Murphy Administration Provides Guidance to Public Entities on Recent Changes to Prevailing Wage Laws6/21/2022 ![]() By: State of New Jersey With the summer construction season beginning, the Murphy Administration is reminding local governments and school boards of their obligations under the New Jersey Prevailing Wage Act. The New Jersey Department of Labor and Workforce Development (NJDOL) and its partners at the New Jersey Department of Community Affairs’ Division of Local Government Services (DLGS), and the New Jersey Department of Education (DOE), recently sent a letter reminding local governments and boards of education of their responsibilities under the New Jersey Prevailing Wage Act. The New Jersey Prevailing Wage Act (N.J.S.A. 34:11-56.25 et seq.) establishes a prevailing wage for workers engaged in public work. The act requires the payment of minimum rates of pay to laborers, craftsmen, and apprentices employed on public works projects. Covered workers must receive the appropriate craft prevailing wage rate as determined by the Commissioner of Labor and Workforce Development. The state wants to make sure public bodies are aware of their responsibilities when working with contractors or subcontractors including: Ensuring that the appropriate prevailing wage determination(s) are contained within the contract between the public body and the general contractor. Ensuring that certified payrolls are submitted weekly for all work performed subject to the NJPWA. Checking the NJDOL website prior to awarding a contract to confirm the contractor and any named subcontractors are registered with the NJDOL as public works contractors under the NJPWCRA and do not appear on the list of ineligible bidders by virtue of debarment or outstanding judgments. Establishing and maintaining a process for collecting certified payroll records and making them accessible to the public and NJDOL for review. When the lowest bid for a contract for public work is at least 10 percent lower than the next lowest bid, ensuring that, prior to awarding the contract, the lowest bidder submits a written certification stating that the contractor will pay all workers the prevailing wage rate. Additionally, Governor Murphy signed A-3666 in 2019 which mandated that construction contractors performing public work participate in a USDOL Registered Apprenticeship program. The apprenticeship model reinforces positivity in the work environment by enabling participants to earn wages for skills learned. For more information on New Jersey’s wage and hour laws, visit myworkrights.nj.gov.
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