This post dives into the most commonly asked questions about prevailing wage laws for public construction projects in Massachusetts. Contact us for any specific questions.
What is Prevailing Wage?
The prevailing wage is the average wage paid to workers in similar jobs in your area. This ensures fair pay for construction workers on public projects.
Basics of Prevailing Wage Rates in Massachusetts
The Department of Labor Standards (DLS) sets prevailing wage rates for different job titles. These rates are based on local union contracts. You get the wage schedule from the awarding authority (the government agency giving the contract).
The wage schedule applies for the entire project. For long projects, you might need an update. Get updates from the awarding authority. Workers can appeal wage decisions to the DLS Director.
Important! Put the wage schedule up at the worksite. If the awarding authority forgets to give you one, don’t use an old one. Contact them right away to get the correct schedule from the DLS.
Threshold Requirement
There is no specific threshold requirement for prevailing wage rates in Massachusetts.
Overtime Pay
Workers who work more than 40 hours a week get overtime pay. This means they earn 1.5 times their regular rate plus fringe benefits for every overtime hour worked.
Fringe Benefits
Prevailing wage rates can include fringe benefits like health insurance, pensions, and unemployment plans if listed in union agreements. These contributions are listed on the wage schedule. Employers do not have to provide these fringe benefits. Only actual contributions to these plans can be deducted from the total prevailing wage. Massachusetts does not allow deductions for sick leave, vacation time, or other things.
Remember: The DLS sets the legal wage rates for each job on public construction projects. Employers must pay workers these rates. If you have questions, visit the DLS website or call them directly at (617) 626-6953.
Reporting Requirements
Contractors must submit weekly reports called certified payroll records (CPRs) to the awarding authority. Keep these reports on file for three years. Each CPR should include details like employee names, addresses, job titles, hours worked, and wages paid. The DLS has a sample Weekly Certified Payroll Report Form. You must also submit a completed Weekly Statement of Compliance Form and copies of apprentice ID cards (for workers paid the apprentice rate) with each CPR.
Forms and More Information
Weekly Certified Payroll Report Form:
https://www.mass.gov/doc/weekly-certified-payroll-report/download
Weekly Statement of Compliance Form:
https://www.mass.gov/doc/weekly-statement-of-compliance/download
A Guide to the Prevailing Wage Law for Awarding Authorities:
https://www.mass.gov/info-details/a-guide-to-the-prevailing-wage-law-for-awarding-authorities
Have any questions about prevailing wage laws? Let us know and one of our Certified Payroll Specialists will be in touch.
The material presented here is educational in nature and is not intended to be, nor should be relied upon, as legal or financial advice. Please consult with an attorney or financial professional for advice.
