EP 1180-1-1
1 Aug 01
(.15 less .10).
9-12. Unlisted Classifications. When the WD initially issued for a contract or solicitation does not include
all SCA non-exempt labor classifications proposed by the contractor, such missing classifications must be
added (conformed) to the applicable wage standards after award. An SF-1444 is submitted to DOL in
accordance with FAR 22.1019 and 52.222-41(c)(2) to establish enforceable SCA minimum wages and
benefits for the unlisted classes. Unlisted classifications are not subject to price adjustments under these
clauses in the base period of a new contract, or in any subsequent periods when the classification is
initially conformed.
a. Indexing conformed wage and benefit rates. Frequently, the classifications, which were conformed
in the first contract, continue to be missing from subsequent WDS issued by DOL for following contracts
or contract periods (options). If the conformed classifications continue to be employed on the contract,
the old, conformed rate is brought forward into the following contract period by "indexing" it to the rates
which do appear on the revised WD for the new period. The indexing computation is performed by the
contractor, with notice to and verification by the CO. The method is set forth below:
(1) Determine the percentage of change from the rates listed on the old WD to the rates listed on the
new WD, for each classification used on the contract.
(2) Compute the mean average of these percentages to determine the "index" rate by dividing the total
of the percentage changes by the total number of classifications used on the contract.
(3) Apply this average percentage change to the wage rate that was conformed in the previous
contract period. This indexed amount is an allowable adjustment under the Clause.
Example: the old WD listed seven classifications, five of which were used on
the contract (A, B, C, F, and G). The contractor also used Classification X
which did not appear on DOL's WD. A conformance was submitted for Classification
X and DOL had approved a rate of .00 per hour. At the first option period, DOL
issued a WD which changed the listed classifications in the following manner:
A = +3%
B = +3.5%
C = -2%
F = no change
G = +2.5%
The total of these changes is 7%; divided by 5 to obtain the average change for listed
classifications, which is 1.4% increase. This index rate is applied to the conformed
9-14
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