Frequently Asked Questions 1. What is Labor Compliance? Labor

Frequently Asked Questions
1. What is Labor Compliance?
Labor Compliance is the monitoring and enforcement of the payment of prevailing
wages on public works construction projects.
2. What is prevailing wage?
Prevailing wage is comprised of two elements: basic hourly rate and fringe benefits.
Together, they make up the total hourly rate that must be paid to each employee.
Federal and State prevailing wage laws exist to ensure that workers engaged in public
works projects are paid in accordance to the type of work and location. The prevailing
wage rates are usually based on rates specified in collective bargaining agreements.
3. Who is entitled to prevailing wage?
All construction personnel performing covered craft work on a public works project are
entitled to be paid prevailing wage. Architects, Administrative Assistants and Security
Guards are not eligible for prevailing wage pay.
4. Where can I find prevailing wage rates?
Projects funded with state or municipal funds are subject to the State of California’s
prevailing wage rates. The Labor Commissioner’s Office maintains a web site that
contains the latest rates and other valuable information: http://www.dir.ca.gov/PublicWorks/Prevailing-Wage.html.
Projects financed through federal grants and other types of funding are subject to the
Department of Labor’s prevailing wage rates; the following is a link to their web site:
http://www.wdol.gov/dba.aspx. Note: When projects are subject to both federal and
state prevailing wage requirements, contractors must adhere to both sets of
requirements, including paying employees at the higher prevailing wage rate.
5. What about apprentices?
California law requires that apprentices be employed on public works projects that have
apprenticeable crafts. Apprentices must be in a state approved program and utilized in
the correct ratio to the number of journeymen present.
If the project has federal funding, apprentices must be in a federally approved program.
REV. 2/2016
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6. What are Certified Payroll Reports?
Certified Payrolls Reports (CPRs) provide a true and accurate record of the labor hours
worked on a project. They are signed under penalty of perjury and are due weekly from
the prime contractor and all subcontractors.
CPRs must show the employee’s full name, address, social security number, work
classification, straight time and overtime hours worked each day, the actual per diem
wages paid, and the payroll check number issued.
Prime contractors are responsible for ensuring that all their subcontractors submit the
required payroll documents.
7. What is a Project Labor Agreement?
A Project Labor Agreement (PLA) is a negotiated pre-hire collective bargaining
agreement between an agency and one or more labor organizations that establishes the
terms and conditions of employment for a construction project or program. General
obligations include:
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Utilization of certain types of workers (local, disadvantaged, and veteran
workers)
Non-union contractors must sign single-project subscription agreement with the
appropriate Labor/Management trust fund(s)
Requires all craft labor dispatched to come through local hiring halls
Signatory unions agree to not strike, picket, or disrupt work on site
8. How many PLAs has the Port of Long Beach negotiated?
The Port of Long Beach has negotiated five PLAs, of which two are currently active.
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REV. 2/2016
Middle Harbor Redevelopment Program, Phase 1, Stage 1
Middle Harbor Redevelopment Program, Phase 1, Stage 2
North Middle Harbor Redevelopment Program
Gerald Desmond Bridge Replacement Project
Middle Harbor Redevelopment Program, Phase 2 and 3
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