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ComplianceGlossary Term

Prevailing Wage

The minimum hourly rate subcontractors must pay workers on government-funded projects, set by regional labour surveys. Rates vary by trade and location, directly affecting your bid pricing and labour costs. Underpaying prevailing wage on public contracts can result in fines, back pay obligations, and disqualification from future bids.

Related Terms

NIOSH (National Institute for Occupational Safety and Health)

Compliance

A U.S. federal agency that researches workplace hazards and sets exposure limits for chemicals, noise, and physical risks. Subcontractors working on cross-border or U.S.-based projects must align PPE and safety practices with NIOSH standards. Their certified equipment ratings, such as respirator approvals, are often mandatory on client worksites.

Utility Locating

Compliance

The process of identifying and marking underground utilities before excavation begins. Subcontractors are often required to confirm locates are valid before breaking ground. Failure to comply can result in strikes, liability, and work stoppages.

Hazard Elimination

Compliance

The highest level of hazard control, where a risk is completely removed from the worksite rather than managed. For subcontractors, this may mean redesigning a task or substituting dangerous equipment before mobilising crews. It is the preferred first step in any hierarchy of controls review.

Bid Bond

Compliance

A guarantee issued by a surety that your company will honour its bid price if awarded a contract. It protects the owner if you back out after winning. Typically required on larger public or industrial projects before your tender is accepted.

Structural Safety Margin

Compliance

The buffer between a structure's maximum rated load capacity and the actual working load applied during operations. Subcontractors must verify these margins before rigging, lifting, or loading any platform, scaffold, or support structure. Exceeding the margin creates liability and triggers mandatory incident reporting.

Call 811

Compliance

North American one-call notification service subcontractors must contact before excavation to have underground utilities located and marked. Skipping this step can cause utility strikes, project shutdowns, and personal liability for damages. Most jurisdictions require proof of notification before digging permits are issued.

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