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Archer Jordan – Fringe Benefit Advisors can most definitely help you avoid audits, fines, and/or debarment with their Fringe Benefit Compliance Guide. You will be able to get peace of mind, lead your industry, and maximize your profits. Archer Jordon meets the challenge of ensuring regulatory compliance and maximum cost savings through their flagship program Arrow Contractors Trust, or “Arrow” as they call it. Utilizing a trust arrangement is the foundation of prevailing wage compliance, according to the U.S. Department of Labor, Code of Federal Regulations. Their Archer Jordan Family of Products and Services are designed to meet the demanding needs of their largest and busiest contractor partners. In addition to securing contract compliance, you can also sharpen your bids and attract, plus retain top talent. They help simplify the complex process involved in complying with the Davis-Bacon Act, the McNamara-O’Hara Service Contract Act, along with a multitude of other federal and state laws, so you can put your focus back on what matters, running your business. Visit the Archer Jordan website today at https://archerjordan.com/solutions/california-prevailing-wage/ for complete details. You will be happy that you did! In government contracting, a prevailing wage refers to the general wage, usual compensation, and overtime, paid out to most of the employed workers, mechanics, and workers in a certain area. This is normally the state wage. In some cases, the Bureau of Labor Statistics suggests that prevailing wage in some states may be higher than the state minimum wage; however, this is not always the case. Therefore, when you go for a government contract, make sure that you understand the local wage rates. The reason why this is called the prevailing wage is because it is set by prevailing standards in the area where the business is located. In other words, the living wage is the state or federal minimum wage, and the prevailing wage would be the prevailing standard wage established by the government. In these highly competitive industries, both of them are important for each other. Both have different origins, but they are both needed for the businesses. To determine the prevailing wage, there are several factors that should be considered. The first factor is determined by the Bureau of Labor Statistics. The BLS has two different sets of data collection methods, namely the Current, Average Locality survey and the Consumer Price Index (CPI) survey. The two have different definitions, which are used in determining the prevailing wage rates. These are also used to compute inflation-indexed wages. An important part of prevailing wage computation is the determination of the average hourly earnings of the population in a certain geographic area. The geographic area can be the state, the country, or the city. The second factor is the determination of the minimum wage established by the government agency. The determination of the minimum wage also depends on the jurisdiction of the public works contracts. Each state has a unique system, which determines the minimum wage. In the determination of the prevailing wage requirements, several things are taken into consideration. The location
of the business is one of the factors. If the business is located in a high-crime neighborhood, it will have to pay a higher minimum wage. Also, the size of the business is also a contributing factor in this determination. A business that employs only few employees is not required to pay prevailing wages. Another factor considered in determining the prevailing wages is the prevailing wage index. This index is also influenced by the prevailing wages in other similar industries in the same city. This index is usually set by the government agency. Local governments usually set this index depending on the prevailing wages of other similar businesses. It is closely observed, that when the prevailing wages of a similar business are higher, the business enterprise becomes less competitive. Therefore, the government encourages this kind of business enterprise by offering lucrative tax rebates and other California prevailing wage kinds of benefits. The last but not the least factor considered in the determination of the prevailing wage law is the productivity of the workers. If the productive capacity of the workers is higher, the employers can attract a better quality of worker. This means that the government would be able to provide the workers with better wages and employment terms. Also, the projects being carried out by the public works projects are more profitable when the workers are paid a higher number of wages. As mentioned earlier, the prevailing wage determination is determined by a combination of all these factors. The above stated are just some of the factors considered in this case. You must pay utmost attention to every factor included in the determination of the prevailing wage. To learn more about the prevailing wage and how Arch Jordan can help you, please visit their website today!
