How to Read a Prevailing Wage Determination

Federal and state prevailing wage rules are among the most powerful protections union workers have on public projects, and most members have never read the actual determination that covers their job. The document is public record. It tells you exactly what the contractor is required to pay. If they are paying less, that is a violation — and it is a recoverable violation. A prevailing wage determination sets the minimum wage rate and fringe benefit rate for a specific craft classification on a public works project. On federal jobs, it is issued by the Department of Labor and assigned a Wage Determination number. Your BA can get you the WD number for any federal project. You can then look it up directly at SAM.gov, search by state and county, and pull the current determination for your classification. Find your craft and your specific classification within that craft. Electrician, for example, has multiple sub-classifications in most determinations. Make sure you are comparing your actual work classification — not just the general craft headline. The determination will show the basic hourly rate and separately the fringe benefit rate, which covers health, pension, vacation, and other contributions. Both are required. Contractors who pay the hourly rate but short the fringe benefits are violating the prevailing wage requirement just as surely as those who underpay wages. State prevailing wage laws vary significantly. Some states have robust systems with their own determinations and enforcement mechanisms. Others have weaker rules or no prevailing wage law at all for state-funded projects. Know which applies to your job. If you are on a federal project, the Davis-Bacon Act controls. If it is a state project, check with your BA on which state law applies and what the determination is. The members who get paid correctly are the ones who know what they are owed.