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Prevailing wage is the minimum rate of pay and supplemental benefits contractors must pay workers on public work in New York State under Labor Law 220. The rate depends on the type of work actually performed and the location, and the rate schedule should be posted at the job site.
Polish masons, carpenters, electricians and laborers work on school renovations in Queens, park projects in Brooklyn, and roads and public buildings on Long Island. Many are hired by small subcontractors who pay “the usual” – a flat day rate, whether the job is private or public.
On public work, though, special rules apply. The contractor has to pay at least the rate set for that trade and region, supplemental benefits included. The difference compared with a regular day rate can be significant. This guide explains when prevailing wage applies, what it’s made of, how to check the right rate and what you can do if an employer pays less.
When work counts as “public” and who is entitled to the rate
According to the New York State Department of Labor, public work generally means a public agency is a party to the contract, the work is construction-type labor paid for with public funds, and its main purpose is public use or benefit. Maintenance and repair work is covered too, not just new projects.
Employees of the prime contractor and of every subcontractor are entitled to the rate. If a subcontractor doesn’t comply, the prime contractor is responsible as well. The rate is based on the work you actually do on site, not on the job title your employer gives you – a point the New York City Comptroller’s office makes clearly.
Since 2022, prevailing wage also reaches some private projects. Under Labor Law 224-a, that means projects costing more than $5 million where public funds make up at least 30 percent of construction costs, for contracts signed on or after January 1, 2022. The law has exceptions, including for certain kinds of funding, so each project has to be checked on its own.
Separate rules cover building service workers – cleaners, security guards, doorstaff. According to the Comptroller’s office, they are owed prevailing wage at, among others, buildings receiving certain tax benefits, if they regularly work there at least eight hours a week. This guide focuses on construction work.
What the rate is made of: wages and supplements
Prevailing wage isn’t just an hourly rate. It is made up of wages and supplements, which can be paid in cash, as contributions to funds such as pension or health plans, or both. According to the Department of Labor, workers must receive the full rate for every hour worked, and extra supplements cannot make up for underpaid wages.
Rates are set every year on July 1, based on collective bargaining agreements in each locality. Overtime applies at a minimum to work beyond eight hours a day or more than five days a week, with details in each trade’s schedule. Breaks of 20 minutes or less count as paid time, and time spent waiting at the site after reporting to work should also be paid at the prevailing rate.
Only apprentices individually registered in a New York State–registered apprenticeship program can be paid less than the full journeyworker rate. According to the Department of Labor, helpers, trainees and others “learning the trade” without that registration should get the full rate. On Polish crews, this is one of the most common problems: a helper does the same work as the tradesman but gets half the pay.
Call and talk it through in Polish: 718-383-0100
How to check the rate: the posted schedule and official listings
The prime contractor and every subcontractor must post the wage and supplement schedule in a prominent, accessible place on the job site. Take a photo of it, and note the project name, address and the company running the job – they are often on the sign on the construction fence.
For projects let by the state and by localities outside New York City, rates are set and enforced by the Department of Labor’s Bureau of Public Work and Prevailing Wage Enforcement. Each project has a case number (PRC number), and wage schedules are available on the Department’s website – see the Department of Labor’s prevailing wage overview.
For projects let by the City of New York, the NYC Comptroller sets the rates each year, enforces them and publishes the schedules online. According to the Comptroller’s office, immigration status does not affect a worker’s right to prevailing wage. Contractors must also keep certified payroll records, affirmed under penalty of perjury, for at least six years.
What you can do if you’re underpaid
Underpayment can be reported in writing to the Department of Labor’s Bureau of Public Work or, for City projects, to the Comptroller’s office, including through its online form. The Department of Labor says it tries to keep the complainant’s name confidential. During an investigation, the agency usually asks the contractor for certified payrolls, daily time records and proof of payment.
The law provides penalties for contractors: interest on amounts owed, financial penalties and, for willful violations, a five-year ban from public work. In some situations, back pay can also be pursued in court. Which route to take – agency or court – and in what order depends on the facts and is worth discussing before the first filing.
Underpayment on a public job is a different problem from being paid in cash or “on a 1099” and missing overtime on regular work – the firm has covered that in a separate Poland.us article. The two can, however, happen at the same time.
How to prepare for your first conversation with The Stein Law Group
- Project details. The site address, the project name, the prime contractor and the company that paid you. A photo of the sign on the construction fence helps a lot.
- A photo of the rate schedule. If the schedule was posted on site, a photo of it is useful. If it wasn’t posted, that matters too.
- Proof of pay. Pay stubs, transfers, photos of checks and notes on cash payments – with dates and amounts.
- Your hours. Your own notes with start and end times, texts with schedules, dated photos from the site. They let you reconstruct your hours when the employer didn’t keep records.
- A description of your work. What you actually did – masonry, electrical, demolition – and with which tools. That determines which trade rate applies.
The Stein Law Group, with offices in Greenpoint and Maspeth, handles unpaid wage cases – practice areas and contact details in the Polish Pages directory.
Mistakes that make it harder to recover what you’re owed
The first mistake is signing receipts for money you never got, or payroll sheets with hours that don’t match reality. Those papers later go to the agency as proof that everything was in order. The second is handing part of your pay back to the boss “under the table” – a red flag worth raising with a lawyer right away.
The third mistake is not keeping your own notes. When a company disappears or changes its name, a worker’s photos and notes can be the only record of the job. The fourth is waiting until the project ends. The sooner the issue is raised, the easier it is to secure payroll records and establish who is responsible.
Frequently asked questions
Does prevailing wage apply on private construction?
Usually not. Exceptions include projects covered by Labor Law 224-a: at least 30 percent public funding and a cost above $5 million, for contracts from January 1, 2022.
Does a helper get the same rate as a tradesman?
According to the Department of Labor, only apprentices registered in a registered apprenticeship program can be paid less. Helpers without that registration should get the full rate.
How do I find out what the rate is?
The rate schedule should be posted on site. The Department of Labor also publishes rates, and for City projects so does the NYC Comptroller.
Can a subcontractor pay less than the prime contractor?
No. The obligation applies to every company on the job, and the prime contractor is also responsible for a subcontractor’s violations.
Prevailing wage exists so that public money isn’t used to drive wages down. A worker who knows the rate and documents the work has a much better chance of recovering what’s owed.
Your first conversation with the firm’s team is always in Polish, and the consultation is free. Attorney Adam J. Stein, Esq. will check whether the project was covered and assess which steps may be available in your situation.
Ask the firm about unpaid wages: 718-383-0100
This article is for general information only and is not legal advice; reading it does not create an attorney–client relationship. Every case requires an individual assessment – please contact The Stein Law Group, PLLC about your situation. Attorney Advertising. Prior results do not guarantee a similar outcome.
