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1 | AN ACT concerning employment.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Prevailing Wage Act is amended by changing | ||||||||||||||||||||||||||||||||||||||
5 | Sections 2, 3, 4, 5, 6, 11, and 11b as follows:
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6 | (820 ILCS 130/2) (from Ch. 48, par. 39s-2)
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7 | Sec. 2. This Act applies to the wages of laborers, | ||||||||||||||||||||||||||||||||||||||
8 | mechanics and
other workers employed in any public works, as | ||||||||||||||||||||||||||||||||||||||
9 | hereinafter defined, by
any public body and to anyone under | ||||||||||||||||||||||||||||||||||||||
10 | contracts for public works. This includes any maintenance, | ||||||||||||||||||||||||||||||||||||||
11 | repair, assembly, or disassembly work performed on equipment | ||||||||||||||||||||||||||||||||||||||
12 | whether owned, leased or rented.
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13 | As used in this Act, unless the context indicates | ||||||||||||||||||||||||||||||||||||||
14 | otherwise:
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15 | "Public works" means all fixed works constructed by
any | ||||||||||||||||||||||||||||||||||||||
16 | public body, other than work done directly by any public | ||||||||||||||||||||||||||||||||||||||
17 | utility
company, whether or not done under public supervision | ||||||||||||||||||||||||||||||||||||||
18 | or direction,
or paid for wholly or in part out of public | ||||||||||||||||||||||||||||||||||||||
19 | funds. "Public works" as
defined herein includes all projects | ||||||||||||||||||||||||||||||||||||||
20 | financed in whole
or in part with bonds issued under the | ||||||||||||||||||||||||||||||||||||||
21 | Industrial Project Revenue Bond
Act (Article 11, Division 74 of | ||||||||||||||||||||||||||||||||||||||
22 | the Illinois Municipal Code , the Tax Increment Allocation | ||||||||||||||||||||||||||||||||||||||
23 | Redevelopment Act (Article 11, Division 74.4 of the Illinois |
| |||||||
| |||||||
1 | Municipal Code ), the Industrial
Building Revenue Bond Act, the | ||||||
2 | Illinois Finance Authority Act,
the Illinois Sports Facilities | ||||||
3 | Authority Act, or the Build Illinois Bond Act,
and all projects | ||||||
4 | financed in whole or in part with loans or other funds made
| ||||||
5 | available pursuant to the Build Illinois Act. "Public works" | ||||||
6 | also includes
all projects financed in whole or in part with | ||||||
7 | funds from the Fund for
Illinois' Future under Section 6z-47 of | ||||||
8 | the State Finance Act, funds for school
construction under | ||||||
9 | Section 5 of the General Obligation Bond Act, funds
authorized | ||||||
10 | under Section 3 of the School Construction Bond Act, funds for
| ||||||
11 | school infrastructure under Section 6z-45 of the State Finance | ||||||
12 | Act, and funds
for transportation purposes under Section 4 of | ||||||
13 | the General Obligation Bond
Act. "Public works" also includes | ||||||
14 | all projects financed in whole or in part
with funds from the | ||||||
15 | Department of Commerce and Economic Opportunity under the | ||||||
16 | Illinois Renewable Fuels Development Program
Act for which | ||||||
17 | there is no project labor agreement. "Public works" also | ||||||
18 | includes all projects at leased facility property used for | ||||||
19 | airport purposes under Section 35 of the Local Government | ||||||
20 | Facility Lease Act and all projects financed in whole or in | ||||||
21 | part with loans or other funds made available pursuant to the | ||||||
22 | Illinois Enterprise Zone Loan Act .
| ||||||
23 | "Construction" means all work on public works involving | ||||||
24 | laborers,
workers or mechanics. This includes any maintenance, | ||||||
25 | repair, assembly, or disassembly work performed on equipment | ||||||
26 | whether owned, leased, or rented.
