Payroll FAQs

Regarding prevailing wages payable on public works projects, can an employer simply state on the notice that they will be paid the appropriate or applicable prevailing wage on a project without having to keep disclosing or re-disclosing changes as they occur?

As with all private sector employers, private contractors or subcontractors on public works projects are subject to the notice requirement under Labor Code 2810.5.  It would be insufficient to simply state “appropriate prevailing wage” or “variable prevailing wage” when providing the rate(s) of pay for purposes of the notice.  For a worker in a public works project, the applicable prevailing rate is dependent on the location and project work performed by the worker. Accordingly, the employer must include in the notice all rates applicable to such work that are known or can be determined at the time the notice is to be provided.  Any subsequent changes in wage rates for a later project (or at subsequent locations with a different prevailing rate) must be reflected in itemized wage statements provided to employees under Labor Code 226 in order for the employer to be exempt from issuing a new notice to the employee.  (Labor Code 2810.5(b)).


October 2018

Tags: California, Wage Theft Prevention Act