Conducting an HR Audit for your GovCon Business

Joe Young: Good afternoon. Happy summer and welcome to our subscribers for the seventh edition of the GovCon HR Round-Up podcast. My name is Joe Young. I am the president of GovConPay. We are the only outsourced payroll and HR firm dedicated exclusively to serving the needs of the government contracting marketplace. As always, we are coming to you live from the amazing studios here at BLC Digital Strategies.

Their media affiliate of Berenzweig Leonard LLP, and under the leadership and direction of our producer, Mr. Todd Castleberry. I am here with the founding partners and employment of all experts Seth Berenzweig and Declan Leonard from Berenzweig Leonard. Good to see you guys. You guys will do a quick intro before we get going. Sure.

Seth Berenzweig: Hi, everybody. Seth Berenzweig and I helped lead the firm's corporate transactional and government practice, and it's great to be here today.

Declan Leonard: And I'm Declan Leonard. I head up our firm's employment law practice. I always enjoy getting in the studio, Joe, with you and doing these. It’s hard to believe we're more than halfway done. This signals the second half of the year. So we're on number seven. You got five more to go. These things are always good. I always love the topics we come up with and I hope everyone finds this useful in their practices.

Joe Young: Absolutely. And it's a pleasure to be with you, gentlemen, as well. Before we jump in, today's topic, do have some exciting news to share with with our audience here. We are excited to announce that the Round-Up has its first sponsor. We are really glad to have, as a promotional sponsor, our friends and partners from Berkshire Associates for introducing the Round-Up to their client base and supporting these messages in these efforts that we're trying to do monthly and bring to the industry.

For those of you who are not familiar, Berkshire is a compliance expert with over 50 years of experience. They focus a lot on affirmative action, pay equity, and DEI services. They are the subject matter experts of subject matter experts in these areas. And we really appreciate their support. And I welcome anybody out there who maybe is not familiar with them to please visit their website at berkshireassciates.com to learn more about the great work they're doing and for people in our community as well.

Declan Leonard: Yeah, and I can attest firsthand, working with some of our clients who, you know, run into these. They make it on the list of being audited for their affirmative action plans, working with Lynn Clements and her team. In fact, Lynn or probably fill the seat at least once at one of these round-ups. She's a fantastic speaker, and Burchard does great work in this area. And it's definitely a very niche area and they're the ones to call.

Joe Young: Yeah, an important topic and something that we’ll even touch on a little bit today. Great, great opportunity to come back and dive into a deeper, in a fuller program. So, for today's topic, we're gonna talk about HR audits. Something that obviously everybody's familiar with. Everybody knows what they should be doing, they're probably doing, but we'll probably jump into it maybe in a little bit more detail about what are maybe some best practices, things you should be thinking about as you look at that as a part of the work that your organization does.

So just to kick it off, Seth, you know, what do we mean by HR audit? What are some of the things that people should be thinking about?

Seth Berenzweig: So, let's talk about what an HR audit is not. An HR audit is not an angry employee marching into your office with a torch and a pitchfork going in and trying to take prisoners. That's that's not what we're talking about. We're talking about an internal, analytical, collaborative process where the team provides a reflection and a review and analysis of your current strengths, weaknesses, and a gap analysis to try to accumulate information to make a determination of how you can better improve your human resource practices and how to be able to improve your process and your documents.

It's an opportunity to proactively fix problems. It's always easier and less expensive to fix a problem before it arises. It's like the old saying that it's always easiest and timely to fix your roof while the sun is shining rather than when it is storming.

Declan Leonard: Such a good way to put it. Yeah.

Seth Berenzweig: Yeah. So it's definitely the old added adage of an ounce of prevention, and it's popular, but it's also a very important topic that we're going to be lifting up the hood and talking about a bit more today.

Declan Leonard: And we were talking about this before we came into the studio here. The word audit. It does have, you know, sometimes, you think of an IRS audit. It definitely has that negative connotation. 

And I think that definitely what we want to really stress here today is that, as Seth just said, it's really a collaborative process. And really, companies should approach it; we're going to be talking about it specifically for government contractors because that is our audience base here, and that is what we believe to be particularly important to be doing these HR audits in the government space. But really, they should really look at it as an opportunity and really an opportunity to see where they are competitively and to proactively improve. So don't be thrown off by this word audit.

