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Deval L. Patrick, Governor Timothy P. Murray, Lieutenant Governor Joanne F. Goldstein, Secretary

Massachusetts Prevailing Wage Law Department of Labor Standards. Deval L. Patrick, Governor Timothy P. Murray, Lieutenant Governor Joanne F. Goldstein, Secretary Heather E. Rowe, Director. Agenda. What is the prevailing wage law? What types of projects does it apply to?

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Deval L. Patrick, Governor Timothy P. Murray, Lieutenant Governor Joanne F. Goldstein, Secretary

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  1. Massachusetts Prevailing Wage Law Department of Labor Standards Deval L. Patrick, Governor Timothy P. Murray, Lieutenant Governor Joanne F. Goldstein, Secretary Heather E. Rowe, Director

  2. Agenda • What is the prevailing wage law? • What types of projects does it apply to? • What do I need to do?

  3. Overview “Special Wage Law” • Special wage law governing workers engaged in public construction projects and certain other “public works” activities

  4. Overview Activity Categories • Public construction projects are the most common category; this includes building work. • “Construction of public works” (M.G.L. c. 149, §§26-27H) but includes building work • Construction defined: “Additions to and alterations of public works….” (§27D)

  5. Overview Activity Categories: What is “Construction?” • The relevant statute defines “construction” as “additions to and alterations of public works.” • This definition includes renovations, road resurfacing, etc.

  6. Overview Activities: Non-Construction • Some other activities covered… • Rental of equipment, payment to operators (§27F) including… • Trash disposal (curbside/public buildings) • Street sweeping • Catch basin cleaning • Moving Office furniture & fixtures (§27G) • Cleaning state facilities (§27H)

  7. Overview Activities: Non-Construction (cont.) • Printing (specified state contracts) (M.G.L. c. 5, §1) • School Bus drivers (M.G.L. c.71, §7A) • Housing authority employees (M.G.L. c. 121B, §29)

  8. Overview No Threshold • Massachusetts is one of nine states with no money threshold. • Minor projects are not exempt (use Periodic Rate Sheets) • Prevailing wage is separate from public bidding law.

  9. Overview Not Covered • Public employees not covered under M.G.L. c. 149, §§26-27 unless engaged in the construction or renovation of public buildings funded by special appropriation > $1000 • Legitimate owner-operators not covered unless hauling gravel or fill(construction site)

  10. The Process DLS Prevailing Wage information or wage schedule requests: http://www.mass.gov/lwd/ labor-standards/prevailing-wage-program/ Phone: 617-626-6953 Please do not fax wage schedule requests. Schedule requests take about 48 hours.

  11. The Process DLS Role • Makes applicability determinations • Sets wage rates based on existing collective bargaining agreements • Issues wage schedules (“rate sheets”) – only to awarding authorities • Rates will differ for each city or town • Trades agreements • Territorial jurisdictions

  12. The Process Wage Sheet Example: Front

  13. The Process Wage Sheet Example: Back

  14. The Process Wage Rates • Wage rates generally include: • Base rate • Health & Welfare • Pension/Annuity • Supplemental Unemployment

  15. The Process Wage Rates • Rates in effect for duration of the project, except for multi-year projects • For projects lasting more than one year, awarding authorities must request annual updates • Scheduled increases will appear on sheet

  16. The Process Wage Rates – Periodic Rate Sheets • For minor projects or minor emergency projects • Not associated w/larger projects (not for bids) • For 6 or 12 months • Use standard request form

  17. The Process Wage Rates • Appeals of wage schedules under §27A • Distribute rate sheet to all bidders (at no cost) – usually made part of bid package • Bid must reflect rates • Bidder should demonstrate ability to comply • Rate sheet becomes part of contract

  18. The Process After the Bid: Monitoring the Job • The Attorney General enforces the prevailing wage law. • Rate sheets must be posted on-site. • G.C. & subs forward weekly payroll reports. • Call AGO for non-compliance. • Maintain reports for 3 years.

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