California’s established minimal pay charges for public works tasks guarantee truthful compensation for staff on government-funded development. These charges, set by the Director of the Division of Industrial Relations, differ primarily based on occupation, county, and venture kind. For instance, an electrician engaged on a faculty renovation in Los Angeles County could have a distinct mandated minimal hourly price than a carpenter on a freeway venture in San Francisco County. Particular price data will be discovered on the Division of Industrial Relations web site.
This method safeguards staff from exploitation, promotes truthful competitors amongst contractors, and ensures high quality work on public tasks. Traditionally, it emerged from a necessity to guard native staff from being undercut by out-of-state contractors who may provide decrease wages. By establishing a baseline compensation degree, the system fosters a secure workforce, encourages apprenticeship applications, and finally advantages taxpayers by selling accountable use of public funds.
This text additional explores the intricacies of those wage requirements, together with strategies for figuring out particular charges, enforcement mechanisms, exemptions, and the influence on public works tasks throughout the state.
1. Location (County)
Geographic location, particularly the county through which a public works venture takes place, considerably impacts established minimal pay charges in California. Value of residing variations throughout counties contribute to those wage differentials. A better price of residing typically correlates with the next prevailing wage for a given occupation. For example, a development employee in San Francisco, a county with a excessive price of residing, will usually earn the next mandated minimal wage than a employee performing the identical job in a cheaper county like Modoc. This location-based adjustment goals to make sure that staff throughout the state obtain a wage that permits them to satisfy their fundamental wants.
This county-specific method acknowledges the financial realities of various areas inside California. It prevents contractors from undercutting native wages by bringing in staff from lower-cost areas, which may depress wages for native residents and create unfair competitors. Moreover, it acknowledges that the price of important items and providers, equivalent to housing and transportation, varies considerably from county to county. Failing to account for these regional variations would drawback staff in high-cost areas and probably result in labor shortages in these areas. This method promotes financial stability and equity throughout the state.
Understanding the connection between location and prevailing wages is essential for all stakeholders concerned in public works tasks. Contractors should precisely calculate labor prices primarily based on venture location to make sure compliance. Employees profit from understanding their rights and the minimal compensation they’re entitled to obtain primarily based on the place they work. In the end, this location-based system contributes to a extra equitable and environment friendly allocation of sources in California’s public works sector.
2. Job Classification
Job classification performs a vital function in figuring out prevailing wage charges in California. Totally different classifications mirror various ranges of ability, duty, and required coaching. A better ability degree, larger duty, or extra specialised coaching typically corresponds to the next prevailing wage. For instance, an authorized welder usually instructions the next wage than a common laborer because of the specialised abilities and certifications required for welding. Equally, a venture supervisor, who bears larger duty for venture oversight and administration, will earn the next wage than a crew member performing particular person duties.
Correct job classification is important for correct wage willpower. Misclassifying a employee can result in underpayment and potential authorized penalties. The California Division of Industrial Relations gives detailed classifications and descriptions to make sure readability and consistency in making use of prevailing wage legal guidelines. These classifications think about components equivalent to required training, expertise, certifications, and the complexity of duties carried out. Understanding these classifications is essential for each employers, who should precisely classify their staff to adjust to the legislation, and staff, who want to know their classification to make sure they obtain the right wage. For example, an electrician performing extremely specialised duties requiring superior certifications can be categorised in a different way and obtain the next wage than an electrician performing extra routine duties. This nuanced system ensures truthful compensation primarily based on the precise work carried out.
Correct job classification ensures equitable compensation and compliance with prevailing wage laws. It gives a structured framework for figuring out wages primarily based on ability and duty, selling equity and transparency within the public works sector. This method advantages each staff and employers by offering clear expectations and decreasing the potential for wage disputes. Furthermore, it reinforces the significance of coaching and ability growth by rewarding increased {qualifications} with increased compensation, finally contributing to a talented and productive workforce on public tasks in California.
