At a Glance
Quick Answer
New York has an active prevailing wage law (New York Labor Law Article 8 (Sections 220-220-h)). Administered by New York State Department of Labor, Bureau of Public Work. Certified payroll is required. Federal Davis-Bacon applies to all federal projects.
New York has no minimum dollar threshold for public works prevailing wage. All government-funded construction must pay prevailing wages. Since 2022, certain large private projects (over $5M with 30%+ public funding) are also covered. Contractors must register with NYSDOL as of December 30, 2024.
Context
Prevailing Wage & Bidding in New York
New York runs one of the most aggressive prevailing wage regimes in the country, and bidders should plan accordingly. Under Labor Law Article 8 (Sections 220-220-h), administered by the NYS Department of Labor's Bureau of Public Work, there is no minimum dollar threshold for public works: every government-funded construction project must pay prevailing wages, so there is no small-job carve-out to estimate around. Since 2022 the reach also extends to certain large private projects, those over $5 million with 30% or more public funding, so review the capital stack on private work before assuming standard rates apply.
Registration is now a gate to bidding. As of December 30, 2024, contractors must be registered with NYSDOL to work on covered projects, so confirm your registration is active before chasing any public bid. Certified payroll is mandatory and scrutinized. New York's penalty structure is severe: underpayment triggers back wages plus a 25% civil penalty and interest, debarment from public contracts for up to five years, and possible criminal prosecution, and workers can sue civilly. Misclassification across trade titles is the most common and costly error, so price every classification to the correct Bureau of Public Work schedule for the project's county.
On federally funded work, Davis-Bacon applies in addition to Article 8, and you must pay the higher rate for each trade. Pull both schedules during the estimate. Because the 25% penalty and multi-year debarment dwarf any single job's margin, treat rate accuracy, fringe compliance, and active registration as non-negotiable bid prerequisites in New York.
Details
Coverage Details
State Law Details
- Law
- New York Labor Law Article 8 (Sections 220-220-h)
- Agency
- New York State Department of Labor, Bureau of Public Work
- Thresholds
- No minimum dollar threshold for public works projectsPrivate projects over $5 million with 30%+ public funding (since 2022)
- Certified Payroll
- Required
Federal Davis-Bacon Coverage
The federal Davis-Bacon Act applies to all federally funded or federally assisted construction contracts over $2,000 in New York. This includes projects funded by federal agencies, FHWA highway projects, HUD housing, and projects receiving federal grants.
Reference
Key Facts
No minimum dollar threshold — all public works projects covered
Private projects over $5M with 30%+ public funding also covered since 2022
Contractor registration with NYSDOL required since December 30, 2024
Civil penalty of 25% of underpayment plus interest
Building service employee wages also covered under Article 9
Enforcement
Penalties
Contractors face payment of back wages plus 25% civil penalty, interest, debarment from public contracts for up to 5 years, and potential criminal prosecution. Workers may file civil lawsuits.
Updates
Recent Changes
Effective December 30, 2024, all contractors performing public works or Article 8-covered work must register with NYSDOL. Private project coverage expanded in 2022.
Resources
Related Tools & Templates
Turn wage rules into bid-ready alerts
Use ConstructionBids.ai to track matching public projects, save bid searches, and move wage-sensitive scopes into your estimating workflow.
FAQ
Questions Contractors Ask
Does New York have a prevailing wage law?
Yes. New York has an active state prevailing wage law: New York Labor Law Article 8 (Sections 220-220-h). New York has no minimum dollar threshold for public works prevailing wage. All government-funded construction must pay prevailing wages. Since 2022, certain large private projects (over $5M with 30%+ public funding) are also covered. Contractors must register with NYSDOL as of December 30, 2024.
Does Davis-Bacon apply in New York?
Yes. The federal Davis-Bacon Act applies to all federally funded construction projects over $2,000 in New York, regardless of state law. Contractors must pay the prevailing wage rate determined by the DOL for the project location.
Is certified payroll required in New York?
Yes. New York requires certified payroll on state prevailing wage projects. Additionally, certified payroll is always required on federal Davis-Bacon projects using form WH-347.
What are the penalties for prevailing wage violations in New York?
Contractors face payment of back wages plus 25% civil penalty, interest, debarment from public contracts for up to 5 years, and potential criminal prosecution. Workers may file civil lawsuits.
Are private projects ever covered by New York prevailing wage law?
Yes. Since 2022, certain private construction projects costing more than $5 million with at least 30% public funding fall under New York's prevailing wage requirements. Before bidding private work, review the funding sources, because public subsidies above that share can convert an apparently private job into a covered prevailing wage project.
Do New York contractors need to register to bid public works?
Yes. As of December 30, 2024, contractors and subcontractors must register with the New York State Department of Labor to bid or work on covered public works projects. Confirm your registration is active before any public bid, since unregistered firms cannot lawfully perform the work.
What penalties apply for underpaying prevailing wages in New York?
Violators owe back wages plus a 25% civil penalty and interest, and can be debarred from public contracts for up to five years, with possible criminal prosecution. Workers may also file civil lawsuits. These penalties typically exceed a single project's profit, making accurate trade classification essential.