Heyl Royster

 


Heyl Royster

 

Partial Repeal of Prevailing Wage Act

9/6/18

Missouri's prevailing wage statute dates back to 1959, and involves the rate of pay for employees working on public works projects, such as local jails, schools and courthouses. Historically, the state compared the number of hours worked in each county at the collectively bargained rate and the rate non-union contractors pay. The rate with the most hours worked each year prevailed and became the prevailing wage for each skill set and occupation in each county. 

However, under the new law, at least 1,000 hours of work in a given county and job category must be reported to the state for the previous year for the prevailing wage rate to apply. If that does not happen, a contracting minimum wage defined as 120% of a county's average wage will be paid to construction workers.

The new statute also exempts all public works projects costing less than $10,000 from competitive bid requirements. Finally, the change in the law does not affect construction projects worth less than $75,000.

For more information, contact Jim Nowogrocki in the recently opened St. Louis office of Heyl Royster.