Labor Floor Check

Scope

Auditors physically observe employees at their workstations and record what they are working on, then compare observations with timesheet charges for that day. May also interview employees about their work activities, review badge access records, and examine labor distribution corrections. Covers both direct and indirect labor.

Frequency

Conducted on an unannounced, random basis — typically several times per year for major contractors. More frequent floor checks may be triggered by hotline complaints, other audit findings suggesting mischarging, or as part of a broader labor audit. Timing varies to prevent contractor anticipation.

What to Expect

Auditors arrive unannounced and systematically walk through work areas, recording employee names, locations, and apparent activities. They request timesheet data for the observation period and compare results. Discrepancies are investigated and may lead to more extensive labor audits. Individual floor checks typically take a few hours.

Key Documents

• Employee timesheets for the observation period
• Work authorization documents
• Badge access and entry records
• Labor distribution correction records
• Organization charts and work assignments

Other post-award Audits

Other DCAA Audit Types