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| |||||||
1 | "Locality" means the county where the physical work upon | ||||||
2 | public works
is performed, except (1) that if there is not | ||||||
3 | available in the county a
sufficient number of competent | ||||||
4 | skilled laborers, workers and mechanics
to construct the public | ||||||
5 | works efficiently and properly, "locality"
includes any other | ||||||
6 | county nearest the one in which the work or
construction is to | ||||||
7 | be performed and from which such persons may be
obtained in | ||||||
8 | sufficient numbers to perform the work and (2) that, with
| ||||||
9 | respect to contracts for highway work with the Department of
| ||||||
10 | Transportation of this State, "locality" may at the discretion | ||||||
11 | of the
Secretary of the Department of Transportation be | ||||||
12 | construed to include
two or more adjacent counties from which | ||||||
13 | workers may be accessible for
work on such construction.
| ||||||
14 | "Public body" means the State or any officer, board or | ||||||
15 | commission of
the State or any political subdivision or | ||||||
16 | department thereof, or any
institution supported in whole or in | ||||||
17 | part by public funds,
and includes every county, city, town,
| ||||||
18 | village, township, school district, irrigation, utility, | ||||||
19 | reclamation
improvement or other district and every other | ||||||
20 | political subdivision,
district or municipality of the state | ||||||
21 | whether such political
subdivision, municipality or district | ||||||
22 | operates under a special charter
or not.
| ||||||
23 | The terms "general prevailing rate of hourly wages", | ||||||
24 | "general
prevailing rate of wages" or "prevailing rate of | ||||||
25 | wages" when used in
this Act mean the hourly cash wages plus | ||||||
26 | fringe benefits for training and
apprenticeship programs |
| |||||||
| |||||||
1 | approved by the U.S. Department of Labor, Bureau of
| ||||||
2 | Apprenticeship and Training, health and welfare, insurance, | ||||||
3 | vacations and
pensions paid generally, in the
locality in which | ||||||
4 | the work is being performed, to employees engaged in
work of a | ||||||
5 | similar character on public works.
| ||||||
6 | "Contractor" or "subcontractor" means any person or entity | ||||||
7 | who undertakes to, offers to undertake to, purports to have the | ||||||
8 | capacity to undertake to, submits a bid to, or does himself or | ||||||
9 | herself or by or through others, engage in a public works.
| ||||||
10 | (Source: P.A. 93-15, eff. 6-11-03; 93-16, eff. 1-1-04; 93-205, | ||||||
11 | eff. 1-1-04; 94-750, eff. 5-9-06.)
| ||||||
12 | (820 ILCS 130/3) (from Ch. 48, par. 39s-3)
| ||||||
13 | Sec. 3. Not less than the general prevailing rate of hourly | ||||||
14 | wages for
work of a similar character on public works in the | ||||||
15 | locality in which the
work is performed, and not less than the | ||||||
16 | general prevailing rate of
hourly wages for legal holiday and | ||||||
17 | overtime work, shall be paid to all
laborers, workers and | ||||||
18 | mechanics employed by or on behalf of any public
body engaged | ||||||
19 | in the construction of public works.
This includes any | ||||||
20 | maintenance, repair, assembly, or disassembly work performed | ||||||
21 | on equipment whether owned, leased, or rented. Only such | ||||||
22 | laborers, workers and mechanics as are
directly employed by | ||||||
23 | contractors or subcontractors in actual
construction work on | ||||||
24 | the site of the building or construction job, or at a facility | ||||||
25 | dedicated exclusively, or nearly so, to performance of the |
| |||||||
| |||||||
1 | contract or project, and are located in proximity to the actual | ||||||
2 | construction location that it would be reasonable to include | ||||||
3 | them, and
laborers, workers and mechanics engaged in the | ||||||
4 | transportation of
materials and equipment to or from the site, | ||||||
5 | but not including the
transportation by the sellers and | ||||||
6 | suppliers or the manufacture or
processing of materials or | ||||||
7 | equipment, in the execution of any contract
or contracts for | ||||||
8 | public works with any public body shall be deemed to be
| ||||||
9 | employed upon public works. The wage for a tradesman performing | ||||||
10 | maintenance
is equivalent to that of a tradesman engaged in | ||||||
11 | construction. All contractors and subcontractors required to | ||||||
12 | pay the prevailing wage under this Act shall make payment of | ||||||
13 | such wages in legal tender, without any deduction for food, | ||||||
14 | sleeping accommodations, transportation, use of tools, or any | ||||||
15 | other thing of any kind or description.