Joe Young: I would also add that I think one thing that you said is really important is the word "process." I think we all know there's like we're reviewing documents, we're reviewing manuals for policies. We joke a lot in our business. You know, we're in the technology business, bringing technology tools to HR departments. And I tell people a lot that we're kind of more in the HR process re-engineering business with technology.

A lot of this is about how we do things and what our processes are to ensure we're more compliant at the end of the day, not just the pieces along the way. So I think that's an important part to look at as well.

Declan Leonard: No, you're right. As we’ll discuss, you can have all the processes and policies in the world, but I think the HR audit is designed to do two things: A) ensure that you have those in place and B) ensure that you're actually following them and implementing them in practice.

We'll discuss some of the pitfalls that we have seen in this process as we move forward.

Joe Young: And this is the GovCon HR Round-Up. So, of course, why, you know, why some of this is particularly important to our govcon audience.

Declan Leonard: Yeah, and I'm sure the audience knows exactly why. I mean, government contractors, more so than regular commercial companies, are subject to many more regulations, oversight, and potential investigations as a cost of doing business with the federal government. Most of you out there realize it's a great industry that you're in. We saw during COVID that the federal government was able to keep things going. And, you know, that's why we see a lot of private equity who usually shun the govcon market is now like jumping into it because they see great opportunities there. But with opportunity comes compliance and regulations. 

And so, yeah, you've got things like we talked about before that Berkshire handles OFCCP compliance, you know, 50 or more employees. All of a sudden, you've got to have a written affirmative action plan, you've got to be keeping track of your EEO-1 forms, you know, So there's all these different things, there's so much more compliance. You've got if you're doing service contract act contracts, you've got wage and fringe issues that you always have to strictly abide by, Davis-Bacon compliance.

Sometimes, what you'll see, particularly for the Service Contract Act, is unions. You know, there'll be unions in the workplaces, and therefore, you'll have CBAs, collective bargaining agreements. And that really just sets the whole separate list of do's and don'ts that employers have to abide by. Finally, we'll talk a little bit deeper about this because I think this is a big area for HR audits for government contractors: DCAA compliance and DCAA audits. The defense contract audit agency is not strictly HR. It also comes into play really on the accounting and the finance side of things. But that's a big part of compliance, I think. Joe, you have seen that in the work that you all do for this.

Joe Young: No, absolutely. I know we're going to touch a little bit on some of the things with time and then maybe jump in there. But that's definitely an area where that leads into the HR part. But just out of finance and some of the other requirements they have on the finance side.

Declan Leonard: Yeah. So, I guess I just sort of wrap up this little topic by saying this part of it is, you know, these things if you want to hit them proactive early because if you're in a protest and somebody starts to raise some of these irregularities, that could very well spell doom for a contract that you otherwise should have won.

So we're not saying let's do this because it's a pie in the sky like this is great. Let's do it. It actually helps you win business and keep business.

Seth Berenzweig: It helps you avoid preventable problems. As long as you root out the problem proactively and take care of it, it will not come up later as a problem because you have it under control.

Declan Leonard: Yeah, totally.

Seth Berenzweig: Yeah.

Joe Young: And Declan, what are some best practices regarding the process of conducting this audit, some frequency and when, and the things that should go into that?

Declan Leonard: Yeah. And there's certainly no one size fits all. I mean, it's going to depend a lot on, you know, what the company is like, what industry you're in. We talked a little bit before about some of those things like the Service Contract Act and, you know, whether or not there's a union involved. So, some of these things will dictate how you actually conduct an HR audit.

But, you know, really we'll talk a little bit later about, you know, whether or not you do this internally or whether or not you use an outside consultant or some combination or even legal counsel if you want to protect privilege, but you really start really at a bare-bones, a questionnaire, a checklist, anybody who has ever done any kind of an M&A deal knows that they have these due diligence checklists. And it's not dissimilar to that. It's basically saying, where are we with all this stuff? You know, let's face it, when you're in operations, you're sometimes drinking from the fire hydrant. You're going a mile a minute. You don't sometimes sit back and say, what is our recruiting process? You know, what is our retention process? And so I think you start with a questionnaire to the key stakeholders.

A lot of HR Departments have employee relations separate from the recruiting function. And I think you start to reach out to them, you start to collect data, and you then, you know, take it from there. But for the areas that you really want to be covering, I talked about retention and recruitment.

