What are Davis-Bacon Wages?

What are Davis-Bacon Wages?

Davis-Bacon Wages refer to the prevailing wage rates that must be paid to workers on federally funded or federally assisted construction projects, as mandated by the Davis-Bacon Act of 1931. These wages are determined by the U.S. Department of Labor based on local pay standards for various trades and occupations to ensure fair compensation. The law primarily applies to projects receiving federal funding, such as HUD-insured loans (e.g., HUD 232, 241a), infrastructure projects, and public works. Contractors must submit certified payroll records to verify compliance, and violations can lead to penalties, withheld payments, or debarment from federal contracts.