3. Challenge Kind
Challenge kind considerably influences prevailing wage charges in California. Totally different venture sorts usually require specialised abilities, gear, and dealing situations, impacting the complexity and threat related to the work. This variance in complexity and threat immediately correlates with the mandated minimal compensation for staff on these tasks. Understanding these distinctions is essential for correct wage willpower and compliance with prevailing wage legal guidelines.
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Constructing Development (Residential and Industrial)
Constructing development tasks, encompassing each residential and business constructions, usually contain a variety of trades, from basis laying and framing to electrical work and plumbing. Prevailing wage charges for these tasks mirror the precise abilities and duties related to every commerce. For instance, electricians engaged on complicated wiring methods in a high-rise business constructing might earn the next prevailing wage than these wiring a single-family house because of the elevated technical calls for and potential hazards. The dimensions and complexity of those tasks also can affect the decided charges.
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Heavy and Freeway Development
Heavy and freeway development tasks, together with roads, bridges, and tunnels, usually contain heavy gear operation, specialised security procedures, and probably hazardous working situations. These components contribute to increased prevailing wage charges for staff on these tasks. Working heavy equipment like excavators and cranes requires specialised coaching and licensing, justifying increased compensation. Moreover, the inherent dangers related to working in visitors zones or at elevated heights necessitate increased pay to compensate for the elevated hazard.
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Public Works Infrastructure (Water and Wastewater)
Public works infrastructure tasks, equivalent to water therapy crops and sewer methods, usually contain specialised abilities in areas like pipefitting, welding, and unsafe supplies dealing with. The technical experience required for these tasks, together with the potential publicity to hazardous supplies, usually results in increased prevailing wages. Sustaining public well being and security by these tasks is paramount, and the specialised information required to take action is mirrored within the compensation charges.
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Specialty Public Works Initiatives (Colleges, Hospitals)
Specialty public works tasks like faculties and hospitals have distinctive necessities and laws, influencing prevailing wage charges. Development in these environments usually necessitates specialised certifications, adherence to strict security protocols, and probably increased ranges of scrutiny. For example, electricians working in a hospital may require specialised certifications for working with delicate medical gear, justifying the next prevailing wage in comparison with these engaged on normal business tasks.
The kind of public works venture undertaken immediately impacts the complexity, required skillset, and potential hazards concerned, finally shaping the prevailing wage panorama in California. Precisely categorizing the venture and understanding its distinctive necessities are important for figuring out acceptable wage charges. This categorization ensures truthful compensation for staff whereas selling venture high quality and employee security throughout numerous public works initiatives throughout the state.
4. Apprenticeship Standing
Apprenticeship standing is a key determinant of prevailing wage charges in California. Recognizing the progressive ability growth inherent in apprenticeship applications, the system establishes a tiered wage construction. This construction ties compensation on to the apprentice’s stage of coaching and expertise, incentivizing profession development throughout the expert trades.
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Progressive Wage Scales
Apprentices usually earn a proportion of the journeyman’s prevailing wage, with the share growing as they progress by their coaching program. For instance, a first-year apprentice may earn 60% of the journeyman price, whereas a fourth-year apprentice may earn 90%. This structured development incentivizes completion of the apprenticeship and rewards growing ability acquisition.
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Registered Apprenticeship Applications
California’s prevailing wage legal guidelines apply particularly to apprentices collaborating in state-approved registered apprenticeship applications. These applications guarantee structured coaching and mentorship, guaranteeing apprentices acquire the mandatory abilities and information to change into certified journeymen. This connection between apprenticeship standing and prevailing wage reinforces the significance of formal coaching and high quality requirements throughout the expert trades.
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Ratio of Apprentices to Journeymen
Rules usually dictate the allowable ratio of apprentices to journeymen on public works tasks. This ratio ensures enough supervision and on-the-job coaching for apprentices whereas sustaining the general ability degree of the workforce. This steadiness protects each apprentices and the integrity of the venture.
