The Davis-Bacon Act, explained

Coverage, obligations, the 2023 rule, and enforcement - in plain language

The Davis-Bacon Act is the 1931 federal law requiring contractors and subcontractors on federal construction contracts over $2,000 to pay their laborers and mechanics no less than the locally prevailing wages and fringe benefits, as determined by the U.S. Department of Labor (40 U.S.C. §§3141–3148). Through roughly seventy “Related Acts,” the same requirement attaches to most federally assisted construction - highways, housing, water infrastructure, and other programs built with federal money.

What it requires

• Pay the determination. Every covered worker must receive at least the base rate plus fringe listed for their classification in the contract's wage determination, for all hours worked on the site of the work.
• Weekly pay and certified payroll. Covered workers must be paid weekly, and contractors must submit weekly certified payroll records under the Copeland Act (29 CFR part 3).
• Post the rates. The wage determination and the DOL poster (WH-1321) must be displayed at the site.
• Overtime. On contracts covered by the Contract Work Hours and Safety Standards Act, hours over 40 per week are paid at 1.5× the basic rate - fringe stays at straight time. Worked math in the calculator.

Coverage in one paragraph

Covered: construction, alteration, or repair of public buildings or public works, on contracts over $2,000, funded or assisted by the federal government, for laborers and mechanics on the site of the work. Not covered by Davis-Bacon itself: purely private projects with no federal money (though a state prevailing-wage law may apply), and employees who are not laborers or mechanics (29 CFR §5.2).

The 2023 rule update

In October 2023 DOL's first comprehensive Davis-Bacon rule update in four decades took effect. Among other changes it restored the “30% rule” for identifying a prevailing rate from survey data (see how rates are calculated) and allowed DOL to periodically update out-of-date survey rates between surveys. Parts of the rule were subsequently challenged in federal court, and some provisions were preliminarily enjoined - the current state of the rule is tracked on DOL’s rulemaking page.

Enforcement

The Wage and Hour Division investigates violations. Remedies include withholding contract payments to cover back wages, contract termination, and - for willful violations - debarment from federal contracts for up to three years (29 CFR §5.12).

Find the rate for a project

Davis-Bacon rates are published as county-level wage determinations at SAM.gov. Use the lookup guide, or start from your state page.