Why is it important to you?
Wisconsin laws regulating the prevailing wage survey provide for a “contract match” to a collective bargaining agreement (CBA) rate and benefit that is on file with DWD. That means employers who report a CBA rate and the correct “allowable fringe benefit” on the survey are able to set a rate for prevailing wage that provides them the “current rate” and future increases contained in the matched collective bargaining agreement.
It takes only 500 work hours to set a rate. Private hours are what DWD looks at FIRST as to what sets the prevailing wage in that given area (except Project Type C DOT/Airport which is set by white sheet hours). The data reported for each classification is evaluated and the new rate is set from (1) a majority of the hours reported or if no majority exists, (2) a weighted average with the prevailing rate selected at 51%.
Example of two contractors who both set a local street prevailing wage rate and what the impact of a “contract match” would do for the CBA contractor
| Work for survey period reported 6/1/14-5/31/15 | New Prev Wage Rate set for 1/1/16 | Prev Wage Rate 6/1/16 | The Difference |
| CBA Contractor Reports | CBA | CBA |
$2.55 per hour above rate actually reported on survey. CBA gets current rate and future increases of agreement on file! Very important for multi-year jobs! |
| HBR: $37.22 | HBR: $37.77 | Gets future increase as of June 1, 2016 of $1.30 applied to the rates! | |
|
FBR: $21.15 (2014 match to H&H) |
FBR: $21.85 Gets current rate of 2015 H&H contract in effect. |
||
| Total Package: $58.37 | Total Package: $59.62 | Total Package: $60.92 | |
| Non CBA Contractor Reports | Non CBA | Non CBA |
Non CBA rate reported from 2014/2015 survey period stays at $38.00 thru the end of 2016 making it virtually impossible for a CBA contractor to compete since the CBA contractor must pay their contract rate regardless. |
| HBR: $30.00 | HBR: $30.00 | HBR: $30.00 | |
| FBR: $8.00 | FBR: $8.00 | FBR: $8.00 | |
| Total Package: $38.00 | Total Package: $38.00 | Total Package: $38.00 |
** A contract match also protects “premium rates” as part of the prevailing wage rates. If there is no match, the premium rates also are lost in addition to the above.