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Advantages and Protections
Apprentices, regardless of incomes a proportion of the journeyman price, are nonetheless entitled to the identical prevailing wage advantages as journeymen, equivalent to medical health insurance and pension contributions. This ensures that apprentices obtain complete compensation and reinforces the worth positioned on their coaching and contribution to the workforce.
The tiered wage construction for apprentices inside California’s prevailing wage system helps workforce growth and ensures truthful compensation all through the apprenticeship journey. By linking wages to ability development and participation in registered applications, the system fosters a professional and expert workforce, contributing to the long-term success of public works tasks within the state. This method advantages each particular person apprentices and the broader development business by encouraging profession pathways and sustaining excessive requirements of workmanship.
5. Extra time Charges
Extra time charges are an important part of prevailing wage calculations in California, considerably impacting whole compensation for staff on public works tasks. California legislation mandates extra time pay for hours labored past the usual workday or workweek, additional defining “how a lot is the prevailing wage.” This ensures truthful compensation for prolonged work hours and discourages employers from overworking workers. The particular extra time charges are usually a multiplier of the common prevailing wage price, equivalent to 1.5 instances the common price for hours exceeding eight in a day or 40 in every week, and double time for sure conditions like exceeding 12 hours in a day. Understanding these extra time laws is important for correct wage calculations and compliance.
For instance, a carpenter engaged on a public faculty development venture in Sacramento County may need a prevailing wage of $50 per hour. If this carpenter works ten hours in a day, they’d obtain eight hours on the common price ($50/hour) and two hours on the extra time price (usually $75/hour, or 1.5 instances the common price), leading to a complete every day compensation of $550. Extra time provisions considerably influence employee earnings, particularly on tasks with tight deadlines or sudden delays. Failure to correctly calculate and pay extra time wages can result in authorized repercussions for employers. Furthermore, correct extra time compensation ensures that staff obtain truthful worth for his or her additional effort and time, contributing to employee morale and venture effectivity.
Correct calculation and cost of extra time are vital for compliance with Californias prevailing wage legal guidelines. Common audits and enforcement actions by the Division of Industrial Relations underscore the seriousness of those laws. Correctly understanding and implementing these extra time calculations protects staff’ rights, fosters truthful labor practices, and contributes to the profitable completion of public works tasks all through California. Furthermore, it ensures that public funds are used responsibly and that staff obtain the complete compensation they’re entitled to beneath the legislation. This, in flip, helps the steadiness and well-being of the development workforce and their households.
6. Fringe Advantages
Fringe advantages represent a good portion of whole compensation for staff on public works tasks in California and are integral to understanding the complete scope of prevailing wage necessities. These advantages, mandated by legislation, complement the hourly wage and contribute to the general monetary well-being of staff. They’re a key part in answering the query, “how a lot is the prevailing wage in California?” Failing to incorporate these advantages in compensation packages constitutes a violation of prevailing wage legal guidelines.
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Well being Insurance coverage
Employers are usually required to contribute a certain quantity in direction of medical health insurance protection for every employee. This contribution can take numerous varieties, together with direct funds to insurance policy or establishing employer-sponsored well being plans. The particular medical health insurance necessities and contribution quantities are sometimes detailed within the prevailing wage determinations for every locality and commerce. Entry to reasonably priced medical health insurance is a vital profit for staff and their households, making certain entry to essential medical care.
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Pension Plans
Contributions to pension plans are one other essential part of fringe advantages. These contributions present staff with retirement safety, supplementing Social Safety advantages and enabling long-term monetary planning. The required pension contributions, like medical health insurance, are usually laid out in prevailing wage determinations and differ by location and commerce. This long-term monetary safety is a major benefit for staff within the development business.
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Trip and Sick Depart
Whereas not all the time immediately included within the hourly prevailing wage price, necessities for paid trip and sick go away are sometimes a part of the general compensation bundle mandated for public works tasks. These provisions be certain that staff can take break day for relaxation, sickness, or household emergencies with out experiencing monetary hardship. This promotes a more healthy and extra productive workforce.
