Seyfarth Synopsis: In an en banc decision, the Washington Supreme Court struck down a recent challenge of the state's prevailing wage rate law. A 2018 amendment to the law provides that when a county has at least one collective bargaining agreement ("CBA") for a trade or occupation, the highest rate in any CBA in that county becomes the prevailing wage countywide. Contractor and builder associations challenged the amendment arguing that requiring the industrial statistician to use the wages from CBAs constitutes an unconstitutional delegation of legislative authority. The Supreme Court disagreed.
Government contractors and subcontractors in the state of Washington must pay a "prevailing wage" to all workers for work done on "public works and maintenance contracts." A prevailing rate of wage includes the "hourly wage, usual benefits, and overtime paid" for a specific county. A 2018 amendment to the law requires that the prevailing wage rate for a trade in a county be set at either the highest rate set by a CBA in that county or, in the absence of a CBA in that county, by statistical estimation.The result of this change – the prevailing wage rate is set at the highest rate allowed in a CBA in the county, regardless of the number of employees covered by said CBA.
The prevailing wage rate prior to 2018 was set only after a collection of local data and analysis checking for accuracy and removing outliers or data that "raised...
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