Prevailing Wage Law

Overview

Prevailing Wage Law
The Prevailing Wage law regulates the rates of pay, benefits and other remuneration and duties of certain public officials under contracts and subcontracts for public works in Virginia.

The Prevailing Wage law applies to contracts for public works paid for in whole or in part by state funds, valued at $250,000 or more if either of the following criteria are met:

  • the contracting public body is a unit of State Government or an instrumentality of the State, and there is any State funding for the project; or
  • the contracting public body is a locality that has adopted an ordinance requiring the payment of the prevailing wage for public works paid for in whole or in part by funds of the locality.

Public works means the operation, erection, construction, alteration, improvement, maintenance, or repair of any public facility or immovable property owned, used, or leased by a state agency or locality.

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What You Need to Know

PREVAILING WAGE DETERMINATION

A wage determination issued for a project specifies the wage and fringe benefit rates for each classification of worker, determined to be prevailing in that locality for that type of construction or other work covered under the statute. Wage Determinations are based on the applicable prevailing wage rate determinations made by the U.S. Secretary of Labor under the provisions of the Davis-Bacon Act, 40 U.S.C. § 276 et seq. as amended.

Prevailing Wage Under Payment
Anyone paying less than the prevailing wage rate is liable to the individual for all wages and benefits plus interest at an annual rate of 8%. The contractor or subcontractor will also be disqualified from bidding on public works projects until full restitution has been made to the individual.

For additional information, contact:
Department of Labor and Industry
Prevailing Wage

600 East Main Street – Suite 207
Richmond, VA 23219
804-786-6613
Fax: 804-371-6524
e-mail: prevailingwage@doli.dev.sitevision.com

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Contracting Agency Information

PREVAILING WAGE CONTRACTING AGENCY INFORMATION

This is a summary of prevailing wage contracting agencies’ requirements. For further information please refer to Virginia Code 2-2-4321.3 or contact (804) 786-6613.

General Information

The Prevailing Wage law applies to contracts for public works paid for in whole or in part by state funds, valued at $250,000 or more if either of the following criteria are met:

1. the contracting public body is a unit of State Government or an instrumentality of the State, and there is any State funding for the project; or

2. the contracting public body is a locality that has adopted an ordinance requiring the payment of the prevailing wage for public works paid for in whole or in part by funds of the locality.

Public works means the operation, erection, construction, alteration, improvement, maintenance, or repair of any public facility or immovable property owned, used, or leased by a state agency or locality.

Requirements

1.Ensure that its bid specifications or other public contracts applicable to the public works require bidders, offerors, contractors, and subcontractors to pay wages, salaries, benefits, and other remuneration to any mechanic, laborer, or worker employed, retained, or otherwise hired to perform services in connection with the public contract for public works at the prevailing wage rate.

2. Ensure that its public works contracts contain a provision requiring that the wages, salaries, benefits, and other remuneration to any individual performing the work of any mechanic, laborer, or worker on the work contracted to be done under the public contract shall be at a rate at least equal to the prevailing wage rate.

3. May contact the Commissioner of Labor and Industry, at least 10 but not more than 20 days prior to the date bids for such a public contract for public works will be advertised or solicited, to ascertain the proper prevailing wage rate for work to be performed under the public contract.

4. Upon request from the project contractor, contact the Department of Labor and Industry to request conformances for classifications not included on the general wage determination, along with the reason for the additional classification, the proposed rate, and any supporting documentation.

5. Contracting agencies, both state and local, should check the DGS site prior to accepting a contractors bid to ensure they the bidder has not been disqualified for a violation of the prevailing wage law.

Contractors disqualified from bidding on public contracts under § 2.2-4321.3.D are listed on the Department of General Services Website at the following address:

https://logi.cgieva.com/External/rdPage.aspx?rdReport=Public.Reports.Report9020_Data

When at the site, click the radio button “eVA status” in the upper left corner of the page, then select enjoined from the drop down menu and then click on search to pull up the list of contractors enjoined for violations under the prevailing wage law.

Contractor Responsibilities

PREVAILING WAGE CONTRACTOR RESPONSIBILITIES

This is a summary of prevailing wage contractors’ responsibilities. For further information please refer to Virginia Code 2-2-4321.3 or contact (804) 786-6613.

General Information

Virginia’s prevailing wage law applies to all state public works projects financed in whole or in part by public funds when the total overall project cost is more than $250,000.

Responsibilities

A. Pay the prevailing rate of wages and benefits, for the classification of work being performed. Fringe benefits are paid at straight time rate for all hours including overtime.

B. Contractors, upon award of a public works contract, must provide the Department of Labor and Industry the pay scale for each craft or trade employed on the project.

1. The pay scale must be certified under oath.

2. Subcontractors must be required to follow the certified pay scale for each  of their employees in each craft or trade.

3. The pay scale may be on the form attached or its equivalent.

It may be sent to
Department of Labor and Industry
Prevailing Wage

600 East Main Street – Suite 207
Richmond, VA 23219
804-786-6613
Fax: 804-371-6524    e-mail: prevailingwage@doli.dev.sitevision.com

C. Keep full and accurate payroll records available for inspection by any authorized representative of the Department of Labor and Industry.

