Oregon Bureau of Labor & Industries

Oregon Bureau of Labor & Industries PWR Compliance Reviews ODOT/AGC Annual Meeting February 6, 2009 www.oregon.gov/boli

COMPLAINTS/WAGE CLAIMS • BOLI is complaint-driven. We investigate based on complaints and wage claims received. Must include some form of evidence. • Wage claims must come from workers. • Sources of complaints: • Workers • Unions • Fair Contracting Foundation • Public Agencies • Unsuccessful Bidders • Other Interested Parties

INVESTIGATIONS Step 1: Request all necessary records from the employer. May include time cards, payroll records, fringe benefit records, bank records to show wages and fringe benefits were paid, and proof of public works bond. May also request copies of contracts and subcontracts, and daily logs from the prime contractor and the public agency.

INVESTIGATIONS Step 2: Interview as necessary people associated with the project. May include the employer, workers, the complainant (if different from a worker), other contractors on the project, and the public agency. May visit the project site, if possible.

INVESTIGATIONS Step 3: Review all records. Step 4: If unable to resolve before Notice of Claim deadline, may have to file a Notice of Claim against employer’s public works bond, and possibly against prime contractor’s payment bond.

INVESTIGATIONS Step 5: Ideally, collect any wages owed from employer. The goal is compliance, now and in the future. Will ask employer to sign an agreement of future compliance. If wages were found due but violations weren’t intentional, employer is sent a letter warning that future violations could lead to civil penalties and debarment.

INVESTIGATIONS Step 6: If not able to collect wages due from the employer or the employer’s public works bond, will collect wages due from the prime contractor or the prime contractor’s payment bond. If this occurs, the subcontractor will be debarred from working on public works projects for three years whether violations were intentional or not.

INVESTIGATIONS Other possible outcomes: If violations were intentional, or if the employer has been warned in the past about violations, BOLI will pursue civil penalties against the employer and debarment from working on public works projects for up to three years.

PROBLEM AREAS: • Misclassification of workers • Not paying overtime correctly • Not paying fringe benefit amounts owed • Certified payroll reports not filled out correctly or completely • Rates not posted on the project site • Contractors not ensuring their subs have public works bonds before they start work on the project

SUGGESTIONS: • Keep thorough records that clearly show hours worked on the project AND show the type of work performed for each employee. • If employee works in more than one classification, track the time spent in each. Alternative is to pay all hours at the highest rate. • Have employees sign time cards; sign in and out for lunch.

SUGGESTIONS: • Review Definitions of Covered Occupations book to make sure employees are classified correctly. • Double-check certified payroll to make sure hours and rates are correct. • Post appropriate prevailing wage rates on the project site in a conspicuous and accessible location. • If sub out work, don’t allow sub to begin work on project until they file public works bond w/ CCB.

RESOURCES PWR Law Handbook - order forms here, online at: http://egov.oregon.gov/BOLI/WHD/PWR/W_PWR_Pwrbk.shtml State rate book and comparison rate book: http://egov.oregon.gov/BOLI/WHD/PWR/pwr_book.shtml Definitions of Covered Occupations book: http://egov.oregon.gov/BOLI/WHD/PWR/Jan09/Define_2009.pdf FREE PWR seminars – schedules here, online at: http://egov.oregon.gov/BOLI/WHD/PWR/docs/pwrsched.pdf Call or email BOLI . . .

Questions? Call for help! Mike Kern (971) 673-0839 mike.kern@state.or.us Maggie Wilson (971) 673-0838 maggie.wilson@state.or.us Susan Wooley (971) 673-0853 susan.k.wooley@state.or.us

THE END

Oregon Bureau of Labor & Industries