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Philadelphia Construction Law Blog

Tag: Davis-Bacon


On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Public Construction Projects on Jan 26, 2015.

Following the lead set in President Obama’s Executive Order 13658, the Department of Labor’s Wage & Hour Division issued a final rule raising the minimum wage for workers providing labor on federal construction and service contracts to $10.10 an hour.This final rule applies to new and replacement contracts that result from solicitations after January 1, 2015. It also places the Secretary of Labor in charge of setting the minimum wage beginning in 2016 with the restriction that the Secretary cannot ever lower it.

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New Federal Minimum Wage For Contractors

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Prevailing Wage on Oct 13, 2014.

After Congress refused to pass a new minimum wage law, President Obama signed Executive Order 13658 in June of this year raising the minimum wage on all new contracts or replacement contracts for expiring agreements issued after January 1, 2015, to $10.10 an hour. The Department of Labor’s Wage and Hour Division then issued a final rule following that lead on October 7, 2014. This change in the law will apply to construction contractors until at least the expiration of President Obama’s term and the entry of a subsequent Executive Order by subsequent President and/or Department of Labor Change in policy.

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New Federal Law on H2B Wages

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Labor Law on Jun 25, 2013.

An emergency interim final rule issued by the US Department of Homeland Security and the US Department of Labor in April of this year has gone into effect. Under the new application, the 2008 methodology using a 4-tier wage system in determining wages for non-agricultural H2B workers is being replaced with the average wage from the Bureau of Labor Statistics Occupational Statistic Survey. The new rule permits employers to use wages calculated under the Davis-Bacon Act, but does not require that Davis-Bacon wage scales be used unless the H2B workers are working on federal construction projects. The rule also maintains the previously existing carve out that requires signatories to union collective bargaining agreements to pay the wage rates stipulated in those collective bargaining agreements.

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