What is the Davis-Bacon Act?
The Davis-Bacon Act is one of several federal statutes that apply to federal contractors and subcontractors. It was enacted in 1931 to protect local communities and workers from the economic disruption caused by competition arising from nonlocal contractors coming into the area and obtaining federal construction contracts by underbidding local wage levels. The Act requires that each contract for construction, alteration or repair of public buildings or public works for which advertised specifications are for an amount in excess of $2,000 include language requiring contractor/subcontractor to pay laborers and mechanics employed on site of the work a minimum prevailing wage rate not less often than once a week. This video reviews other federal and prevailing wage laws that may apply.
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