Compensation trips up companies and government contractors all the time. Employee benefits, performance management, legal compliance, training programs, things of that nature. So it's not just, you know, you really want to go the full gamut of HR when you're doing one of these HR audits.

Joe Young: Yeah. And you know, my colleague Kyle shared, we're talking we use, you know, audit, and you talk about due diligence. Yeah, but approach these as, as you said, a dialog, not an interrogation. You know, where can we obviously, compliance is at the root of all this, but a lot of things you're mentioning are best practices that are making your company more attractive to work at, more attractive to stay, and retention.

So these things go into a lot of the greater goals of the HR departments beyond checking the compliance box.

Seth Berenzweig: And I think it would be it's interesting. And Declan, I think you probably touched upon this a little bit, but the notion of HR training programs is something that I always find to be an interesting aspect because how, if at all, is the HR department looking at and considering training? And, you know, we know that we're playing this.

I don't even want to indicate that we're trying to roll this into any kind of a commercial. But when was the last time that you provided any training to your managers with regard to some of the major HR updates with regard to the developments in human resource and employment law? When you talk about the process and the steps that you can take to have a cost-down revenue approach training or the lack of training is something that should be factored in as well.

So that's that's another factor to keep in the back of your mind.

Declan Leonard: And just before we move on, the issue of communication, you know, we talked at the very beginning that audit kind of has this, you know, negative connotation to it when you are starting one of these HR audits, when you are sending out, let's say, questionnaires, and you're assembling data, and you're trying to figure out, okay, where are we now versus where do we want to go as a result of this HR audit. Communication is going to be the key. You really need to communicate to the workforce and to the people who are handling recruiting, the people who are handling retention, the people who are handling compensation, all that that this is not like a gotcha or a problem or anything like that. They should look at this very much as a collaborative opportunity to ascertain.

You may find that five out of your eight functions in HR are really killing it. They are very much in line with industry best practices, and three have a few gaps, but that's the whole point: not to find necessarily problems but rather to make you more competitive in the industry.

Joe Young: Yeah, and I think as we're going to get into this detail, too, I think when people hear HR audit, the first thing they think is, well, when was the last time you updated your handbook? Yeah, this goes well beyond the handbook. This is a much deeper conversation than, oh, it's been two years. It's time to relook at the language in our handbook.

Declan Leonard: Definitely. Yep.

Seth Berenzweig: Absolutely.

Joe Young: So, as our HR Professionals and organizations go through this process and take this dive, you know, what are some of the common findings that we're seeing that continue to come up that people have to be cognizant of and be prepared to focus on?

Declan Leonard: Well, I think we devoted a whole roundup to this topic of the fact that government contractors, perhaps more so than regular commercial companies, operate in so many different states. Sometimes unbeknownst to them, they have employees working remotely and not even realizing, Wait, you relocated to California. When did you do that? You know, you don't know what state they're in.

Yeah, they don’t even now. And I think that's one of the biggest common findings, as we know, pay transparency: that each of these states has become its own fiefdom. And it really makes it tough for government contractors and, you know, particularly HR folks, trying to keep track of all this.

Joe Young: It's interesting in our world in the payroll business, and Kyle joined our program last month. We have an HR team that goes out and supports some of our clients in this work. You know, we know where their employees are. We have to pay their taxes.

Declan Leonard: Yeah, that's true.

Joe Young: Yeah. And a lot of times the HR department, you know, is maybe they're finding it and finding that out. And all of a sudden, you know, that's coming up to like, hey, you know, do you know where we need an ID in California or Colorado now? You know, have we looked again at the handbook? Do we need an addendum?

So, yeah, we see that a lot in our space because it triggers when those people relocate.

Seth Berenzweig: I think another aspect that comes up from time to time is the issue of misclassification. There are times when the line between who is a 1099 contractor and who is a W-2 employee can be a bit blurry. Sometimes, it's easy to draw the lines, and sometimes, they can be a bit blurry.

But that's something that needs to be reviewed because sometimes, when someone gets plugged in quickly, there's not always the finest attention to detail on those sorts of things. And when you talk about how states each have their own little hot messes, let's just talk for a minute about Virginia. For the longest time, Virginia really could not care less about whether or not you were misclassified. And then, all of a sudden, recently, Virginia did a U-turn, and now misclassification is considered a really hot topic with a lot of significant statutory penalties associated with it. So, not only who do you have in your workforce fleet, but how are they classified? Because, again, you definitely want to be proactive about that as opposed to trying to fix the problem in reverse.

