What is prevailing wage?

[jatin]

I'm trying to understand what "prevailing wage" means, especially in the context of government contracts and labor laws. How is it calculated, who sets it, and does it vary by region or job type? Any clear explanation would be appreciated.

 

[kate]

A prevailing wage is the minimum hourly wage and benefits that must be paid to workers on certain public works projects. It's essentially the "going rate" for a specific type of work in a given geographic area, and is often determined by government agencies.

 

[Emly]

A prevailing wage is the average wage paid to workers in a specific trade or occupation within a geographic area, typically set by government agencies. It ensures that workers on public projects, like construction funded by federal or state money, are paid fairly and competitively. Prevailing wage laws help prevent undercutting of local labor rates and maintain industry standards.

 

[Mayank]

Prevailing wage is the standard pay rate set by law for workers in a specific job and location, ensuring fair wages based on local industry standards, often used in government contracts to prevent underpayment and promote fair competition.

 

[devinluke]

A prevailing wage is the standard or average hourly wage, including benefits and overtime, paid to similarly employed workers in a specific occupation and geographic area. In the United States, this concept is primarily used for federally and state-funded public works projects, governed by the Davis-Bacon Act and "little Davis-Bacon" state laws.