California Prevailing Wage

California state law requires contractors on public-works projects to pay the prevailing wage and benefits as set by the California Department of Industrial Relations. Contractors can make sure they comply with the law by completing the following steps:

  • Get a copy of the most recent prevailing wage rates for your project at the state Department of Industrial Relations website.
  • Check your bid and contract documents to make sure the correct prevailing wage rates for each craft or trade working on the project are on file with the contracting agency.
  • Make sure all contractors and subcontractors submit and maintain certified payroll records for all workers.
  • Properly pay overtime to employees for work done in excess of eight hours per day or 40 hours per week.
  • Notify the state Division of Apprenticeship Standards within five days of being awarded a state-funded public works project.
  • Respond promptly to all requests for certified payroll records.

Violations of California’s prevailing wage law can be costly:

  • Fines of up to $200 per day, per worker paid less than prevailing wage
  • Liability for back wages
  • Debarment from bidding on future public works contracts for up to three years