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Coaching Funds
In some instances, prevailing wage necessities embody contributions to coaching funds. These funds help apprenticeship applications and persevering with training alternatives for staff, selling ability growth and profession development throughout the development business. Investing in coaching advantages each particular person staff and the general high quality of public works tasks.
Understanding the excellent nature of prevailing wages, inclusive of fringe advantages, is essential for correct price estimation, compliance with authorized necessities, and a full appreciation of employee compensation on public tasks. These advantages considerably influence the general worth of employment on public works tasks, enhancing the monetary well-being and long-term safety of California’s development workforce. They aren’t merely supplemental; they’re integral to the mandated compensation construction and contribute considerably to the actual worth of the prevailing wage.
7. Journey Time
Journey time, usually a major consider development tasks, performs an important function in figuring out total compensation inside California’s prevailing wage framework. Understanding how journey time is compensated is important for correct price estimations and making certain staff obtain the right wages. “How a lot is the prevailing wage in California?” usually consists of concerns past the hourly price, encompassing journey time and its related compensation constructions.
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Dwelling-Based mostly Journey
For many public works tasks, journey time from a employee’s house to the venture website and again is usually not thought of compensable. This displays the usual apply of non-public duty for commuting to and from a daily work location.
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Employer-Mandated Journey
When an employer requires a employee to journey between job websites throughout the workday, or from a chosen assembly level to a distant job website, this journey time is usually thought of compensable. The particular methodology of compensationwhether on the common hourly price or a chosen journey time rateis usually outlined in collective bargaining agreements or particular prevailing wage determinations. For example, a employee transported from a central assembly level to a distant mountain highway venture would possible obtain compensation for that journey length.
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Non-Native Hires
In conditions the place staff are employed from outdoors the venture’s native space and require lodging close to the venture website, journey time to and from their lodging could also be thought of compensable beneath particular circumstances outlined in prevailing wage determinations or labor agreements. This acknowledges the distinctive burden positioned on staff who’re briefly relocated for a venture.
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Specialised Gear Transport
If a employee is required to move specialised gear or instruments to the job website, the time spent on this transport could also be thought of compensable. This acknowledges that transporting important work supplies is an extension of the job itself, not a part of an ordinary commute. For instance, a welder transporting a specialised welding rig to a bridge venture website could also be compensated for the time spent transporting this important gear.
Precisely accounting for journey time and its related compensation is a vital facet of complying with California’s prevailing wage legal guidelines. This usually ignored component considerably contributes to the whole labor prices of a venture and immediately impacts a employee’s take-home pay. Subsequently, understanding the nuances of compensable journey time gives a extra full reply to “how a lot is the prevailing wage in California?” and ensures truthful compensation for all work carried out on public tasks.
8. Enforcement
Enforcement of prevailing wage legal guidelines is vital to making sure staff on public works tasks in California obtain the legally mandated compensation. Sturdy enforcement mechanisms immediately influence how a lot staff truly obtain, translating the established charges into tangible earnings. With out efficient enforcement, the query of “how a lot is the prevailing wage in California” turns into theoretical somewhat than sensible. Enforcement transforms the summary idea of a prevailing wage right into a assured minimal compensation, defending staff from exploitation and making certain truthful competitors amongst contractors.
The California Division of Industrial Relations (DIR) performs a central function in imposing prevailing wage legal guidelines. The DIR conducts common investigations, audits payroll data, and actively pursues complaints of underpayment. These investigations can result in vital penalties for contractors who violate prevailing wage legal guidelines, together with again wages, fines, and debarment from bidding on future public tasks. For example, if a contractor misclassifies staff to keep away from paying the right prevailing wage, the DIR can impose again wages for the affected workers and levy substantial fines in opposition to the contractor. Actual-life examples of such enforcement actions are publicly out there, demonstrating the sensible influence of those laws and deterring future violations.
