Complying with the Federal Service Contract Act

Employee Benefits

In the ever-evolving world of employee benefits, employers are challenged with providing feature-rich plans for their employees while keeping costs down and remaining compliant. Add in another layer of complexity around federal service contract requirements, and the process becomes even more daunting for employers required to comply with the Service Contract Act (SCA).

As a contractor hired to perform federal services, it is your responsibility to provide your service employees with a benefit program that utilizes the Service Contract Act Health & Welfare fringe obligation. This includes the development of a bona fide benefits program that is compliant with ERISA, the Service Contract Act, and related Affordable Care Act provisions. The plan must meet the laws and regulations enforced by the IRS as well as State insurance laws.

To ensure all SCA requirements are met, outside legal counsel is often required. M3 has that covered.

Gretchen Flueckiger, J.D. is an employee benefits account executive at M3 specializing in SCA consulting and advising for government contractors.

Together with M3’s employee benefits team, Gretchen assists in the strategic design, implementation, and improvement of your employer-funded benefit program utilizing the SCA Health & Welfare fringe obligation. She can guide you through the process, ultimately improving your current benefit program and maximizing your company tax savings.

______________

Additional Reading:  Department of Labor webpage on SCA compliance and guidance.

Back to Insight Center