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ARTICLE · 07 APRIL 2022

Turning Back The Clock: DOL Proposes Previous Davis-Bacon Prevailing Wage Definition

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On March 11, 2022, the Department of Labor ("DOL") proposed reverting the definition of "prevailing wage" under the Davis-Bacon Act to a definition used over 40 years ago.

United StatesReal Estate and Construction

On March 11, 2022, the Department of Labor ("DOL") proposed reverting the definition of "prevailing wage" under the Davis-Bacon Act to a definition used over 40 years ago. According to the DOL, the proposal is meant to modernize the law and "reflect better the needs of workers in the construction industry and planned federal construction investments."1

Brief History Lesson

The Davis-Bacon Act was enacted in 1931 and requires the payment of locally prevailing wages and fringe benefits on federal construction contracts. The law applies to workers on contracts in excess of $2,000 entered into by federal agencies and the District of Columbia for the construction, alteration, or repair of public buildings or public works.2

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