Q1. What is the methodology for determining the prevailing wage rate?
A1. The prevailing wage rate is the basic hourly rate paid on public works projects to a majority of workers engaged in a particular craft, classification or type of work within the locality and in the nearest labor market area (if a majority of such workers are paid at a single rate). If there is no single rate paid to a majority, then the single or modal rate being paid to the greater number of workers is prevailing.
Q2. How does the prevailing wage affect me?
A2. California's prevailing wage laws ensure that the ability to get a public works contract is not based on paying lower wage rates than a competitor. All bidders are required to use the same wage rates when bidding on a public works project. California law requires that not less than the general prevailing rate of per diem wages be paid to all workers employed on a public works project.
Q3. What is a general prevailing wage determination?
A3. When the director of the California Department of Industrial Relations determines that the general prevailing rate of per diem wages for a particular craft, classification, or type of worker is uniform throughout an area, the director issues a determination enumerated county by county, but covering the entire area. General determinations are issued twice a year on February 22 and August 22.
Q4. What is a special prevailing wage determination?
A4. When a particular craft, classification or type of worker is not covered by a general determination, the awarding body may request a special prevailing wage determination. Requests must be made at least 45 days prior to the bid advertisement date.
Q5. What is an issue date?
A5. The date upon which copies of the determination of the director are deposited in the mail. Determinations are issued twice a year – Feb. 22 and Aug. 22.
Q6. Why is there an expiration date for each prevailing wage determination?
A6. The expiration date indicates when the determination of the director of the California Department of Industrial Relations is subject to change.
Q7. What does it mean when there is a single asterisk (*) after the expiration date of a prevailing wage determination?
A7. Prevailing wage determinations with a single asterisk after the expiration date, which are in effect on the date of advertisement for bids, remain in effect for the life of the project. Interested parties should contact the Office of the Director - Research Unit at (415) 703-4774 for the new rates after 10 days from the expiration date (if no subsequent determination is required) or visit our website.
Q8. What does it mean when there are double asterisks (**) after the expiration date of a prevailing wage determination?
A8. Prevailing wage determinations with double asterisks after the expiration date indicate that the basic hourly wage rate, overtime, holiday pay rates and employers' payments for work performed after this date have been predetermined. If work is to extend past this date, the new rates must be paid and should be incorporated in contracts entered into now.
Q9. What is a predetermined change?
A9. Definite changes to the basic hourly wage rate, overtime, holiday pay rates and employer payments which are known and specified in the applicable collective bargaining agreement at the time of the bid advertisement date and which are referenced in the general prevailing rate of per diem wages.
Q10. What is the effective date of a prevailing wage determination?
A10. The date upon which the determinations of the director of the California Department of Industrial Relations go into effect. This date is 10 days after the issue date of the determination.
Q11. What is a residential project?
A11. Projects consisting of single-family homes and apartments up to and including four stories are subject to payment of prevailing wages when paid for in whole or in part out of public funds, including federally funded or assisted residential projects controlled or carried out by an awarding body.
Q12. What is a commercial project?
A12. All non-residential construction projects including new work, additions, alterations, reconstruction and repairs. This includes residential projects over four stories.
Q13. What is a coverage determination?
A13. A process in which the awarding body or any other interested party (such as a contractor, employee, union or labor-management compliance organization) may request a written determination by the director of the Department of Industrial Relations about a specific construction project or type of work to be performed.
Q14. When does overtime apply?
A14. Compensation for all hours worked in excess of eight hours per day and 40 hours during any one week should be not less than one-and-one-half times the basic rate of pay. For specific overtime requirements, please refer to the prevailing wage determinations.
Q15. What are the threshold requirements for a public works project?
A15. Prevailing wages must be paid to all workers employed on a public works project when the public works project is over $1,000. If an awarding body elects to initiate and enforce a labor compliance program, that has been approved by the Director of the Department of Industrial Relations, for every public works project under the authority of the awarding body, prevailing wages are not required to be paid for any public works project of $25,000 or less when the project is for construction work, or for any public works project of $15,000 or less when the project is for alteration, demolition, repair, or maintenance work.


For more details, please refer to the applicable statutes and regulations regarding the payment of prevailing wages and General Prevailing Wage Determination(s) including the footnotes. Such information is available on the Department of Industrial Relations' website at http://www.dir.ca.gov/. You may also email questions about prevailing wage rate determinations to the Labor Research and Statistics Office.

