15. Employee Protections
Prevailing Wage and Anti-Kickback
For all prime construction, alteration or repair contracts in excess of $2,000 awarded by FTA, the
Contractor shall comply with the Davis-Bacon Act and the Copeland “Anti-Kickback” Act. Under 49
U.S.C. § 5333(a), prevailing wage protections apply to laborers and mechanics employed on FTA assisted
construction, alteration, or repair projects. The Contractor will comply with the Davis-Bacon Act,
40 U.S.C. §§ 3141-3144, and 3146-3148 as supplemented by DOL regulations at 29 C.F.R. part 5, “Labor
Standards Provisions Applicable to Contracts Governing Federally Financed and Assisted Construction.”
In accordance with the statute, the Contractor shall pay wages to laborers and mechanics at a rate not
less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In
addition, the Contractor agrees to pay wages not less than once a week. The Contractor shall also
comply with the Copeland “Anti-Kickback’ Act (40 U.S.C. § 3145), as supplemented by DOL regulations
at 29 C.F.R. part 3, “Contractors and Subcontractors on Public Building or Public Work Financed in Whole
or in part by Loans or Grants from the United States.” The Contractor is prohibited from inducing, by any
means, any person employed in the construction, completion, or repair of public work, to give up any
part of the compensation to which he or she is otherwise entitled.
Contract Work Hours and Safety Standards
(a) Overtime requirements — Neither the Seller or any subcontractors contracting for any part of the contract work
which may require or involve the employment of laborers or mechanics shall require or permit any such laborer
or mechanic in any workweek in which he or she is employed on such work to work in excess of 40 hours in such
workweek unless such laborer or mechanic receives compensation at a rate not less than one and one-half times
the basic rate of pay for all hours worked in excess of 40 hours in such workweek.
(b) Violation; liability for unpaid wages; liquidated damages - In the event of any violation of the clause set forth
in para. (1) of this section, Seller and any subcontractor responsible therefore shall be liable for the unpaid
wages. In addition, Seller and such subcontractor shall be liable for liquidated damages. Such liquidated
damages shall be computed with respect to each individual laborer or mechanic, including watchmen and
guards, employed in violation of the clause set forth in para. (1) of this section, in the sum of $10 for each
calendar day on which such individual was required or permitted to work in excess of the standard workweek of
40 hours without payment of the overtime wages required by the clause set forth in para. (1) of this section.
(c) Withholding for unpaid wages and liquidated damages - the City shall upon its own action or upon written
request of USDOL withhold or cause to be withheld, from any moneys payable on account of work performed
by Seller or subcontractor under any such contract or any other Federal contract with the same prime
contractor, or any other federally assisted contract subject to the Contract Work Hours & Safety Standards Act,
which is held by the same prime contractor, such sums as may be determined to be necessary to satisfy any
liabilities of such contractor or subcontractor for unpaid wages and liquidated damages as provided in the
clause set forth in para. (2) of this section.
(4) Subcontracts - Seller or subcontractor shall insert in any subcontracts the clauses set forth in this section
and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. Prime
contractor shall be responsible for compliance by any subcontractor or lower tier subcontractor with the clauses
set forth in this section.
