Labor Department Incorrectly Calculates Davis–Bacon Wage Requirements
Labor Department Incorrectly Calculates Davis–Bacon Wage Requirements:
Should government agencies use the best information possible? For more than 80 years, the Labor Department has answered that question in the negative.
The Davis–Bacon Act (DBA) of 1931 requires federal construction contractors to pay their workers at least the “prevailing wage” in their locality. The Act charges the Labor Department with estimating these prevailing wage rates. Fortunately, the Labor Department has a dedicated agency that specializes in calculating such labor statistics. Regrettably, the Labor Department does not use that agency—the Bureau of Labor Statistics (BLS)—to calculate Davis–Bacon rates.
Should government agencies use the best information possible? For more than 80 years, the Labor Department has answered that question in the negative.
The Davis–Bacon Act (DBA) of 1931 requires federal construction contractors to pay their workers at least the “prevailing wage” in their locality. The Act charges the Labor Department with estimating these prevailing wage rates. Fortunately, the Labor Department has a dedicated agency that specializes in calculating such labor statistics. Regrettably, the Labor Department does not use that agency—the Bureau of Labor Statistics (BLS)—to calculate Davis–Bacon rates.
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