Employee Benefits Administration Corp.
"A Prevailing Wage Administration Corp". 
For more Information: Visit our website by clicking the link below!!

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P.O. Box 420603 · San Francisco, CA · 94142-0603 · www.dir.ca.gov 
News Release No.: 2017-79 Date: August 25, 2017 
  
California High Heat Advisory: Cal/OSHA Reminds Employers Shade Must Be Made Available for Outdoor Workers 
Oakland--
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As temperatures are projected to hit triple digits across the state with prolonged heat waves, Cal/OSHA reminds employers with outdoor workers that shade must be made available at all times, and must be in place when temperatures reach 80 degrees or above.  
The National Weather Service has issued excessive heat warnings and high heat advisories statewide, especially in inland areas. Periods of prolonged, widespread triple digit heat is expected tomorrow through Thursday in downtown Los Angeles and much of Southern California’s inland areas, as well as in the Bay Area, Monterey, Sacramento and Central Valley regions.   
“Heat illness can be prevented, and providing access to shade and encouraging workers to take short breaks is one of the keys,” said Cal/OSHA Chief, Juliann Sum. “It also allows employers to monitor for signs of heat illness.”  
Cal/OSHA urges workers experiencing possible overheating to take a preventative cooldown rest in the shade until symptoms are gone. Workers who have existing health problems or medical conditions that reduce tolerance to heat, such as diabetes, need to be extra vigilant. Some high blood pressure and anti-inflammatory medications can also increase a worker’s risk for heat illness.  
Staying properly hydrated throughout the workday is one of the most effective heat illness prevention techniques. Cal/OSHA encourages all workers to drink at least one quart of water every hour, preferably sipping an 8-ounce cup of water every 15 minutes. Drinks such as soda, sports drinks, coffee, energy drinks or iced tea are not recommended for hydration. Also, the lingering effects of alcoholic beverages can contribute to quickly dehydrating the body in hot weather.  
In addition to the basic steps outlined by California’s heat regulation for employers with outdoor workers, heat at or above 95 degrees Fahrenheit requires additional precautions. Among other measures, it is crucial that workers are actively monitored for early signs of heat illness. This helps ensure sick employees receive treatment immediately and that the symptoms do not develop into serious illness or death. 
    
In case a worker does get sick, supervisors and coworkers must be trained on the emergency procedures required to ensure that the sick worker receives treatment immediately and serious illness does not develop.  
Cal/OSHA inspects outdoor worksites in agriculture, construction, landscaping, and other operations throughout the heat season.    
Cal/OSHA’s Heat Illness Prevention special emphasis program, the first of its kind in the nation, includes enforcement of heat regulations as well as multilingual outreach and training program for California’s employers and workers. Online information on heat illness prevention requirements and training materials are available on Cal/OSHA’s Heat Illness Prevention web page and the Water. Rest. Shade. campaign site. A Heat Illness Prevention e-tool is also available on Cal/OSHA’s website. 
Cal/OSHA helps protect workers from health and safety hazards on the job in almost every workplace in California. Employers and workers who have questions or need assistance with workplace health and safety programs can call Cal/OSHA’s Consultation Services Branch at 800-963-9424. 

These days one of the most controversial subjects that has everyone talking, is the Affordable Care Act (Obama Care). There has been so much confusion surrounding it, mostly from a lack of information being given out regarding it. Which is why one of the most commonly asked questions is how we are going to be able to afford Obama Care? The majority of the public haven't realized up until now that the Affordable Care Act requires taxes to be collected in order to fund certain provisions of the health reform. The 4 required Affordable Care Act taxes are added directly into your monthly premium, so most people won't even realize the reason their insurance costs will be jumping more than normal in 2014 is due to the taxes. 


Take a look at the breakdown of these taxes:

The Health Insurer Tax: this tax will help fund premium subsidies for certain individuals and families purchasing coverage through health insurance exchanges. It will be effective January 1, 2014 and will be 2.3% of your insurance premium. 

The Transitional Reinsurance Tax: the purpose of this tax is to help stabilize premiums and the cost of high-risk individuals entering the individual market in each state's health insurance exchange. It will become effective January 1, 2014 and will be 1.3% of your insurance premium. 

