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Virginia Adopts New Prevailing Wage Requirement

July 7, 2020

Virginia’s General Assembly passed, and Governor Ralph Northam signed legislation that would require prevailing wages on public works projects procured by state agencies.

The new prevailing wage requirement applies to contractors and subcontractors on all state public works contracts with a value greater than $250,000. The wages and benefits required by the new law will be based on the prevailing wage and benefits set by the U.S. Department of Labor under the federal Davis-Bacon Act. In addition to a new prevailing wage requirement, other labor laws to protect against worker misclassification, workplace discrimination, and wage theft were adopted.

The new law will take effect on May 1, 2021. Virginia’s Department of Labor and Industry will be developing rules and regulations to implement this new requirement.