When the federal government buys laundry service rather than equipment, the labor is governed by the Service Contract Act, and the wage rates are set by the contract. A service provider who reads the wage determination prices the work correctly, and one who misses it underbids the labor.

What the rule requires

The Service Contract Act requires contractors on covered federal service contracts to pay no less than the wage and benefit rates in the applicable wage determination. A federal laundry service solicitation attaches the determination and the labor categories that apply.

Why it decides the bid

The wage determination sets the floor for the largest cost in a laundry service contract, the labor, so a provider that does not read it cannot price the work. The agent extracts the wage determination, the labor categories, and the locality so the labor is priced from the federal floor, not a guess.

How the agent handles it

Our agent tells a federal laundry service solicitation apart from an equipment buy, reads the Service Contract Act terms and the wage determination, and scores the fit for a service provider against the locality and the labor it requires.

The agent reads the federal wage floor that decides a laundry service bid. See the federal and military laundry bid agent in the interactive demo.