| ||||||
16 | (Source: P.A. 93-15, eff. 6-11-03; 93-16, eff. 1-1-04.)
| ||||||
17 | (820 ILCS 130/4) (from Ch. 48, par. 39s-4)
| ||||||
18 | Sec. 4. (a) The public body awarding any contract for | ||||||
19 | public work or
otherwise undertaking any public works, shall | ||||||
20 | ascertain the general
prevailing rate of hourly wages in the | ||||||
21 | locality in which the work is to
be performed, for each craft | ||||||
22 | or type of worker or mechanic needed to
execute the contract, | ||||||
23 | and where the public body performs the work
without letting a | ||||||
24 | contract therefor, shall ascertain the prevailing rate
of wages | ||||||
25 | on a per hour basis in the locality, and such public body shall
|
| |||||||
| |||||||
1 | specify in the resolution or ordinance and in the call for bids | ||||||
2 | for the
contract, that the general prevailing rate of wages in | ||||||
3 | the locality for
each craft or type of worker or mechanic | ||||||
4 | needed to execute the contract
or perform such work, also the | ||||||
5 | general prevailing rate for legal holiday
and overtime work, as | ||||||
6 | ascertained by the public body or by the
Department of Labor | ||||||
7 | shall be paid for each craft or type of worker
needed to | ||||||
8 | execute the contract or to perform such work, and it shall be
| ||||||
9 | mandatory upon the contractor to whom the contract is awarded | ||||||
10 | and upon
any subcontractor under him, and where the public body | ||||||
11 | performs the
work, upon the public body, to pay not less than | ||||||
12 | the specified rates to
all laborers, workers and mechanics | ||||||
13 | employed by them in the execution of
the contract or such work; | ||||||
14 | provided, however, that if the public body
desires that the | ||||||
15 | Department of Labor ascertain the prevailing rate of
wages, it | ||||||
16 | shall notify the Department of Labor to ascertain the general
| ||||||
17 | prevailing rate of hourly wages for work under contract, or for | ||||||
18 | work
performed by a public body without letting a contract as | ||||||
19 | required in the
locality in which the work is to be performed, | ||||||
20 | for each craft or type of
worker or mechanic needed to execute | ||||||
21 | the contract or project or work to
be performed. Upon such | ||||||
22 | notification the Department of Labor shall
ascertain such | ||||||
23 | general prevailing rate of wages, and certify the
prevailing | ||||||
24 | wage to such public body. The public body awarding the
contract | ||||||
25 | shall cause to be inserted in the project specifications and | ||||||
26 | the
contract a stipulation to the
effect that not less than the |
| |||||||
| |||||||
1 | prevailing rate of wages as found by the
public body or | ||||||
2 | Department of Labor or determined by the court on review
shall | ||||||
3 | be paid to all laborers, workers and mechanics performing work
| ||||||
4 | under the contract.