Efficient enforcement safeguards staff’ rights and promotes equity throughout the public works sector. It ensures that public funds are used responsibly and that tasks are accomplished by a reasonably compensated workforce. Challenges to enforcement embody the complexity of prevailing wage legal guidelines, the huge variety of public works tasks throughout the state, and the sources required for thorough investigations. Nonetheless, constant and strong enforcement stays essential for sustaining the integrity of the prevailing wage system and upholding the precept of truthful compensation for all staff contributing to California’s public infrastructure. The DIRs ongoing efforts and the implications confronted by violators underscore the sensible significance of enforcement in answering the query of “how a lot is the prevailing wage in California,” reworking it from a theoretical determine right into a tangible actuality for staff.
9. Exemptions
Whereas California’s prevailing wage legal guidelines typically apply to public works tasks, sure exemptions exist. These exemptions affect which tasks and staff fall beneath the purview of prevailing wage necessities, immediately impacting how the query “how a lot is the prevailing wage in California” is answered in particular conditions. Understanding these exemptions is essential for correct wage willpower and authorized compliance.
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Sure Public Entities
Some public entities, equivalent to constitution cities and particular districts, could also be exempt from prevailing wage necessities beneath particular circumstances outlined by California legislation. This will result in variations in labor prices and employee compensation relying on the entity commissioning the venture. For instance, a development venture undertaken by a constitution metropolis with a particular exemption won’t be topic to prevailing wage necessities, probably resulting in totally different wage charges in comparison with an identical venture commissioned by a county authorities.
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Small-Scale Initiatives
Initiatives falling beneath a sure contract worth threshold could also be exempt from prevailing wage necessities. This exemption acknowledges the totally different financial realities of smaller tasks, notably these undertaken by smaller contractors or native governments. For example, a minor renovation venture at a public library costing lower than the established threshold is likely to be exempt, permitting for larger flexibility in wage negotiations.
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Particular Varieties of Work
Sure specialised forms of work, equivalent to upkeep or restore work carried out by common public workers, could also be exempt. This distinction differentiates between new development topic to prevailing wages and routine upkeep carried out by in-house employees. For instance, routine upkeep work carried out by a faculty district’s employed upkeep employees would usually be exempt, whereas a serious faculty renovation venture contracted out to a development firm can be topic to prevailing wage laws.
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Drive Account Work
Public works tasks carried out immediately by a public company’s personal workers, sometimes called “drive account” work, are usually exempt from prevailing wage necessities. This distinction acknowledges the totally different employment relationships and compensation constructions for normal public workers. A metropolis utilizing its personal public works workers to repave a road, for instance, would possible not be topic to the identical prevailing wage necessities as a non-public contractor employed for a similar activity.
These exemptions add complexity to the panorama of prevailing wage necessities in California. Precisely figuring out whether or not a venture is exempt is essential for each public companies and contractors. Failing to use prevailing wages when required can result in authorized penalties, whereas unnecessarily making use of them to exempt tasks can create undue administrative burdens and price will increase. Understanding these exemptions gives a extra nuanced understanding of “how a lot is the prevailing wage in California,” recognizing that the applying of those legal guidelines is just not uniform throughout all public works tasks. Cautious consideration of venture specifics and related authorized provisions is important for correct wage willpower and compliance.
Continuously Requested Questions on Prevailing Wages in California
This part addresses widespread inquiries concerning prevailing wage necessities in California, offering concise and informative responses to make clear potential ambiguities.
Query 1: The place can particular prevailing wage charges be discovered?
The California Division of Industrial Relations (DIR) web site gives a complete database of present prevailing wage determinations, searchable by county, job classification, and venture kind.
Query 2: What are the penalties for violating prevailing wage legal guidelines?
Penalties can embody again wages owed to workers, fines, and potential debarment from bidding on future public works tasks.
Query 3: How are fringe advantages dealt with in prevailing wage determinations?
Fringe advantages, together with medical health insurance and pension contributions, are usually included in prevailing wage determinations and should be supplied along with the hourly wage.
Query 4: Are all public works tasks topic to prevailing wage necessities?
No, sure exemptions exist, together with particular public entities, small-scale tasks, and sure forms of work. Cautious overview of related authorized provisions is critical to find out applicability.
