San Francisco Labor Laws - City Contractors

There are five San Francisco labor laws that may apply to employers with contracts or leases with the City: Prevailing Wage, Minimum Compensation Ordinance, Health Care Accountability Ordinance, Sweatfree Ordinance, and Displaced Worker Protection Act. For more information on each of these labor laws, please click on the links below.

Prevailing Wage
Public works contractors must pay the prevailing wage rate for the type of work performed. In addition, the Board of Supervisors has set prevailing wage rates for city contractors in the following fields: Janitorial, Window Cleaners, Garage and Parking Lot Attendants, Theatrical Workers, Moving Services, Sanitary Truck Drivers & Helpers, and Exhibit, Display and Trade Show Workers.

Minimum Compensation Ordinance
City contractors and certain tenants must provide their covered employees with (a) no less than the MCO hourly wage in effect; (b) 12 paid days off per year (or cash equivalent); and (c) 10 days off per year without pay per year.

Health Care Accountability Ordinance
City contractors and certain tenants must offer health plan benefits to their covered employees, make payment to the Department of Public Health, or, under limited circumstances, make payments directly to their covered employees.

Sweatfree Contracting Ordinance
Contractors that supply textile apparel, garments, and corresponding accessories, materials, supplies, or equipment are prohibited from manufacturing or assembling those goods in sweatshop conditions, as defined by the ordinance.

Displaced Worker Protection Act
Among other provisions, the Displaced Worker Protection Act requires security and janitorial or building maintenance contractors that employ 25 or more persons to implement a transition employment period for employees employed by the terminated contractor or its subcontractors.

Fair Chance Ordinance
Effective August 13, 2014, City contractors are required to follow new rules regarding applicants’ and employees’ criminal history.


For information on federal labor laws, please contact the U.S. Department of Labor. For more information on California labor laws, please contact the California Division of Labor Standards Enforcement.