Contract Management, Inc., B-236749.3
Decision Date | 25 October 1989 |
Docket Number | B-236749.3 |
Parties | Contract Management, Inc. No. 89-2 CPD 377 |
Court | Comptroller General of the United States |
PROCUREMENT - Socio-Economic Policies - Labor standards - Service contracts - Wage rates - GAO review DIGEST: The General Accounting Office does not review Department of Labor wage determinations issued in connection with solicitations subject to the Service Contract Act.
Contract Management, Inc. (CMI), protests the terms of invitation for bids No. DAKF01-89-B-0013, issued by the Department of the Army for custodial services at the Presidio of San Francisco California.
We dismiss the protest.
The subject of the protest is a Department of Labor (DOL) wage rate determination, specifying the minimum wage and fringe benefits to be paid pursuant to the Service Contract Act of 1965 (SCA). The wage determination provides that janitors porters and cleaners employed on contracts for janitorial services contracts in San Francisco County, California, shall be paid a minimum hourly wage of $11.25. In addition, the wage determination provides:
The protester states that since it is the incumbent contractor and most of its employees have worked for it over 4, 000 hours during the past 2 years, were it to perform the new contract using its current work force it would have to pay a minimum hourly wage of $10.13. In contrast, it states, a competitor who hires new workers-- or the protester/incumbent's displaced workers-- must pay a minimum hourly wage of $7.88. The protester argues that this puts it at a competitive disadvantage and also serves to inflate the price to the government during option years. Alternatively, CMI contends that if it has misunderstood the wage determination, and if all bidders must pay a minimum hourly wage of $11.25, then the wage determination is ambiguous and bids should not be received and opened until a clarified wage determination is issued.
Even though the...
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