Singleton Bill to Help Strengthen Prevailing Wage

Becomes Law

Trenton – Legislation sponsored by Senator Troy Singleton, which will allow the issuing of stop-work orders for failure to pay the prevailing wage, was signed into law by Governor Phil Murphy today.

“Before all else, we must protect the rights of the men and women who are working hard each and every day to earn a decent and fair living,” said Senator Singleton (D-Burlington). “New Jersey has set a high standard for how we treat our workers, and if you contract with the state on public works projects, you must be prepared to abide by that standard.”

The law will permit the Commissioner of the Department of Labor and Workforce Development to issue a stop-work order against an employer upon determining an employer has paid a worker less than the prevailing wage.

The stop-work order will apply to every site where the violation continues to occur. It can only be lifted by the commissioner if the department finds the employer has agreed to pay future wages at the required rate, return any back-wages owed to workers and pay any penalty assessed by the department.  The commissioner may also require the employer to file periodic reports for two years certifying its compliance with the prevailing wage law as a condition of lifting the order.

Under the law the commissioner will be allowed to investigate the wage records of an employer in the construction industry upon the complaint of an employee for failure to pay required wages or contributions. The commissioner will be permitted to issue subpoenas in connection with the investigation and fine individuals who willfully hinder it.

If an employer does not stop business despite being issued a stop-work order, the commissioner would be permitted to assess a civil penalty of $5,000 per day.