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How Are Prevailing Wages Determined? Employers can obtain this wage rate by submitting a request to the National Prevailing Wage Center (NPC), or by accessing other legitimate sources of information such as the Online Wage Library, available for use in some programs.
The prevailing wages are determined based on wages paid to various classes of laborers and mechanics employed on specific types of construction projects in an area.
Prevailing wage in an area can be determined by surveying local employers and calculating the wage by a simple average or, more accurately, by a weighted average, which weights the wage results by the number of employees.
In order to file the PERM application, it is necessary to obtain a prevailing wage determination (PhD) from the DOL. This establishes the appropriate minimum wage level required for the position. Wage determinations take approximately six weeks, as of this writing.
The prevailing wage request provides the DOL with information about the offer such as job requirements, job duties, and the worksite location. The PhD is an important aspect of the PERM process, because immigration law requires that employers pay foreign workers at least the prevailing wage for the worker's position.
Prevailing wage overtime must be calculated on the sum of all work for the day, regardless of the job site. For example, if the worker spends three hours at a private job site and then six hours at a public works project, the worker is due overtime. The overtime rate is determined by the job classification.
Either way, the total hourly wage paid by the employer must be $52.08 per hour for straight time. If the employer is only paying the Basic Hourly Rate of $32.34 as the wages and no other benefits or compensation then the worker is being underpaid.
California State Assemblyman Curt Hangman (R-Chino Hills) is introducing a bill to address one of the numerous absurdities in California's prevailing wage law: the $38-46 per hour wage paid to laborers who clean up construction sites after taxpayer-funded construction is finished.

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