| ||||||
5 | (b) When a public body or other entity covered by this Act | ||||||
6 | contracts for work with a contractor without a public bid or | ||||||
7 | project specification, such public body or other entity shall | ||||||
8 | provide the contractor with a written notice that the | ||||||
9 | prevailing wage is required to be paid on the project as a | ||||||
10 | statement on the purchase order related to the work to be done | ||||||
11 | or on a separate document. | ||||||
12 | (c) Where a complaint has been made and the Department has | ||||||
13 | determined that a violation has occurred, the Department shall | ||||||
14 | determine if proper notice under this Section 4 was given. If | ||||||
15 | proper notice was not provided to the contractor by the public | ||||||
16 | body, the Department shall order the public body to pay any | ||||||
17 | back wages, interest, penalties or fines owed by the contractor | ||||||
18 | to all laborers, mechanics and other workers who performed work | ||||||
19 | on the project. For the purposes of this subsection back wages | ||||||
20 | shall be limited to the difference between the actual amount | ||||||
21 | paid and the prevailing wages required to be paid for the | ||||||
22 | project. A contractor shall not be deemed in violation of this | ||||||
23 | Act if proper notice pursuant to this Section 4 is not | ||||||
24 | provided. The failure to provide notice by a public body does | ||||||
25 | not diminish the obligation of a contractor to pay the | ||||||
26 | prevailing wage rate as determined under this Act.
|
| |||||||
| |||||||
1 | (d)
(b) It shall also be mandatory upon the contractor to | ||||||
2 | whom the contract is
awarded
to insert into each subcontract | ||||||
3 | and into the project specifications for each
subcontract a | ||||||
4 | written stipulation to the effect that not less than the
| ||||||
5 | prevailing
rate of wages shall be paid to all laborers, | ||||||
6 | workers, and mechanics performing
work under the contract. It | ||||||
7 | shall also be mandatory upon each subcontractor to
cause to be | ||||||
8 | inserted into each lower tiered subcontract
and into the | ||||||
9 | project specifications for each lower tiered subcontract a
| ||||||
10 | stipulation to the effect that not less
than the prevailing | ||||||
11 | rate of wages shall be paid to all laborers, workers, and
| ||||||
12 | mechanics performing work under the contract. A contractor or | ||||||
13 | subcontractor who
fails to comply with this subsection (c)
(b) | ||||||
14 | is in violation of this Act.
| ||||||
15 | (e) When a contractor has awarded work to a subcontractor | ||||||
16 | without a contract or without a contract specification, the | ||||||
17 | contractor may comply with this subsection (e) by providing a | ||||||
18 | subcontractor a written statement indicating that no less than | ||||||
19 | the prevailing wage rate shall be paid to all laborers, | ||||||
20 | mechanics and other workers performing work on the project. | ||||||
21 | (f) Where a complaint has been made and the Department has | ||||||
22 | determined that a violation has occurred, the Department shall | ||||||
23 | determine if proper notice under this Section 4 was given. If | ||||||
24 | proper notice was not provided to the subcontractor by the | ||||||
25 | contractor, the Department shall order the contractor to pay | ||||||
26 | any back wages, interest, penalties or fines owed by the |
| |||||||
| |||||||
1 | subcontractor to all laborers, mechanics and other workers who | ||||||
2 | performed work on the project. For the purposes of this | ||||||
3 | subsection back wages shall be limited to the difference | ||||||
4 | between the actual amount paid and the prevailing wages | ||||||
5 | required for the project. A subcontractor shall not be deemed | ||||||
6 | in violation of this Act if such notice is not provided. | ||||||
7 | However, if proper notice was not provided to the contractor by | ||||||
8 | the public body under subsections (a) or (b) of this Section 4, | ||||||
9 | the Department shall order the public body to pay any back | ||||||
10 | wages, interest, penalties or fines owed by the subcontractor | ||||||
11 | to all laborers, mechanics and other workers who performed work | ||||||
12 | on the project. The failure to provide notice by a contractor | ||||||
13 | does not diminish the obligation of a subcontractor to pay the | ||||||
14 | prevailing wage rate as determined under this Act.
