Prevailing Wage Requirements

Target Group monitors Prevailing Wage and Davis-Bacon wage requirements based on legislation passed by the state and federal governments regarding minimum wages for on-site labor on construction projects. There are two types of wage requirements that are typically monitored by Target Group:

Prevailing Wage: According to the State of Illinois Dept. of Labor “The Prevailing Wage Act” requires contractors and subcontractors to pay laborers, workers and mechanics employed on public works construction projects no less than the general prevailing rate of wages (consisting of hourly cash wages plus fringe benefits) for work of a similar character in the county where the work is performed.”

Davis-Bacon: According to US federal law, the Davis Bacon Act is based on the local prevailing wages defined by the federal government and applies to “contractors and subcontractors performing on federally funded or assisted contracts in excess of $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works.”