Public WorksQuestion 1585 of 1632

A contractor who pays workers LESS than the required prevailing wage on a public works project is subject to:

a.A written warning from the awarding body for the first offense
b.Immediate revocation of the contractor's CSLB licence by law
c.Back wages plus a penalty per worker per day of violation
d.Forfeiture of the contract price to the public entity

Explanation

Labor Code §1775(a) makes the contractor pay the difference between what was paid and the prevailing rate, and adds a civil penalty of up to $200 for each worker for each calendar day of underpayment. Nothing in the statute offers a first-offense warning. Licence revocation is a CSLB proceeding under B&P §7110 that may follow, but it is neither automatic nor what §1775 imposes. Forfeiting the contract price is not a prevailing wage remedy; under §1726 the awarding body withholds only the assessed amounts.

Law Reference: Labor Code §1775(a)

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Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)
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