White Paper

What Do Prevailing Wage Obligations Apply?

 
A prevailing wage obligation is essentially the same as the Fair Labor Standards Act minimum wage obligation, although the amount that must be paid as a prevailing wage generally is much higher than the minimum wage. The principal difference between the FLSA minimum wage and prevailing wages is that prevailing wage legislation frequently requires the employer to additionally provide locally prevailing fringe benefits or pay the cost of such benefits.

The prevailing wage laws are intended to provide employers a uniform cost of labor basis on which to bid contracts and to avoid the depression of employees’ wages and benefits as a result of the competitive bidding process. A prevailing wage obligation is imposed upon an employer when it has contracted to provide materials, services or construction work under contract with the federal government, or is a participant in certain federally funded programs. In particular, the Davis-Bacon Act (DBA) requires that all laborers and mechanics engaged in the construction, alteration or repair of a public work pursuant to a contract with the federal government in excess of $2,000 must be paid an amount equal to the total of the locally prevailing wages and fringe benefits as determined by the Secretary of Labor.1 The DBA requires that all employees who are so engaged be paid at least weekly. The DBA is applicable to the principal contractor and all subcontractors who work under the principal contractor.

Faculty

Leigh Ann Tift

Littler Mendelson P.C.

Agenda

Faculty

Leigh Ann Tift

Littler Mendelson P.C.

  • Shareholder with the law firm of Littler Mendelson, P.C.
  • Practices exclusively in the area of employment law, with experience advising and litigating matters that involve wage and hour compliance, class action wage and hour lawsuits, and traditional labor law matters
  • Formerly employed by the Seattle City Attorney’s Office, where responsibilities included wage and hour matters in the public sector
  • Regularly appears before federal and state courts and agencies charged with enforcing state law wage and hour requirements in various wage-related and equal employment disputes and appeals
  • Frequent speaker before industry and trade associations, business organizations and human resource groups concerning employment-related disputes and wage and hour issues
  • Provided training for State of Washington employees and participated in the annual Association of Washington Business employment seminar
  • Graduate, Seattle University Law School
  • Can be contacted at 206-381-4905 or [email protected]

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