The Prevailing Wage law regulates the hours of labor, rates
of pay, conditions of employment, obligations of employers
and duties of certain public officials under contracts and
subcontracts for public works in Maryland. The Prevailing
Wage law applies to a construction project valued at $500,000
or more if either of the following criteria are met: (1)
the contracting public body is a unit of State government
or an instrumentality of the State, and there is any State
funding for the project; or (2) the contracting public body
is a political subdivision, agency, person or entity (such
as a county) and the State funds 50% or more of the project.
A wage determination issued for a project specifies the wage and fringe benefit rates for each classification of worker,
determined to prevailing in that locality for that type of construction. Wage Determinations are issued for each
locality in the State (23 counties and Baltimore City) and are in effect for one year from the date on which they become
final. The law requires employees on a public works contract to be paid overtime for hours in excess of 10 hours in a
single day, and for work performed on a Sunday or a legal holiday.
Contractors found to be paying wages below the prevailing wage rate may be fined $20 per day for each worker
paid less than the established rate. Note: The maximum allowable ratio is one journeyman to one apprentice.
All apprentices must be registered with the Maryland Apprenticeship and Training Program without exception
Certified Payroll Statements:
Contractors on State funded construction projects covered by the Prevailing Wage Law are required to electronically submit certified
payroll statements indicating proper worker classification and wage for both straight time and overtime work. Certified payrolls
must be electronically submitted to the Commissioner of Labor and Industry within 14 days after the end of the payroll period.
Penalties for late submission of payrolls total $10 for each calendar day the records are late.
The Prevailing Wage Unit is compiling a list of registered
contractors, contractor's associations and labor organizations
who will be notified electronically when to voluntarily
participate in the annual Prevailing Wage Rate Survey. The
Commissioner encourages all interested groups to voluntarily
electronically submit data detailing wage rates paid to
workers on various types of construction in all localities
in Maryland. If you would like to be added to the list,
please register online.