| ||||||
15 | (g)
(c) It shall also require in all such contractor's | ||||||
16 | bonds
that the contractor include such provision as will | ||||||
17 | guarantee the
faithful performance of such prevailing wage | ||||||
18 | clause as provided by
contract. All bid specifications shall | ||||||
19 | list the specified rates to all
laborers, workers and mechanics | ||||||
20 | in the locality for each craft or type of
worker or mechanic | ||||||
21 | needed to execute the contract.
| ||||||
22 | (h)
(d) If the Department of Labor
revises the prevailing | ||||||
23 | rate of hourly wages to be paid by the public body, the
revised | ||||||
24 | rate shall apply to such contract, and the public body shall be
| ||||||
25 | responsible to notify the contractor and each subcontractor | ||||||
26 | notifying its employees pursuant to this Act and paying the
, |
| |||||||
| |||||||
1 | of the revised
rate.
| ||||||
2 | (i)
(e) Two or more investigatory hearings under this | ||||||
3 | Section on the issue
of establishing a new prevailing wage | ||||||
4 | classification for a particular craft
or type of worker shall | ||||||
5 | be consolidated in a single hearing before the
Department. Such | ||||||
6 | consolidation shall occur whether each separate investigatory
| ||||||
7 | hearing is conducted by a public body or the Department. The | ||||||
8 | party requesting
a consolidated investigatory hearing shall | ||||||
9 | have the burden of establishing that
there is no existing | ||||||
10 | prevailing wage classification for the particular craft or
type | ||||||
11 | of worker in any of the localities under consideration. The | ||||||
12 | request for an investigatory hearing shall be filed within the | ||||||
13 | month of June. Upon receiving a request for an investigatory | ||||||
14 | hearing pursuant to this subsection, the Department shall set a | ||||||
15 | hearing. Such hearing shall take place no later than 45 | ||||||
16 | calendar days after the receipt by the Department of Labor of | ||||||
17 | the request for an investigatory hearing, unless all parties | ||||||
18 | consent to a later date. The Department of Labor is empowered | ||||||
19 | to promulgate, adopt, amend and rescind rules and regulations | ||||||
20 | to govern the hearing procedure.
| ||||||
21 | (j) It shall be mandatory upon the contractor or | ||||||
22 | construction manager
to whom a contract for public works is | ||||||
23 | awarded to post, at a
location on the project site of the | ||||||
24 | public works that is
easily accessible to the workers engaged | ||||||
25 | on the project,
the prevailing wage rates for each craft or | ||||||
26 | type of worker
or mechanic needed to execute the contract or |
| |||||||
| |||||||
1 | project or
work to be performed. In lieu of posting on a job | ||||||
2 | site, a contractor which has a business location where | ||||||
3 | laborers, workers and mechanics regularly visit may: (1) post | ||||||
4 | in a conspicuous location at that business the current | ||||||
5 | prevailing wage rates for each county the contractor is | ||||||
6 | performing work; or (2) provide such laborer, worker or | ||||||
7 | mechanic engaged on the public works project a written notice | ||||||
8 | indicating the prevailing wage rates for the public works | ||||||
9 | project. A failure to post or provide a prevailing wage
rate as | ||||||
10 | required by this Section is a violation of this Act.
| ||||||
11 | (k) The public body awarding any contract for a public | ||||||
12 | works or otherwise undertaking any public works shall notify | ||||||
13 | the Department of Labor in writing, on a form prescribed by the | ||||||
14 | Department of Labor, whenever a contract subject to the | ||||||
15 | provisions of this Act has been awarded. The notification | ||||||
16 | mentioned herein shall be filed with the Department of Labor | ||||||
17 | within 30 days after such contract is awarded or before | ||||||
18 | commencement of the public works, and shall include a list of | ||||||
19 | all first-tier subcontractors.
| ||||||
20 | (Source: P.A. 92-783, eff. 8-6-02; 93-15, eff. 6-11-03; 93-16, | ||||||
21 | eff.
