Establishes minimum pay rates for workers on covered public works projects. Rates vary by trade, craft, experience, and county. Employers are required to post applicable rates at the job site. Filed with the New Jersey Division of Wage and Hour Compliance.
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Prevailing Wage Claims
If you worked on a public construction or maintenance project in New Jersey, the law may have entitled you to a specific wage rate your employer never paid. Mark & Kleinfeldt has successfully handled claims against employers under the New Jersey Prevailing Wage Act.
What Is a Prevailing Wage Claim Under New Jersey Law?
The New Jersey Prevailing Wage Act (PWA) establishes minimum wage levels for workers engaged in construction, maintenance, and other services on public works projects. It exists to ensure that workers on government-funded projects receive fair pay and that contractors cannot win public bids by underpaying their workers. Without the PWA, the pressure to submit the lowest bid on a public project could drive wages down to levels that harm both workers and the quality of the work itself.
The prevailing wage rate is not a single number. Rates vary by trade, craft, experience level, and county, and they are updated regularly based on collective bargaining agreements negotiated by trade unions. Besides base pay, the PWA also sets requirements for fringe benefits such as medical coverage, pension or retirement plans, and other compensation, and ensures workers are paid appropriately for overtime, weekend work, and holiday shifts.
Employers working on covered public projects are required to post the applicable prevailing wage rates at the job site. If you are working on a public project and have not seen a posting, or if what you are being paid does not match what the posting shows, you may be owed more than you are receiving.
Who Is Protected Under This Law?
The PWA protects workers engaged in construction, maintenance, and other trades performing covered work on public projects funded in whole or in part by a public body. Contracts for public works valued at or above the current threshold must comply with the prevailing wage requirements. Protection extends to workers employed directly by a contractor as well as those employed by subcontractors on the same project.
If you perform covered work on a qualifying public project and are not receiving the prevailing wage, you may have a claim.
Signs You May Have a Prevailing Wage Claim
You are working on a public project and your pay does not match the posted prevailing wage rate
You have never seen a prevailing wage posting at your job site
You are not receiving the fringe benefits the prevailing wage rate includes
You are doing skilled trade work but being paid at a lower classification rate
Your employer's certified payroll records do not reflect what you are actually being paid
You were told the prevailing wage law does not apply to your project but you believe it does
What You Need to Prove in a Prevailing Wage Case
To bring a successful prevailing wage claim, you generally need to establish the following, but you don't need to have this all figured out before you call:
You performed covered work on a qualifying public project
You performed construction, maintenance, or other covered work on a project funded in whole or in part by a public body, and the contract value meets or exceeds the applicable threshold.
The prevailing wage rate applied to your work
A specific prevailing wage rate applied to your trade, craft, and county for the work you performed. The NJ Division of Wage and Hour Compliance publishes and updates these rates.
You were paid less than the required rate
Your employer paid you less than the applicable prevailing wage rate, failed to provide required fringe benefits, or paid the cash equivalent of those benefits at a rate below what the PWA requires.
Common Prevailing Wage Violations in New Jersey
Employers violate the PWA in a number of recognizable ways. If any of these describe your situation, you may be owed back wages, penalties, and attorney's fees.
You are performing covered work on a public project but being paid less than the prevailing wage rate for your trade, craft, and county. This is the most direct form of PWA violation.
Your employer is not providing the fringe benefits required under the PWA, such as medical coverage or pension contributions, or is not paying their cash equivalent.
Your employer has not posted the applicable prevailing wage rates at the job site as required by the PWA. This posting requirement exists specifically so workers can verify they are being paid correctly.
Your employer is paying you at the rate for a less skilled or lower-paid classification than the work you are actually performing, in order to reduce its wage obligations on the project.
Your employer is submitting certified payroll records to the contracting public body showing rates that do not match what workers are actually receiving. This is a serious violation that can result in criminal charges as well as civil liability.
How Prevailing Wage Cases Work in New Jersey
If you suspect you have been underpaid on a public project, here is what the process looks like from the first conversation forward.
An attorney reviews the facts of your situation and tells you whether you have a viable prevailing wage claim, what you may be owed, and what your options are.
The client provides all of their evidence: your pay stubs and payroll records, the applicable prevailing wage rate schedules for your trade and county, records of the public project and its funding, and documentation of any fringe benefits you did or did not receive.
Prevailing wage claims are filed with the New Jersey Division of Wage and Hour Compliance. The Division performs routine site inspections of public construction projects and can impose fines and penalties on employers who violate the PWA.
Mark & Kleinfeldt negotiates from a position of strength, prepared to take a case as far as it needs to go. The firm has successfully handled prevailing wage claims against employers and will fight to get you paid.
Successful prevailing wage claims can result in recovery of the full difference between what you were paid and the prevailing wage you were owed, plus reasonable attorney's fees. Employers who violate the PWA may also face administrative fines and penalties.
Related Claims to Consider
Prevailing wage violations often overlap with other employment claims. If any of the following also describe your situation, you may have more than one claim worth pursuing.
Wage and Hour Claims
If you have been underpaid on a public project, you may also have unpaid overtime or other wage and hour claims under New Jersey's Wage and Hour Law.
Employee Misclassification
If your employer misclassified your trade or craft to pay you at a lower prevailing wage rate, you may also have a misclassification claim.
Frequently Asked Questions
The prevailing wage rate is the minimum pay rate set by the state for workers in a specific trade, craft, and county performing covered work on qualifying public projects. Rates are based on collective bargaining agreements and updated regularly by the NJ Division of Wage and Hour Compliance. Your employer is required to post the applicable rates at the job site. If no posting exists or you cannot find your rate, an attorney can help you identify what you should have been paid.
Yes. The PWA applies to workers employed by contractors and subcontractors performing covered work on qualifying public projects. Being employed by a subcontractor rather than the prime contractor does not affect your entitlement to the prevailing wage.
Cash payments and missing payroll records are red flags for prevailing wage violations. Employers on covered projects are required to maintain certified payroll records and submit them to the contracting public body. If your employer is paying cash off the books, it may be violating both the PWA and the NJ Wage Payment Law. Speak with an attorney as soon as possible.
Generally, yes. Under New Jersey law, anyone who has performed work for wages is entitled to be paid for that work. Immigration status does not eliminate an employer's obligation to pay the prevailing wage. However, these cases involve sensitivities that vary depending on the individual circumstances, and anyone in this situation should speak with an attorney before taking action.
Prevailing wage claims must generally be filed within six years.
Ready to Find Out If You Are Owed Prevailing Wages?
You've learned what the Prevailing Wage Act covers and what you would need to show. The next step is a free conversation with a Certified Civil Trial Attorney who can tell you specifically what you may be owed and how to recover it.