What is Prevailing Wage?
The Prevailing Wage Law establishes minimum wage rates for workers on public construction projects, workers engaged in school bus transportation, operators of vehicles and equipment engaged by public entities for public works purposes (including solid waste and recycling), workers engaged by employers which provide janitorial services for state buildings, office moving services, and for certain employees of housing authorities.
Prevailing wage is defined as the hourly wage, usual benefits and overtime, paid to the majority of workers, laborers, and mechanics within a particular area.
The prevailing wage applies equally to unionized and non-unionized workers. Prevailing wages are established by regulatory agencies for each trade and occupation employed in the performance of public work.
The Department of Labor Standards (DLS) issues prevailing wage schedules to cities, towns, counties, districts, authorities, and agencies of the commonwealth for construction projects and several other types of public work. These prevailing wage schedules contain hourly wage rates that workers must receive when working on a public project.