Public WorksQuestion 1591 of 1632

Failure to comply with apprenticeship requirements on a covered public works project can result in:

a.Forfeiture of the contractor's DIR registration and its fee
b.An increase in the contract price to fund the missed hours
c.Referral to the CSLB for an automatic licence suspension
d.Civil penalties and possible debarment from public work

Explanation

Labor Code §1777.7 sets a civil penalty of up to $100 for each full calendar day of noncompliance, rising to $300 a day for a knowing second violation within three years, and §1777.1(d)(1) lets the Labor Commissioner deny the right to bid on or perform public work for up to one year, or up to three for a repeat. DIR registration is a separate duty and is not forfeited for an apprenticeship breach. No statute raises the contract price to pay for a compliance failure. The CSLB may discipline a licence after a referral, but nothing about that is automatic.

Law Reference: Labor Code §1777.7; §1777.1(d)(1)

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