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.
Prevailing Wage
Related Terms
S&S (Significant and Substantial)
ComplianceA regulatory classification used by MSHA to flag violations that could reasonably cause serious injury or illness. S&S citations carry higher fines and greater scrutiny for subcontractors working on mine sites. Accumulating S&S violations can jeopardise a subcontractor's site access and future contract eligibility.
OFCCP (Office of Federal Contract Compliance Programs)
ComplianceA U.S. federal agency enforcing equal employment rules for companies working on federal contracts. Subcontractors on U.S. federal projects must meet hiring and anti-discrimination requirements. Non-compliance can result in contract termination or debarment from future federal work.
Metering Calibration
ComplianceThe process of verifying and adjusting flow meters, pressure gauges, and other measurement instruments to ensure accurate readings that meet regulatory and client standards — subcontractors providing metering services must maintain current calibration records as proof of compliance and to avoid liability for measurement disputes or billing discrepancies.
Api 579-1/asme Ffs-1 (fitness-for-Service Standard)
ComplianceA joint API/ASME standard used to assess whether ageing or damaged equipment is still safe to operate. Subcontractors may be required to conduct or support FFS assessments on pressure vessels, piping, and tanks. Results determine if equipment can stay in service, requires repair, or must be decommissioned.
Acclimatization
ComplianceThe process of allowing workers to safely adjust to extreme heat, cold, or altitude before full-duty deployment. Most worksites and safety regulations require a structured acclimatization period for new or returning crew. Subcontractors must factor this non-productive time into scheduling and labour costs.
Trench Cave-in Protection
ComplianceMandatory safety systems used to prevent trench walls from collapsing on workers during excavation. Common methods include shoring, sloping, and trench boxes. Subcontractors are legally responsible for implementing compliant cave-in protection before workers enter any trench deeper than 1.2 metres.
Latest Compliance News
AGC Takes New York to Court Over Prevailing Wage Expansion
The Associated General Contractors of America has filed suit against New York state over an expansion of its prevailing wage law, a case that could have broader implications for contractors working on public-adjacent private projects.
4 months agoWorkforceLabor Secretary Chavez-DeRemer Resigns Mid-Probe, Leaving OSHA and Prevailing Wage Policy in Flux
Labor Secretary Lori Chavez-DeRemer resigned April 20 amid an inspector general investigation, putting Deputy Secretary Keith Sonderling in charge of OSHA enforcement, Davis-Bacon oversight, and apprenticeship policy.
6 months agoComplianceIRS Waives Penalties for Red-Dyed Diesel on Highways Through Dec. 31
The IRS will not penalize highway use of dyed diesel from Oct. 1 to Dec. 31, 2026. Contractors running off-road fuel in trucks should still check state rules and document fuel purchases.
20 hours agoComplianceSpecialty Trades Cut Injury Rates 32.4% Since 2011-12, CPWR Finds
CPWR's June 2026 data bulletin shows nonfatal injury rates fell 46.9% in heavy and civil, 32.4% in specialty trades and 32.2% in building construction. Safety leads should benchmark against the specialty-trades figure before their next renewal.
20 hours agoRelated Guides
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Compliance GuideOSHA Citations on Multi-Employer Worksites: What Subcontractors Need to Know
Learn how OSHA's multi-employer citation policy works, why subcontractors get cited for hazards they didn't create, and how to protect your company on operator-controlled job sites.
Compliance GuideHow to Read and Negotiate an Oilfield Master Service Agreement (MSA): A Subcontractor's Guide
Learn which MSA clauses actually matter for oilfield subcontractors: indemnity, insurance, payment terms, and change orders. Know what you're signing.
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