Records should include but are not limited to:

1. Time cards, time sheets, daily work records, etc.

2. Payroll ledger\journals and canceled checks\check register.

3. Fringe benefit records must include program, address, account number, & canceled checks.

D. Prevailing Wage Rate Schedule must be posted on the job site where it is accessible to all employees. Within ten days of such posting, a contractor or subcontractor must send to the Department of Labor and Industry a certification of its compliance with this requirement.

It may be sent to
Department of Labor and Industry
Prevailing Wage

600 East Main Street – Suite 207
Richmond, VA 23219
804-786-6613
Fax: 804-371-6524    e-mail: prevailingwage@doli.dev.sitevision.com

E. Supply all subcontractors with the Prevailing Wage Rates and changes.

Employee Rights

PREVAILING WAGE EMPLOYEE RIGHTS

This is a summary of prevailing wage rights. For further information please refer to Virginia Code 2-2-4321.3 or contact (804) 371-2327.

General Information

Virginia’s prevailing wage law covers all mechanics, laborers and workers on all state public works projects, financed in whole or in part by public funds when the total overall project cost is more than $250,000. It also applies where a local government has passed an ordinance applying the prevailing wage law to their public works projects.

Rights

1. Employees are entitled to receive the prevailing rate of wages and benefits for the classification of work being performed. Fringe benefits are paid at straight time rate for all hours including overtime.

2. Employees who believe they have not been paid the prevailing wage for their classification may file a claim with the Department of Labor and Industry Labor & Employment Law Division by using the Claim for Unpaid Wages Form (English) or Descargar la versión en Español de la Reclamación por Impago de Salarios de forma.

Note: Employees should be sure to check box 15 to indicate this is a state or local project

  1. Employees may also take the employer to court on their own. They may sue the employer to recover unpaid wages or wages due because of an incorrect labor classification. The court shall award the wages owed plus prejudgment interest (eight percent accruing from the date the wages were due).

If you need a lawyer to handle the case for you may call the Virginia Lawyer Referral Service at 1-800-552-7977 or 804-775-0808.

  1. Employees are protected from retaliatory action for making a complaint against their employers for Prevailing Wage violations.

Employees may file a complaint with Department of Labor and Industry by downloading the form and instructions foundd in the Claim for  Retaliation Form.

  1. Employees may file a civil action under § 40.1-27.3.

DERECHOS DE LOS EMPLEADOS SOBRE EL SALARIO PREVALECIENTE

Este es un resumen de los derechos de los salarios prevalecientes. Para más información, consulte el Código de Virginia § 2.2-4321.3 o contacte al (804) 371-2327.

Información general

La ley de salarios vigentes de Virginia cubre a todos los mecánicos, obreros y trabajadores de todos los proyectos de obras públicas del estado, financiados total o parcialmente con fondos públicos cuando el coste total del proyecto es superior a $250,000 dólares. También se aplica cuando un gobierno local ha aprobado una ordenanza que aplica la ley de salario prevaleciente a sus proyectos de obras públicas.

1.  Los empleados tienen derecho a recibir el salario y las prestaciones vigentes para la clasificación del trabajo que realizan. Los beneficios adicionales se pagan a la tasa de tiempo regular para todas las horas, incluidas las horas extras. La parte de los beneficios adicionales del salario vigente puede pagarse como salario en efectivo.

2. Los empleados que crean que no se les ha pagado el salario prevaleciente para su clasificación pueden presentar una reclamación ante la División de Derecho Laboral y Empleo del Departamento de Trabajo e Industria utilizando el formulario de reclamación de salarios no pagados.

Nota: Los empleados deben asegurarse de marcar la casilla 15 para indicar que se trata de un proyecto estatal o local.

1. Los empleados también pueden llevar al empleador a los tribunales por su cuenta. Pueden demandar al empleador para recuperar los salarios impagados o los debidos por una clasificación laboral incorrecta. El tribunal deberá conceder los salarios adeudados más los intereses de demora (el ocho por ciento que se acumula desde la fecha en que se debían los salarios).

Si necesita que un abogado se encargue del caso puede llamar al Servicio de Referencia de Abogados de Virginia al 1-800-552-7977 o al 804-775-0808.

1. Los empleados están protegidos contra las represalias por presentar una queja contra sus empleadores por violaciones del salario prevaleciente.

2. Los empleados pueden presentar una queja ante el Departamento de Trabajo e Industria descargando el formulario y las instrucciones que se encuentran aquí.

3. Los empleados pueden presentar una demanda civil en virtud del § 40.1-27.3.

Virginia Prevailing Wage Rates

Under § 2.2-4321.3 the prevailing wage for public works is to be set by the Commissioner of Labor and Industry. Only an official Wage Determination from DOLI, sent to a contracting agency conducting a public works project can be used for official purposes.

If a wage determination is needed, please contact the respective contracting agency.