(a) A prevailing wage rate is a wage rate that is paid to an
experienced worker not disabled for the work to be performed. The
Department recognizes that there may be more than one wage rate for a
specific type of work in a given area. An employer must be able to
demonstrate that the rate being used as prevailing for determining a
commensurate wage was objectively determined according to the guidelines
contained in this section.
(b) An employer whose work force primarily consists of nondisabled
workers or who employs more than a token number of nondisabled workers
doing similar work may use as the prevailing wage the wage rate paid to
that employer's experienced nondisabled employees performing similar
work. Where an agency places a worker or workers with disabilities on
the premises of an employer described above, the wage paid to the
employer's experienced workers may be used as prevailing.
(c) An employer whose work force primarily consists of workers
disabled for the work to be performed may determine the prevailing wage
by ascertaining the wage rates paid to the experienced nondisabled
workers of other employers in the vicinity. Such data may be obtained by
surveying comparable firms in the area that employ primarily nondisabled
workers doing similar work. The firms surveyed must be representative of
comparable firms in terms of wages paid to experienced workers doing
similar work. The appropriate size of such a sample will depend on the
number of firms doing similar work but should include no less than three
firms unless there are fewer firms doing such work in the area. A
comparable firm is one which is of similar size in terms of employees or
which competes for or bids on contracts of a similar size or nature.
Employers may contact other sources such as the Bureau of Labor
Statistics or private or State employment services where surveys are not
practical. If similar work cannot be found in the area defined by the
geographic labor market, the closest comparable community may be used.
(d) The prevailing wage rate must be based upon the wage rate paid
to experienced nondisabled workers as defined elsewhere in these
regulations. Employment services which only provide entry level wage
data are not acceptable as sources for prevailing wage information as
required in these regulations.
(e) There is no prescribed method for tabulating the results of a
prevailing wage survey. For example, either a weighted or unweighted
average would be acceptable provided the employer is consistent in the
methodology used.
(f) The prevailing wage must be based upon work utilizing similar
methods and equipment. Where the employer is unable to obtain the
prevailing wage for a specific job to be performed on the premises, such
as collating documents, it would be acceptable to use as the prevailing
wage the wage paid to experienced individuals employed in similar jobs
such as file clerk or general office clerk, requiring the same general
skill levels.
(g) The following information should be recorded in documenting the
determination of prevailing wage rates:
(1) Date of contact with firm or other source;
(2) Name, address, and phone number of firm or other source
contacted;
(3) Individual contacted within firm or source;
(4) Title of individual contacted;
(5) Wage rate information provided;
(6) Brief description of work for which wage information is
provided;
(7) Basis for the conclusion that wage rate is not based upon an
entry level position. (See also Sec. 525.10(c).)
(h) A prevailing wage may not be less than the minimum wage
specified in section 6(a) of FLSA.
