FAR and DFARS › DFARS Part 222

DFARS Part 222: Application of Labor Laws to Government Acquisitions

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

DFARS Part 222 implements labor laws for Department of Defense acquisitions, covering topics such as labor disputes, wage determinations, overtime, and special prohibitions. It matters to contractors because it imposes specific requirements for compliance, reporting, and contract clauses that affect how you bid and perform on defense contracts.

Key rules

Contracting officers must follow PGI 222.101-1 for referring labor relations matters to appropriate authorities. (222.101-1)
Contracting officers must follow PGI 222.101-3 for reporting labor disputes. (222.101-3)
Before removing items from a contractor's facility affected by a work stoppage, the contracting officer must contact the labor advisor to obtain the opinion of the Federal Mediation and Conciliation Service or other mediation. (222.101-4)
For stevedoring services during labor disputes, specific procedures must be followed in order, starting with attempting voluntary exemption for military supplies. (222.101-70)
Contractors who do not use Department of Labor Form WH 347 must submit DD Form 879 with each payroll report. (222.406-6)
Upon notification of Contract Work Hours and Safety Standards violations, the contracting officer must immediately withhold available funds and notify the contractor in writing. (222.302)
For contracts in noncontiguous states, contractors must employ residents of that state who possess or can acquire necessary skills, unless waived for national security. (222.7002, 222.7003)
For contracts over $1 million using certain Defense Appropriations funds, contractors must agree to restrictions on mandatory arbitration agreements, unless the acquisition is for commercial products or services. (222.7402, 222.7403)

Who does what

Contracting officers

Contact the labor advisor before removing items from a contractor's facility affected by a work stoppage (222.101-4).
Withhold funds immediately upon notification of Contract Work Hours and Safety Standards violations (222.302).
Forward complaints as indicated in FAR 22.1308 and notify the complainant, while keeping the contractor uninformed (222.1308).
Submit waiver requests through contracting channels to the labor advisor (222.1403).

Contractors

Submit DD Form 879 with each payroll report if not using Department of Labor Form WH 347 (222.406-6).
For contracts in noncontiguous states, employ residents of that state who possess or can acquire necessary skills (222.7002).
For contracts over $1 million using certain Defense Appropriations funds, agree to restrictions on mandatory arbitration agreements (222.7402).

Agencies

Determine the degree of impact of potential or actual labor disputes on programs and requirements (222.101-3-70).
Furnish the Administrator, Wage and Hour Division, with a general outline of proposed construction program by April 1 each year (222.404).
Forward semiannual enforcement reports through the head of the contracting activity to the labor advisor within 15 days following the end of the reporting period (222.406-13).

In practice

When bidding on defense contracts, check for clauses related to labor laws, such as restrictions on arbitration agreements or noncontiguous state hiring, and ensure you can comply.
During performance, maintain accurate payroll records and submit required forms (e.g., DD Form 879) to avoid withholding of payments.
If a labor dispute affects your facility, coordinate with the contracting officer and labor advisor before taking actions like removing items.
For contracts in noncontiguous states, be prepared to hire local residents and document their skills.

Common pitfalls

Failing to submit DD Form 879 with payroll reports when not using Form WH 347 can lead to compliance issues (222.406-6).
Ignoring the prohibition on nonimmigrant aliens for base operations support on Guam can result in contract termination or penalties (222.7301).
Not including required clauses, such as 252.222-7006 for arbitration restrictions, in solicitations and contracts can cause delays or noncompliance (222.7405).
Assuming commercial products or services are exempt from all labor law requirements; some subparts have specific applicability (222.7403).

Written by AI from this part's codified text (2026-10-04); cited sections are checked against the part. A guide, not legal advice: the regulation text, the solicitation and your contract rule.