1-1-04; 93-38, eff. 6-1-04; revised 10-29-04.)
| ||||||
22 | (820 ILCS 130/5) (from Ch. 48, par. 39s-5)
| ||||||
23 | Sec. 5. Certified payroll.
| ||||||
24 | (a) While participating on public works, the contractor and | ||||||
25 | each subcontractor shall: |
| |||||||
| |||||||
1 | (1) make and keep, for a period of not less
than 3 | ||||||
2 | years, records of all laborers, mechanics, and other | ||||||
3 | workers employed by them on the project; the records shall | ||||||
4 | include each worker's name, address, telephone number
when | ||||||
5 | available, social security number, classification or | ||||||
6 | classifications, the hourly wages paid in each pay period, | ||||||
7 | the number of hours worked each day , and the starting and | ||||||
8 | ending times of work each day ; and | ||||||
9 | (2) submit monthly, in person, by mail, or | ||||||
10 | electronically a certified payroll to the public body in | ||||||
11 | charge of the project. The certified payroll shall consist | ||||||
12 | of a complete copy of the records identified in paragraph | ||||||
13 | (1) of this subsection (a), but may exclude the starting | ||||||
14 | and ending times of work each day. The certified payroll | ||||||
15 | shall be accompanied by a statement signed by the | ||||||
16 | contractor or subcontractor which avers that: (i) such | ||||||
17 | records are true and accurate; (ii) the hourly rate paid to | ||||||
18 | each worker is not less than the general prevailing rate of | ||||||
19 | hourly wages required by this Act; and (iii) the contractor | ||||||
20 | or subcontractor is aware that filing a certified payroll | ||||||
21 | that he or she knows to be false is a Class B misdemeanor. | ||||||
22 | A general contractor is not prohibited from relying on the | ||||||
23 | certification of a lower tier subcontractor, provided the | ||||||
24 | general contractor does not knowingly rely upon a | ||||||
25 | subcontractor's false certification. Any contractor or | ||||||
26 | subcontractor subject to this Act who fails to submit a |
| |||||||
| |||||||
1 | certified payroll or knowingly files a false certified | ||||||
2 | payroll is in violation of this Act and guilty of a Class B | ||||||
3 | misdemeanor. The public body in charge of the project shall | ||||||
4 | keep the records submitted in accordance with this | ||||||
5 | paragraph (2) of subsection (a) for a period of not less | ||||||
6 | than 3 years. The records submitted in accordance with this | ||||||
7 | paragraph (2) of subsection (a) shall be considered public | ||||||
8 | records, except an employee's address, telephone number, | ||||||
9 | and social security number, and made available in | ||||||
10 | accordance with the Freedom of Information Act. The public | ||||||
11 | body shall accept any reasonable submissions by the | ||||||
12 | contractor that meet the requirements of this Section. This | ||||||
13 | paragraph (a)(2) does not apply to a mechanic performing | ||||||
14 | maintenance, repair, assembly, or disassembly work on | ||||||
15 | leased or rented equipment when the mechanic performing the | ||||||
16 | work is an employee of the entity leasing or renting the | ||||||
17 | equipment, unless the entity leasing or renting the | ||||||
18 | equipment employs a mechanic on the public works project 3 | ||||||
19 | or more consecutive days or 10 or more days in a calendar | ||||||
20 | month.
| ||||||
21 | (b) Upon 7 business days' notice, the contractor and each | ||||||
22 | subcontractor shall make available for inspection the records | ||||||
23 | identified in paragraph (1) of subsection (a) of this Section | ||||||
24 | to the public body
in charge of the project, its officers and | ||||||
25 | agents, and to the Director of Labor
and his deputies and | ||||||
26 | agents. Upon 7 business days' notice, the contractor and each |
| |||||||
| |||||||
1 | subcontractor shall make such records available at all | ||||||
2 | reasonable hours at a location within this State. | ||||||
3 | (Source: P.A. 93-38, eff. 6-1-04; 94-515, eff. 8-10-05; | ||||||
4 | 94-1023, eff. 7-12-06.)