The Exchange Tax: will help cover ongoing operating costs of the California Exchange. It will become effective upon renewal in 2014 and will be .2% of your premium.

The Risk Adjustment Tax: is meant to reduce or eliminate premium differences between plans based on expectations of member risk. It will become effective upon renewal in 2014 and will be .02% of your premium.


These taxes total 3.82%, which to some may not sound like a lot. However, when the average individual pays $300 per month for basic coverage, these taxes add an additional $11.46 per month. The average family pays $900 per month which adds $34.38 to their monthly premium. Now, in 2012 there were 38 million people in California. If we say 10 million of those people are individuals paying $11.46 per month in ACA Taxes, that's $114.6 million per month collected on just a fraction of California's population. I believe we have just answered how Obama Care is getting paid for. 

It has always been EBAC's priority to help your company stay compliant with current and future laws and regulations. With the roll out of the Affordable Care Act (ACA, Obama Care), EBAC is here to lend a hand in anyway we can. We will keep you up to date with information we feel is important as it is made available to us. If you have any questions, please do not hesitate to contact our office. We will be happy to help you!

Please see the information below regarding the new Health Insurance Marketplace notices that must be delivered to your employees no later than October 1st, 2013.

• The Affordable Care Act (ACA) requires all employers subject to the Fair Labor Standards Act (FLSA)* to provide notices to all current employees and new hires regarding the new Health Insurance Marketplace (in CA, Covered California) and the subsidies available to qualified individuals. The notices to current employees must be provided no later than October 1, 2013. Here are some helpful tips and resources:
  
• Both employers offering coverage and those that do not offer coverage must provide notices. The Department of Labor (DOL) has provided model notices in English and Spanish which are available at the end of this entry.
• All current Employees must receive these notices - full time, part time, and seasonal - whether or not they are eligible for or currently enrolled on the employer sponsored plan.
• Current COBRA beneficiaries also should receive a notice by 10/1/2013. DOL has provided a new COBRA Model Election Notice in English and Spanish, which are available at the end of this entry.
• Both union and non-union employees must receive notices. The employer should contact the union representative to coordinate delivery of notices to union employees.
• On page 2 of the model notice for employers with coverate it reads "If checked, this coverage meets the minimum value standard, and the cost of this coverage is intended to be affordable, based on employee wages."  The minimum value (MV) standard means the plan pays 60% or more of the covered benefits in-network. Affordability means full-time employees pay no more than 9.5% of their W-2 Box 1 income or rate of pay for self-only coverage on the lowest cost plan offered by the employer that meets the minimum value standard (60%).
• Page 3 of the DOL model notice for employers with coverage is OPTIONAL. (This page requires entry of information specific to each employee including their portion of the monthly premium for the lowest cost plan offered that meets the minimum value standard. Since the deadlines for final decisions regarding 12/1/2013 early renewals are after this 10/1/2013 notice deadline, many small employers will not have this information.)
  
• New Hires (full-time and part-time) should receive a notice within 14 days of hire date.
• The expiration date on the current DOL model notices is November 30, 2013. We will post new model notices when they become available.
• Some small employers may not be subject to the FLSA because they are not involved in interstate commerce and do not meet the test of not less than $500,000 in annual dollar volume of business (exclusive of taxes at the retail level). It is important to remember IRS common ownership rules apply. Therefore, an employer with several small businesses may be one "enterprise" that is subject to FLSA.*

* In general, the FLSA applies to employers that employ one or more employees who are engaged in, or produce goods for interstate commerce. For most firms, a test of not less than $500,000 in annual dollar volume of business applies. THe FLSA also specifically covers the following entities: hospitals; institutions primarily engaged in the care of the sick, the aged, mentally ill, o r disabled or gifted; preschools, elementary and secondary schools, and institutions of higher education; and federal, state and local government agencies.
 
** We have seen material from other sources indicating these notices cannot be hand-delivered; but must be mailed to the employees' home addresses. We contacted Elizabeth Schumacher, the DOL/EBSA contact person whose name appears on Technical Release 2013-02. Ms. Schumacher indicated employers may distribute these notices via first-class mail or electronically (in accordance with the DOL safe harbor for electronic disclosure), but these are not the only approved methosds of delivery. Hand delivery is an acceptable means of distribution. For example, small employers may hand-deliver these notices when they pass out checks, distribute renewal packets, or give new hire kits.