Davis Bacon Act and Collective Bargaining Agreements

The first sentence refers to the issue of collective agreements. Let me give you 3 scenarios that I hope will clarify how this works. The FCC requires contractors and subcontractors who provide services with master contracts over $2,500 to pay service employees in various categories at least the rates and benefits applicable in the region or the rates included in a predecessor contractor`s collective agreement (including potential increases). The DOL issues salary determinations on a contractual basis in response to specific customer requests. These provisions are incorporated into the Treaty. In addition, some states have adopted their own versions of prevailing wages, often referred to as “Little Davis Bacon” laws, to set thresholds for the payment of prevailing wages for state-funded public works projects. Applicable state laws only apply to publicly funded construction projects such as roads or public buildings where public funds are involved. As with federal law, the applicable state wage laws apply only to construction workers in certain occupations and only if the contract was above the threshold set by the state. States with their own prevailing wages generally set their prevailing wages by conducting surveys of local wages and collective agreements and refer to the national wage in force for their territory.

Some simply use the current federal salary. Below is a list of the salary thresholds in force in the state. Sector practice determinations resolve questions about the correct classification of work performed by a worker or mechanic or the right type of construction (building, heavy construction, highway or residential building). In a wage survey, “territorial practice” refers to the predominant classification of workers performing a particular type of construction work within the geographical boundaries of the survey. If, prior to the opening of the bid, the only classification that performs work on a contract is not listed in a general salary determination for the type of construction in the area, the client/support organization may submit an SF-308 request for a project salary determination for application to that project. In order to ensure special treatment of an application where this circumstance exists, a note should be made in the project description block of SF-308 to explain the special circumstances. (A similar notice may be made on an SF-308 application for a project salary determination if a general salary determination is not applicable and all work on the project is done by a certain classification to ensure that a wage rate for that classification is spent on the project). The DOL User Guide does not specifically cover an in-depth analysis of KBAs and WDs.

I recommend that you contact the DOL at (866) 487-2365 for more details. Some of the records that must be retained under this Act are also required under the RSA. See Fact Sheet #21: Record Keeping Requirements under Fair Labour Standards. You may provide WHD with the name and contact information of the general contractor or prime contractor and/or subcontractors who worked on the project so that WHD can communicate directly with these contractors by participating in the survey. This information should be provided as early as possible in the investigation process. e) Wage Determinations OnLine (WDOL) means the Davis-Bacon Act and Government Service Contracts Act website for wage determinations, which are available under www.wdol.gov. In addition, WDOL provides information to help with compliance. The term also applies to any other website or electronic means that the Ministry of Labour may authorize for these purposes. The clarification of rates and benefits resolves all questions regarding the rate paid to registered employees. Only bona fide benefits may be used in the survey.

Benefits do not include benefits required by federal, state, or local laws. If a review of a salary determination has been requested and rejected, a request for a review of the salary determination or its request may be submitted to the Administration Review Board, United States. . . .