Federation of Connecticut Taxpayer Organizations

The legislature enacted the state's prevailing wage law in 1933. It requires contractors on public construction jobs to pay their laborers the same wage as is "customarily" paid for the same work in the town where the work is being performed. Currently, the law applies to all state and local government new construction projects costing $ 400,000 or more and to local and state government alteration and repair jobs costing $ 100,000 or more.

During the 1980s, the dollar thresholds were increased and new requirements for individuals involved with prevailing wage contracts were enacted. During the 1990s, the dollar thresholds were doubled and penalties for violations of the prevailing wage law were enhanced. There have been no changes to the prevailing wage law in the last four years.

1980S

In 1983, the law was amended to require individuals responsible for prevailing wage contracts to contact the labor commissioner 10 to 20 days prior to the date a contract is advertised for bid to ascertain the proper rate of wages and employee fund contributions.

In 1985, the threshold amount was increased from $ 50,000 to $ 200,000 for new construction and from $ 10,000 to $ 50,000 for various kinds of renovations. The law was also amended to require the person responsible for putting a contract subject to the prevailing wage out to bid to certify in writing to the labor commissioner the total dollar amount of the work to be done on the project. Contractors were required to certify under oath to the commissioner the pay scale he and any of his subcontractors would be using.

1990S

In 1991, the thresholds for state and local public works projects covered by the prevailing wage law were doubled and the penalties for violating the law were increased. The 1991 act made the prevailing wage law apply to projects involving new construction costing at least $ 400,000 instead of $ 200,000 and to projects involving repairs or alterations costing at least $ 100,000 instead of $ 50,000. It increased the fine for each knowing or willful violation from not more than $ 100 to between $ 2,500 and $ 5,000. It also extended the time a violator remains on the Labor Department's list of those ineligible for state and local contracts from three to five years.

In 1993, an act was passed requiring employers subject to the prevailing wage law to file weekly certified payrolls with the contracting public agency. A new crime of false statement in the first degree was created to cover someone who intentionally files a false certified payroll. The crime is a class D felony. The act also made it a crime for an employer to file a false certified payroll and to fail to pay an employee or an employee welfare fund the amount shown on the payroll. It reduced the time an employer who violates the prevailing wage law can be barred from receiving state or local public works contracts from five years to a maximum of three years. The act also increased the fines and penalties for violating certain state wage laws, prohibited employers from retaliating against employees who file or testify about wage claims, and permitted the labor commissioner to conclude reciprocal agreements with other states for interstate collection of wage claims and judgments.

In 1997, enforcement of the prevailing wage law was enhanced by (1) giving towns a share of the increased fines when local building inspectors are first to spot violations; (2) making it a felony for a contractor subject to the prevailing wage law to fail to file certified payrolls with the contracting agency; (3) banning contractors who violate the prevailing wage law from bidding on public work contracts for a minimum of six months for a first violation, and two years for a subsequent one; (4) allowing contracting agencies to hold back funds from money due contractors who violate the prevailing wage law; (5) requiring contractors to submit certified payrolls on a monthly rather than weekly basis; and (6) expanding the types of employee welfare funds covered by the benefit payments requirement to include trust funds established by one or more third parties not affiliated with the employers, as well as such funds established by employers or labor organizations. Fines for retaliating against an employee because he participates in a wage claim, for failing to keep or furnish wage records, and for hindering a wage investigation were doubled. In addition, the civil penalty for violating a wage law was increased from $ 150 to $ 300.