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Friday, April 24, 2026

DOL Issues Final Rule Updating Davis-Bacon and Related Acts - Compensation.BLR.com

by Jessica C. Abrahams, Dana B. Pashkoff, and Anya L. Gersoff, Faegre Drinker

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For the first time in almost 40 years, the Department of Labor (DOL) announced the issuance of regulations designed to update and modernize the Davis-Bacon and Related Acts (DBRA), which require the payment of locally prevailing wages and fringe benefits on federal contracts for construction. The aptly named final rule, Updating the Davis-Bacon and Related Acts Regulations (the Rule), will go into effect 60 days after its publication in the Federal Register.

Provisions of the Rule

Overall, the Rule raises the wage standards of construction workers working on federally funded or assisted construction projects. Specifically, it redefines “prevailing wage” to make it equivalent to the wage paid to at least 30% of workers in a given trade in a locality. This change will increase wages for construction workers working on federally funded or assisted construction projects, and federal construction contractors will see an increase in their labor costs as a result.

Additionally, in an effort to ensure wage determinations are updated more frequently, the Rule streamlines the DOL’s process for updating prevailing wages by expanding the Wage and Hour...



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