Employers providing services or construction work on public works projects for public entities and/or the government must pay prevailing wages. Typically, prevailing wages are substantially greater than the minimum wage. Several new laws related to prevailing wages were passed in 2014, including:
- Senate Bill 266: the awarding body of a public works project must furnish documentation regarding a notice of completion within 10 days after receipt of a written request from the Labor Commissioner.
- Assembly Bill 26: redefines the term "construction" in public works projects to include work performed during the post-construction phases of construction, including any cleanup work at the jobsite.
- Assembly Bill 1939: provides that a contractor may bring an action against "hiring parties" to recover increased costs (including labor costs, penalties, and legal fees) incurred because of the untimely designation of a contract as a public works project.
- Assembly Bill 2272: revises the definition of "public works" to include infrastructure project grants from the California Advanced Services Fund.
- Assembly Bill 2744: allows enforcement mechanisms that previously could be used against contractors or subcontractors on public works projects to now also be used for violations regarding the employment of apprentices on such projects.
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