. This is good news to employees and employers with Service Contract Act work, as the fringe rate has lagged the increasing cost of providing benefits.

This year’s fringe rate announcement was included in All Agency Memorandum No. 239. You may also find All Agency Memorandum No. 239 in full below.

Keystone is exclusively focused on supporting the needs to government contractors. If you have questions on this notice or how to optimize revenue of your existing SCA contracts and enhance your SCA proposal efforts please reach out to one of our experts at info@kbgllc.com.