PF 2025-31 Revisions to Employee Compensation: Pay and Benefits Corporate H Clause

Date: May 20, 2025

To: HCAs/Procurement Directors/Contracting Officers

From: Director, Contract and Financial Assistance Policy Division, Office of Policy, Office of Acquisition Management

SUMMARY: The purpose of this policy flash is to communicate the revisions to the contractual requirements related to the Employee Compensation: Pay and Benefits Corporate H Clause, eliminating requirements that are not mandated by statute/regulation or are not necessary to monitor DOE’s financial liabilities related to defined benefit plans. Revisions are based on the March 21, 2025, Secretarial Memorandum, Strengthening National Laboratory Efficiency and Mission Execution. DOE contractors must continue to comply with FAR 31.205-6, DEAR 970.5216-7 (a class deviation clause found in PF 2022-23), and DEAR 970.3102-506, and will be accountable for pay and benefits decisions subject to annual audits.

Contracting Officers must take appropriate actions, including modifying existing contracts as appropriate to incorporate the attached H clause no later than June 30, 2025.

Questions concerning this policy flash should be directed to Joel Gonzalez, Director, Contractor Human Resources Policy Division (MA-612) at Joel.Gonzalez@hq.doe.gov or (202) 287-1752.