Query 5: How is journey time factored into prevailing wage calculations?
Journey time between job websites throughout the workday, or from a chosen assembly level to a distant job website, is usually compensable. Dwelling-based journey is usually not. Specifics are sometimes detailed in collective bargaining agreements or prevailing wage determinations.
Query 6: What recourse do staff have in the event that they imagine they aren’t being paid the right prevailing wage?
Employees can file a grievance with the DIR, who will examine the matter and take acceptable enforcement motion if essential.
Understanding these regularly requested questions gives a foundational understanding of prevailing wage legal guidelines in California. Consulting official sources, such because the DIR web site and authorized counsel, is beneficial for detailed project-specific steerage.
This concludes the FAQ part. The next sections will delve additional into particular points of prevailing wage legal guidelines, providing a extra complete understanding of this essential labor safety mechanism.
Ideas for Understanding and Complying with Prevailing Wage Necessities in California
Navigating California’s prevailing wage necessities will be complicated. The following tips provide sensible steerage for each employers and workers concerned in public works tasks, making certain compliance and truthful compensation.
Tip 1: Seek the advice of the DIR Web site: Recurrently seek the advice of the California Division of Industrial Relations (DIR) web site for probably the most up-to-date prevailing wage determinations. Determinations are particular to county, job classification, and venture kind. Counting on outdated data can result in inaccuracies and potential violations.
Tip 2: Keep Correct Data: Meticulous record-keeping is essential for demonstrating compliance. Keep detailed data of hours labored, job classifications, and fringe profit contributions. Correct data shield each employers and workers in case of disputes or audits.
Tip 3: Perceive Job Classifications: Precisely classifying staff primarily based on their particular duties and duties is important. Misclassifying staff can lead to underpayment and authorized penalties. Discuss with the DIR’s detailed classification descriptions for steerage.
Tip 4: Think about All Parts of Compensation: Keep in mind that the prevailing wage encompasses not solely the hourly price but in addition fringe advantages, equivalent to medical health insurance and pension contributions. All elements should be included to make sure full compliance.
Tip 5: Handle Journey Time Appropriately: Distinguish between compensable and non-compensable journey time. Journey between job websites or from designated assembly factors is usually compensable, whereas home-based journey is just not. Seek the advice of project-specific documentation and related agreements for clarification.
Tip 6: Make the most of Licensed Payroll Reporting: For bigger tasks, licensed payroll reporting is commonly required. This includes submitting weekly payroll stories that verify compliance with prevailing wage necessities. Familiarize your self with the precise reporting necessities and deadlines.
Tip 7: Search Knowledgeable Recommendation When Vital: Prevailing wage legal guidelines will be complicated. Consulting with authorized counsel specializing in labor legislation can present priceless steerage, making certain correct interpretation and implementation of those laws. That is notably essential for complicated tasks or when navigating particular exemptions.
By following the following tips, stakeholders in public works tasks can guarantee compliance with California’s prevailing wage legal guidelines, fostering a good and equitable setting for all concerned. Correct understanding and implementation of those laws shield staff’ rights and contribute to the profitable completion of important public infrastructure tasks.
This steerage gives a strong basis for navigating prevailing wage necessities. The next conclusion summarizes key takeaways and presents last suggestions for continued engagement with this important facet of California labor legislation.
Conclusion
Figuring out California’s prevailing wage includes a fancy interaction of things, together with location, job classification, venture kind, apprenticeship standing, extra time, fringe advantages, and journey time. Exemptions exist, including additional complexity. Enforcement by the Division of Industrial Relations ensures compliance and protects staff’ rights. Understanding these components gives a complete image of mandated minimal compensation on public works tasks.
Honest compensation for staff on public tasks is important for financial stability and venture success. Continued engagement with evolving laws and diligent utility of prevailing wage ideas stay essential for upholding employee rights and accountable use of public funds. Entry to correct data and proactive compliance contribute to a thriving and equitable public works sector in California.