Declan Leonard: And you can't look at these audit audits as just like a snapshot in time. You can't say, Well, I did one in January. And so therefore, these have to be sort of an ongoing process. To your point, Seth, Like like every state does things differently. Virginia Laws usually go into effect on July 1 of each year. And so if you're missing it, if you only do these HR audits once a year and you do them in January, you're going to go six months where you're arguably, you know, violating the law or you're just don't understand like what the law is. And that's a significant legal risk sitting out there.

Seth Berenzweig: Sure. So from a timing standpoint, you certainly want to do it at least once a year, although as Declan, as you've noted, if you do it even less than that, then you have an even larger time gap relative to some other changes that are going on in various states where government contractors can have their employees knowingly or unwittingly, where, you know, Mary might have just, you know, picked up and moved to San Francisco and didn't exactly bother to tell anybody.

One of the other aspects, a reason for conducting these audits is, and we're talking about, the element of being proactive, not only from a cost-benefit analysis but for companies that believe that they may at some point in the reasonably near future be in the M&A space. Oh, yeah, mergers and acquisitions. One of the things that doesn't surprise me is when companies have an LOI, a letter of intent and they say, let's talk and let's go into a due diligence period, and they say, okay, fine, we're going to load up the data room and then you guys can go ahead and lift up the hood and sniff around and tell me what's going on. 

There are many times where, unfortunately, it is at that point where the prospective purchaser looks in and just, you know, it's like looking into a cavern where there's a lot of gaps and missing documents, or there are documents that are in there, but they haven't been updated in five, six years to comply with some of the most basic requirements.

Now's the time to be able to take a look at that. The whole idea of getting ready for a transaction is to enhance the inherent value of your company. You are much better off valuing your company and presenting it like a diamond in a velvet box as opposed to being stuffed in a crumpled paper bag. So that's something to keep in mind as well.

Declan Leonard: So that's great. So not only can doing this and being proactive and consistent help you potentially win, you know, work, win contracts with the federal government and then hold on to them during a protest because you've got your ducks in a row. But it also makes you more attractive as a target for a liquidation, I mean, for an exit.

And listen, a lot of our clients, that's the name of the game, they really want to build up the company, hopefully, build up, you know, their prime contract backlog and then sell. And your point is perfect. What I mean is do that on a regular basis and don't get caught off guard when all of a sudden you're like, Oh my gosh, we just got approached by somebody who wants to buy us, and we have not even looked at our HR function because HR is a huge part. We've talked about this in another context: HR is a huge part of the due diligence process when you're looking to sell. So don't just start, you know, at the tail end of the process.

Joe Young: And I will say, seeing from experience, I think some of our HR professionals will be nodding their heads out there. We find that the govcons are a little slow to invest in HR. We work with a lot of emerging govcons, you know, under 50 employees. You know, that's not the first key, you know, c-suite leadership role or looking to fill.

We see a lot of solutions where you've got a CFO or finance and somebody else, like, who's HR, and they're like, well, I handle this piece. This person handles that, and they don't have a true professional, and then they grow fast, right? They've got a contract. Yeah. And they're over 50 employees overnight.

Seth Berenzweig: They staff too quickly, so they don't have the documents in there. If they do, then they missed classifying, or there are inconsistencies, or they, you know, they're plugging square pegs in holes.

Declan Leonard: And then the irony of it is so many of our clients in the government contracting space are really just people like, you know what I mean? You know, some of them have software, but really, the majority of them are service-based companies, which means people, which means you would think HR would just be right up there, you know, just with a seat at everything because of how important it is, you know, this is one way doing an HR audit will highlight how important their people are.

Joe Young: I know our team discovers many of our clients. We go in and do these audits, and there are over 50 employees, and they're like, what's an AAP, and why do we need it? Yeah, it's always more often than it should be happening. But I think it's a little bit the nature of the business, too.

Declan Leonard: Let's talk a little bit more about some of these findings you talked to. You alluded to, you know, the timekeeping issues under DCAA, and I think that that's a huge part of the focus. And this is where HR cannot do these in a vacuum. HR has to do these audits in conjunction with, you know, the accounting, the finance and the just general operations. They can't just be saying, well, no, we're doing this audit, you know, this is in this division and, and, and timekeeping is a big issue. You've seen that. And you know, in your work.

