In California, the prevailing wage rate is the basic hourly rate paid on public works projects to a majority of workers engaged in a particular job, classification or type of work within the locality and in the nearest labor market area. Keep in mind that is only applicable if a majority of such workers are paid at a single rate.
If there is no single rate paid to a majority, then the single or modal rate being paid to the greater number of workers is prevailing.
California’s prevailing wage laws makes sure that the ability to get a public works contract is not based on paying lower wage rates than a competitor. All bidders are required to use the same wage rates when bidding on a public works project.
California law requires that not less than the general prevailing rate of per diem wages be paid to all workers employed on a public works project.
David Payab, Esq. from The Law Offices of Payab & Associates can be reached @ (818) 918-5522 or by visiting http://payablaw.com/