Title 5Government Organization and EmployeesRelease 119-73not60

§5342 Definitions; Application

Title 5 › Part III— EMPLOYEES › Subpart D— Pay and Allowances › Chapter 53— PAY RATES AND SYSTEMS › Subchapter IV— PREVAILING RATE SYSTEMS › § 5342

Last updated Apr 3, 2026|Official source

Summary

It says who the special pay rules cover and gives short definitions for three key words. "Agency" means an Executive agency but excludes certain listed entities, such as Government-owned corporations, the Tennessee Valley Authority, the Virgin Islands Corporation, the Atomic Energy Commission, the Central Intelligence Agency, the National Security Agency (DoD), the Bureau of Engraving and Printing (except for section 5349), the Government Accountability Office, the Defense Intelligence Agency (DoD), and the National Geospatial-Intelligence Agency (DoD). "Prevailing rate employee" means a worker in a recognized trade, craft, mechanic, or manual labor job (including foremen and supervisors), and it also covers similar employees of certain nonappropriated fund activities and the Veterans’ Canteen Service. "Position" means the duties and responsibilities assigned to such a worker. The rules apply to all prevailing-rate employees and their positions in or under an agency, but many groups listed in section 5102(c) are excluded. The rules still apply when 5102(c)(7) covers employees other than those at the Bureau of Engraving and Printing, and when 5102(c)(14) applies. Except for section 5348, the rules do not cover officers and ship crews excluded by 5102(c)(8). Workers in any State or the District of Columbia must be U.S. citizens or bona fide residents of a State or the District, unless the Secretary of Labor certifies that no such person is available for the job.

Full Legal Text

Title 5, §5342

Government Organization and Employees — Source: USLM XML via OLRC

(a)For the purpose of this subchapter—
(1)“agency” means an Executive agency; but does not include—
(A)a Government controlled corporation;
(B)the Tennessee Valley Authority;
(C)the Virgin Islands Corporation;
(D)the Atomic Energy Commission;
(E)the Central Intelligence Agency;
(F)the National Security Agency, Department of Defense;
(G)the Bureau of Engraving and Printing, except for the purposes of section 5349 of this title;
(H)the Government Accountability Office; or 11 So in original. The word “or” probably should not appear.
(J)22 So in original. Subsec. (a)(1) does not contain a subpar. (I). the Defense Intelligence Agency, Department of Defense; or
(K)the National Geospatial-Intelligence Agency, Department of Defense;
(2)“prevailing rate employee” means—
(A)an individual employed in or under an agency in a recognized trade or craft, or other skilled mechanical craft, or in an unskilled, semiskilled, or skilled manual labor occupation, and any other individual, including a foreman and a supervisor, in a position having trade, craft, or laboring experience and knowledge as the paramount requirement;
(B)an employee of a nonappropriated fund instrumentality described by section 2105(c) of this title who is employed in a recognized trade or craft, or other skilled mechanical craft, or in an unskilled, semiskilled, or skilled manual labor occupation, and any other individual, including a foreman and a supervisor, in a position having trade, craft, or laboring experience and knowledge as the paramount requirement; and
(C)an employee of the Veterans’ Canteen Service, Department of Veterans Affairs, excepted from chapter 51 of this title by section 5102(c)(14) of this title who is employed in a recognized trade or craft, or other skilled mechanical craft, or in an unskilled, semiskilled, or skilled manual labor occupation, and any other individual, including a foreman and a supervisor, in a position having trade, craft, or labor experience and knowledge as the paramount requirement; and
(3)“position” means the work, consisting of duties and responsibilities, assignable to a prevailing rate employee.
(b)(1)Except as provided by paragraphs (2) and (3) of this subsection, this subchapter applies to all prevailing rate employees and positions in or under an agency.
(2)This subchapter does not apply to employees and positions described by section 5102(c) of this title other than by—
(A)paragraph (7) of that section to the extent that such paragraph (7) applies to employees and positions other than employees and positions of the Bureau of Engraving and Printing; and
(B)paragraph (14) of that section.
(3)This subchapter, except section 5348, does not apply to officers and members of crews of vessels excepted from chapter 51 of this title by section 5102(c)(8) of this title.
(c)Each prevailing rate employee employed within any of the several States or the District of Columbia shall be a United States citizen or a bona fide resident of one of the several States or the District of Columbia unless the Secretary of Labor certifies that no United States citizen or bona fide resident of one of the several States or the District of Columbia is available to fill the particular position.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

A prior section 5342, Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 471, provided for crews of vessels. Provisions similar to those comprising subsec. (b) of this section were contained in Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 471 (formerly classified to section 5342 of this title) prior to the general amendment of this subchapter by section 1(a) of Pub. L. 92–392.