Joe Young: We see that every day. So, you know, we are in the HR or people side of the product, but for most of our clients, there are specific products and software out there that cater to this market and address the needs of being a DCAA-compliant time and attendance and expense system. As most people know, a lot of people are like, Hey, are you DCAA compliant?

Defense Contract Audit Agency is an out. They're putting a stamp of approval on time systems, but everybody knows there are the four bigs: the Unanets, the Costpoints, the PROCAS, the JAMIS, who are in this business for a reason because they have unique needs that their clients need. Yeah, and we have really built our business around integrating our HR.

Piece with those time systems because they're very unique requirements and how we can tie those together. So we see that as obviously a very important piece and a compliance piece that people need to understand that they just can't be taking out-of-the-box time and attendance systems and growing and making sure they're going to meet those compliance requirements from a time and expense perspective.

Declan Leonard: Yeah, timekeeping is critical. I mean, in a non-govcon aspects, maybe not as much, but when you're talking about government contractors, and you're talking about being DCAA-compliant, I mean, you know, you've got to have strict policies where people are entering their time. If it's a time and materials contract that people are entering their time on a daily basis, you need to have the right controls and systems so that they're not flouting the rules under DCAA. They're not able to go in a couple of days later and tweak their time, things of that nature.

I mean, there are so many different specific things. And and, listen, HR is dealing with timekeeping. They're dealing with this stuff. So, while it also is an accounting and finance function, travel reimbursements. I mean, most of those are being directed and routed to HR, but the way you handle those and how you allocate those to a particular contract has huge implications if DCAA audits you. This is another example of why it's so important to do this.

Seth Berenzweig: So, is it okay to submit time and expense reports like FTX, where they would put in emojis? They're putting in emojis and using social media for… don't do that.

Declan Leonard: Yeah. Let's see just a couple of other things before we move on to our final topic. We talked about the various states and how they have their different rules, you know, whether it's restrictive covenants, job postings, we, you know, job transparency. I mean, so pay transparency when it comes to job postings, if you've got employees in Colorado, you better make sure that you're complying with that.

That's stuff that will come out in your processes in an HR audit, you know, even just basic stuff like I-9. I mean, if you ever get ordered by the Department of Labor, you know, they take this stuff incredibly seriously, so you better have your I-9, which is, you know, all your immigration paperwork showing eligibility to work.

Joe Young: That created a bunch of new challenges for all the HR professionals doing COVID-19, like, you know, how are we supposed to be looking at this ID in person?

Declan Leonard: Yeah, sure. And showing my passport on Zoom.

Joe Young: So what's, what's compliant now as far as you're doing the second part of the I-9 checks and those types of things.

Declan Leonard: So yeah, you know, I think that's good. I think we have a few more minutes so we can wrap up in the last section.

Seth Berenzweig: And I would just say that in terms of maybe landing in a final area, talking about maybe some other considerations that come into play. So, who should conduct the audit? Certainly, a company can do it internally, but I think that there are some significant merits to consider in terms of having it run with a third party. There are a handful of third parties out there that are very adept at doing this and are very familiar with the space that I believe that your company actually, come to think of it, do these.

Joe Young: We provide some HR Consulting services, and a lot is around the situation that I mentioned because we're dealing with clients from start-ups to 1500 employees. But we see we have a lot of companies that are in that transition that have somebody who is maybe carrying that torch of HR but maybe doesn't have the experience quite yet. Or we have clients that have really seasoned HR professionals, but they want our team to kind of help with the compliance blocking and tackling because they want to focus on the strategic part.

So, looking at the depth of the team and where it's best for that internal team to use their resources and their time, they're sometimes outsourcing some of this and having another set of eyes you have to keep an eye on. These changes can be really beneficial.

Declan Leonard: I think that's critical. I mean, look, we know that there's always cost realities here. And so, you know, whether you completely outsource it, I think completely outsourcing it is not the right approach. And I think doing it internally, I personally think that if you're trying to discover gaps and I just don't think the internal team is going to be able to fully do that.

I mean, I think, A, they're going to have some blind spots because this is how we've always done it, you know, and what an outside consultant can do is they can bring in a fresh set of eyes and say, here is what we're seeing out in the industry. Here are the best practices. Have you ever considered this? I think you're not.

