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September 23, 2008         DOL Home > OALJ Home > USDOL/OALJ Reporter
USDOL/OALJ Reporter

MORRIS EXCAVATING COMPANY, INC., WAB No. 86-27 (WAB Feb. 4, 1987)


CCASE: MORRIS EXCAVATING DDATE: 19870204 TTEXT: ~1 [1] WAGE APPEALS BOARD UNITED STATES DEPARTMENT OF LABOR WASHINGTON, D.C. In the Matter of MORRIS EXCAVATING COMPANY, INC. WAB Case No. 86-27 STEVE MORRIS, PRESIDENT Dated: February 4, 1987 BEFORE: Alvin Bramow, Chairman, Thomas X. Dunn, Member Stuart Rothman, Member DECISION OF THE WAGE APPEALS BOARD This case is before the Wage Appeals Board on the petition of the Administrator of the Wage and Hour Division seeking review of the Administrative Law Judge's Decision and Order of August 29, 1986. See attachment. The Administrative Law Judge found that the violations of the Respondents, Morris Excavating Company or Steve Morris, President, were neither willful nor aggravated as there were considerations to mitigate the seriousness of the violations. Therefore, the ALJ concluded that the Respondents should not be debarred. The Board considered this appeal on the basis of the entire record before the ALJ, the Petition for Review, and Respondents' response to the Petition for Review. The Administrator and the Respondents do not desire an oral hearing before the Board. * * * [1] ~2 [2] The contractor is a small company. The contract amounts involved are also relatively small, $420,000 and $155,000. The work is localized specialty work, street and sidewalk repairs. But the problems for Davis-Bacon Act administration are not small. The Company says and the ALJ found, that it and its laborers, truck drivers, and operators agreed that it would pay them their regular wages now and the additional Davis-Bacon amount later. It would pay them at their "regular rate of pay" each week and the balance required under the Davis-Bacon Act before the end of the job but not later than December 25, 1983. There is nothing in writing on this. Full wages must be paid weekly under the Act. Certification that such wages were paid is not true if they were not. Even a clear agreement not to pay weekly makes the certification valueless for purposes of the Davis-Bacon Act administration, particularly where the contracting agencies are not notified in advance as to what is going on. For the Department of Labor and this Wage Appeals Board to excuse such an arrangement would establish a principle that each contractor doing this gets one free shot at underpaying laborers and mechanics on a Davis-Bacon project until the time of enforcement. [2] ~3 [3] In this case there was the coincidence that the Company was just about to make full payment when the Department of Labor investigator came in. If this were condoned for this Company, would not the Department of Labor and this Board have to make a similar exception in each future case in which a similar claim would be made? The violation here requires a sanction. The Board would impose, as a matter of principle, a minimum debarment. In view of the facts of this case, the decision of the ALJ is reversed and Morris-Excavating Company, Inc. and Steve Morris shall be debarred for a period of six months and shall be ineligible to receive any contract or subcontract subject to any of the statutes listed in 29 CFR [sec] 5.1 during this period. BY ORDER OF THE BOARD Craig Bulger, Executive Secretary Wage Appeals Board [3]



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