U. S. DEPARTMENT OF LABOR
WAGE AND HOUR AND PUBLIC CONTRACTS DIVISIONS
WASHINGTON, D.C. 20210
DATE: May 6, 1969
REPLY TO
ATTN OF: OCE
SUBJECT: MEMORANDUM # 81
To: AGENCIES ADMINISTERING STATUTES REFERRED TO IN 
29 CFR, SUBTITLE A, PART 5
Re: Copeland Act, Title 40 U.S.C., ss 276c; 29 CFR Parts 3.3 and 3.4; and
29 CFR Part 5.5(a)(3)(ii): submission weekly of statement of compli-
ance, Form WH-348, and submission weekly of a copy of all payrolls.
Enclosed is a copy of a letter dated March 13, 1969, from the Bureau
of the Budget. As a result of this letter, the Department of labor
is reviewing the present requirements:
1. To submit weekly to the contracting agency a Statement of
compliance (Form WH-348); and
2. to submit weekly to the contracting agency a copy of all
payrolls.
It has been decided to request the agencies to review these reporting
requirements in the light of their own needs and usages as related to
the cost to the Government in handling and to the contractors in pre-
paring. No particular form of response is required but at least the
following points should be considered:
1. In the event it is decided to revise the regulations with
respect to the submission of payrolls, would your agency
find it necessary to continue such a requirement as a con-
tract stipulation in order to meet your own enforcement
needs?
2. If payrolls are not submitted, would the Statement of Com-
pliance (Form WH-348) by itself serve any essential purpose?
The Solicitor of labor has been asked for his views as to what statu-
tory or regulatory changes would be necessary to effect one or both
of the proposals now being considered.

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The purpose of this memorandum is to bring the matter to the attention
of the agencies involved and to get their views as a preliminary step
in considering what action should be taken and what response should be
made to the Bureau of the Budget. Any changes made in regulations will
be published for comment in the Federal Register.
A response to this memorandum should be sent to this office by June 27,
1969.
Robert D. Moran, Administrator
Wage and Hour and Public Contracts Divisions
Enclosure

EXECUTIVE OFFICE OF THE PRESIDENT
BUREAU OF THE BUDGET
WASHINGTON. D.C. 20503
March 13, 1969
Mr. Robert D. Moran
Administrator, Wage and Hour and
Public Contracts Divisions
Department of Labor
Washington, D. C. 20210
Dear Mr. Moran:
During our review under the Federal Reports Act of the payroll
form for construction contractors (WH-347) the question has
arisen as to the continued necessity for the Department of
Labor requirement that contractors on Federal or Federally-
financed construction projects submit each week a copy of their
payroll. While this question has been considered before, we
think it should be reopened now that primary responsibility
for enforcement of labor standards under the Davis-Bacon and
I related Acts has been transferred from the Solicitor's Office
to the Wage and Hour and Public Contracts Divisions of the
Department of Labor.
Such a review would be consistent with the policy of the Federal
Reports Act and of the Administration to seek opportunities to
eliminate unessential paperwork. If the requirement for submission
of the weekly payroll could be eliminated without weakening
enforcement of labor standards under construction contracts the
saving to both contractors and Federal contracting agencies would
be substantial. About half a million copies of the WH-347 alone
are submitted by contractors, and there must be thousands of
contractors who take advantage of the option of filing copies of
their own payroll forms provided these include the necessary
information. This represents a very considerable volume of
paperwork, both for contractors and contracting agencies.
The problems of enforcing labor standards in the construction field
and in other parts of the economy appear somewhat similar. We note
that in enforcing the Fair Labor Standards Act the Wage and Hour
and Public Contracts Divisions do not require employers to submit
copies of their payrolls, but rely on investigations by trained
inspectors with particular emphasis placed on inspecting establish-
ments where the likelihood of violations is greatest. We note also

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that construction contractors, like other employers, are required to
keep copies of their payrolls for two to three years. We think that
the feasibility of a similar approach to enforcing the Davis-Bacon
and related Acts should be investigated. Since an affidavit with
respect to the wages paid is required by law, Form WH-348, Statement
of Compliance, would presumably have to continue to be submitted by
construction contractors and subcontractors.
We realize that a thorough study of the issues we have raised will
require some time, and also that changes in Department of Labor
regulations would be required to relieve contractors of the
requirement that copies of their weekly payroll be submitted. For
these reasons we are extending approval of Form WH-347 until
September 30, 1969.
We think the study we are suggesting will necessitate conferences
with representatives of the large contracting agencies to see what,
if any, use is being made of the payrolls submitted to them either
for compliance or for other purposes. If the agencies are examining
the payrolls to check compliance, further information should be
obtained on the nature and extent of the violations discovered and
the cost to the agency of the examination. Within the limits of
staff available we would be glad to participate in such a study.
Sincerely yours,
Edward T. Crowder
Assistant Director for Clearance Operations
Office of Statistical Standards