If you do it fully, internally, listen, it's better than nothing. And so if cost is a huge factor, then it certainly is better than nothing to do it internally. I think if you don't do it in conjunction and collaboration with some outside consultant like your organization, I think that's a big mistake, and I don't think it's going to be a very effective HR.

Joe Young: It can be done many times. They are a fraction of the hiring headcount. Yes, you know, for something more structured.

Seth Berenzweig: And if the company hasn't done it in a while or if there are some internal anticipated problems, there may want to be a consideration of also having internal coordination with outside legal counsel. Because if the project is done in coordination with outside legal counsel, that report can be protected by attorney client privilege. So that's something to also think about as well in terms of being proactive and maybe being able to shield some of it from potential future disclosure.

Joe Young: One question has come in, which we'll share in the couple of minutes we have remaining. How should we measure our HR processes to determine if they need to be changed?

Declan Leonard: Yeah, that's a great question. I mean, we talked about that, and that actually gets to my point that if you strictly do this without outside help, I think you're not going to have the awareness to know what needs to be changed, you know? And so you really do have to have that outside consultancy to do one thing as sort of an extension of that question: What does the end of an HR audit look like? How do you know when you're done? Is there is there a report that's done? Is there, you know, I've seen these done various different ways. And so the question is, you know, do you have a report? Who do you disseminate that to? And I think it's going to depend in a lot of ways.

First off, what you find to assess point is if you start to uncover a whole lot of misclassified cases and knowing that that is such a hot-button issue right now, you don't want to be disseminating that throughout the entire staff, whether it's staff or whatever. So you really do need to present these at the highest level and say, here's what we found and make sure it has the good and the bad.

Because if it just has the bad, it's people are not going to even want to do this the next year. And the year after. It's got to be a little bit celebratory and a little bit dose of reality.

Seth Berenzweig: Yeah, that should be both. It has to commend the positives while disclosing the negatives. Also, if the company is on the other side of a large upramp where they brought a lot of new people on board and there has been significant growth and transition, that would also be a good metric to consider.

I'm putting that in some plans in the near future.

Declan Leonard: Yeah, and I think I think there should be at least something in writing. I'm not the biggest fan as a lawyer. I'm not the biggest fan of things, you know, being totally laid out in writing because I know that those become subject to discovery sometimes. But I do think there has to be a writing for this reason. These HR audits, if you do them consistently, are intended to build upon each one. And so it should not just be like, oh, we did one in January 2023, and then let's forget that one. And we did one in January 2024. They should build on each other and listen, it's a reality that you have turnover, and so you want to make sure that there's a memorialization of where you were in 23. And it also shows progress. It shows how you have improved over the years and closed down some of those gaps.

Joe Young: Yeah. And I would add in kind of closing here. I think that in many ways, I look at these processes as infrastructure, just like going out and getting an ERP system for your finance and your time or getting that payroll and that human capital management system or that billing system. These processes are all so infrastructure that you need to have in place because all of our govcon clients, what they want to do, they want to grow, they want to grow, they grow more rapidly than usual commercial clients.

And when they're maybe winning a contract and onboarding ten, 2200 employees at a time, an infrastructure needs to be in place because then you're trying to, you know, as they say, kind of change the tires on the race car in the middle of turn three and that gets really, really tough. So having that stuff in place before that happens, you know, leads the overall success and supports the growth that they're all looking for.

Declan Leonard: Good deal. Time flew!

Joe Young: Time did fly. We were up against our deadline here at 1:30. Thank you again to everyone who joined us today. Again, we hope you're having a safe, enjoyable, and wonderful summer.

Declan Leonard: They're probably watching this on the beach, I'm guessing.

Joe Young: I hope so. Yeah, I hope so. 

Declan LeonardL We might do our next one from the beach, you think? 

Joe Young: Or maybe it’s like a cool background.

Seth Berenzweig: Todd can make that happen.

Declan Leonard: That's right.

Joe Young: That's good. But we do hope we will be back again in August. I hope you'll join us then. It will be August 15. We're going to discuss a new topic we've just added to our agenda based on some feedback. The topic could be navigating how the FLSA applies to federal contract employees. So, I look forward to diving into that with everyone.

Again, thank you all for joining us. Enjoy the rest of your summer, and we look forward to seeing you next month. Take care.