Comply with wage requirements on federal construction contracts.
Summary
Davis-Bacon Act: Prevailing Wage Requirements for Construction Comply with wage requirements on federal construction contracts.
Review the wage determinations incorporated into the solicitation or contract before preparing your bid or proposal. Understand the minimum wage rates and fringe benefits required for all worker classifications you expect to employ on the project. Factor these mandatory labor costs accurately into your pricing. Wage determination rates are minimums that you must pay regardless of your standard company wage scales.
Classify workers based on the actual duties they perform on the project, not arbitrary titles or classifications you might prefer to assign. Review worker duties against wage determination classifications to ensure accurate assignment. When workers perform duties in multiple classifications, establish systems to track time in each classification or pay the highest applicable rate for all hours.
Ensure all covered workers receive at least the base hourly rate plus fringe benefit amount specified in the applicable wage determination for their classification. Fringe benefits may be paid through qualifying benefit plans or as additional cash wages. Document how fringe benefit obligations are satisfied. Prevailing wage includes both base rate and fringe components.
Keep detailed payroll records showing worker names, addresses, classifications, hours worked daily and weekly, actual wages paid, and fringe benefits provided. Records must demonstrate compliance with prevailing wage requirements for each pay period. Retain records for at least three years after project completion. Records must be available for government review upon request.
Prepare and submit certified payroll reports weekly to the contracting agency using required formats, typically WH-347 forms or electronic equivalents. Certify that payroll information is complete and accurate and that workers received at least prevailing wages. False certification constitutes a serious violation with significant consequences.
Display the official Davis-Bacon poster at the job site in a location accessible to all workers. Post the applicable wage determination so workers can verify the minimum rates for their classifications. Ensure notices remain posted throughout project duration. Posting requirements provide workers information to identify potential violations.