Amendments

2008—Subsec. (a)(1)(K). Pub. L. 110–417 substituted “National Geospatial-Intelligence Agency” for “National Imagery and Mapping Agency”. 2004—Subsec. (a)(1)(H). Pub. L. 108–271 substituted “Government Accountability Office” for “General Accounting Office”. 1996—Subsec. (a)(1). Pub. L. 104–201, § 3548(a)(3)(A), which directed amendment of subsec. (a)(1) by striking subpar. (G) and redesignating subpars. (H), (I), (J), (K), and (L) as (G), (H), (I), (J), and (K), respectively, was executed by striking subpar. (F), relating to the Panama Canal Commission, and redesignating subpars. (G), (H), (I), (K), and (L) as (F), (G), (H), (J), and (K), respectively, to reflect the probable intent of Congress, because subsec. (a)(1) does not contain a subpar. (J) and the

Amendments

were included in a series of conforming

Amendments

relating to the Panama Canal. Subsec. (a)(1)(L). Pub. L. 104–201, § 1122(a)(1), substituted “National Imagery and Mapping Agency” for “Central Imagery Office”. 1994—Subsec. (a)(1)(J) to (L). Pub. L. 103–359 directed the amendment of subpar. (J) by striking out “or” at end which could not be executed because par. (1) does not contain a subpar. (J), added “or” at end of subpar. (K), and added subpar. (L). 1991—Subsec. (a)(2)(C). Pub. L. 102–54 substituted “Department of Veterans Affairs” for “Veterans’ Administration”. 1984—Subsec. (a)(1)(I) to (K). Pub. L. 98–618 struck out “or” at end of subpar. (I), inserted “or” at end of subpar. (J), and added subpar. (K). 1983—Subsec. (a)(1)(C) to (J). Pub. L. 97–468, eff. Jan. 5, 1985, struck out subpar. (C) which excluded the Alaska Railroad and redesignated subpars. (D) to (J) as (C) to (I), respectively. See

Effective Date

of 1983 Amendment note below. 1980—Subsec. (a)(1)(J). Pub. L. 96–191 added subpar. (J). 1979—Subsec. (a)(1)(G). Pub. L. 96–70 substituted “Commission” for “Company”.

Statutory Notes and Related Subsidiaries

Effective Date

of 1996 AmendmentAmendment by section 1122(a)(1) of Pub. L. 104–201 effective Oct. 1, 1996, see section 1124 of Pub. L. 104–201, set out as a note under section 193 of Title 10, Armed Forces.

Effective Date

of 1983 AmendmentAmendment by Pub. L. 97–468 effective on date of transfer of Alaska Railroad to the State [Jan. 5, 1985], pursuant to section 1203 of Title 45, Railroads, see section 615(b) of Pub. L. 97–468.

Effective Date

of 1980 AmendmentAmendment by Pub. L. 96–191 effective Oct. 1, 1980, see section 10(a) of Pub. L. 96–191.

Effective Date

of 1979 AmendmentAmendment by Pub. L. 96–70 effective Oct. 1, 1979, see section 3304 of Pub. L. 96–70, set out as an

Effective Date

note under section 3601 of Title 22, Foreign Relations and Intercourse.

Effective Date

Section effective on first day of first applicable pay period beginning on or after 90th day after Aug. 19, 1972, except that in the case of employees referred to in subsec. (a)(2)(B) and (C) section effective on first day of first applicable pay period beginning on or after 180th day after Aug. 19, 1972, or on such earlier date (not earlier than 90th day after Aug. 19, 1972) as Civil Service Commission may prescribe, see section 15(a) of Pub. L. 92–392, set out as a note under section 5341 of this title. Abolition of Atomic Energy Commission Atomic Energy Commission abolished and functions transferred by section 5814 and 5841 of Title 42, The Public Health and Welfare. See, also,

Transfer of Functions

notes set out under those sections. Dissolution of Virgin Islands Corporation Virgin Islands Corporation established to have succession until
June 30, 1969, unless sooner dissolved by Act of Congress, by act
June 30, 1949, ch. 285, 63 Stat. 350, as amended (48 U.S.C. 1407 et seq.). Corporation terminated its program
June 30, 1965, and dissolved
July 1, 1966. Act
June 30, 1949, was repealed by Pub. L. 97–357, title III, § 308(e), Oct. 19, 1982, 96 Stat. 1710.

Reference

Citations & Metadata

Citation

5 U.S.C. § 5342

Title 5Government Organization and Employees

Last Updated

Apr 3, 2026

Release point: 119-73not60