| ||||||
5 | (820 ILCS 130/6) (from Ch. 48, par. 39s-6)
| ||||||
6 | Sec. 6. Any officer, agent or representative of any public | ||||||
7 | body who
wilfully violates, or omits to comply with, any of the | ||||||
8 | provisions of
this Act, and any contractor or subcontractor, or | ||||||
9 | agent or
representative thereof, doing public work as | ||||||
10 | aforesaid, who wilfully violates, or omits to comply with, any | ||||||
11 | of the provisions of this Act,
neglects to
keep, or cause to be | ||||||
12 | kept, an accurate record of the names, occupation
and actual | ||||||
13 | wages paid to each laborer, worker and mechanic employed by
| ||||||
14 | him, in connection with the public work or who refuses to allow | ||||||
15 | access
to same at any reasonable hour to any person authorized | ||||||
16 | to inspect same
under this Act, is guilty of a Class A | ||||||
17 | misdemeanor.
| ||||||
18 | The Department of Labor shall inquire diligently as to any | ||||||
19 | violation
of this Act, shall institute actions for penalties | ||||||
20 | herein prescribed,
and shall enforce generally the provisions | ||||||
21 | of this Act. The Attorney
General shall prosecute such cases | ||||||
22 | upon complaint by the Department or
any interested person.
| ||||||
23 | (Source: P.A. 94-488, eff. 1-1-06.)
| ||||||
24 | (820 ILCS 130/11) (from Ch. 48, par. 39s-11)
|
| |||||||
| |||||||
1 | Sec. 11. (a) No public works project shall be instituted | ||||||
2 | unless the
provisions of this Act have been complied with. The | ||||||
3 | provisions of this
Act shall not be applicable to Federal | ||||||
4 | construction projects which
require a prevailing wage | ||||||
5 | determination by the United States Secretary
of Labor. The | ||||||
6 | Illinois Department of Labor represented by the Attorney
| ||||||
7 | General is empowered to sue for injunctive relief against the | ||||||
8 | awarding of
any contract or the continuation of work under any | ||||||
9 | contract for public works
at a time when the prevailing wage | ||||||
10 | prerequisites have not been met. Any
contract for public works | ||||||
11 | awarded at a time when the prevailing wage prerequisites
had | ||||||
12 | not been met shall be void as against public policy and the | ||||||
13 | contractor
is prohibited from recovering any damages
for the | ||||||
14 | voiding of the contract or pursuant to the terms of the | ||||||
15 | contract.
The contractor is limited to a claim for amounts | ||||||
16 | actually paid for labor
and materials supplied to the public | ||||||
17 | body. Where objections to a determination
of the prevailing | ||||||
18 | rate of
wages or a court action relative thereto is pending, | ||||||
19 | the public body
shall not continue work on the project unless | ||||||
20 | sufficient funds are
available to pay increased wages if such | ||||||
21 | are finally determined or
unless the Department of Labor | ||||||
22 | certifies such determination of the
prevailing rate of wages as | ||||||
23 | correct.
| ||||||
24 | Any laborer, worker or mechanic employed by the contractor | ||||||
25 | or by any sub-contractor
under him who is paid for his services | ||||||
26 | in a sum less than the stipulated
rates for work done under |
| |||||||
| |||||||
1 | such contract, shall
have a right of action for whatever | ||||||
2 | difference there may be between the
amount so paid, and the | ||||||
3 | prevailing rate of wages required to be paid on the public | ||||||
4 | works project
rates provided by the contract together with
| ||||||
5 | costs and such reasonable attorney's fees as
shall be allowed | ||||||
6 | by the court. Such contractor or subcontractor shall also
be | ||||||
7 | liable to the
Department of Labor for
20% of
such underpayments | ||||||
8 | and shall be additionally liable to the laborer, worker
or | ||||||
9 | mechanic for punitive damages in the amount of
2% of the amount | ||||||
10 | of any
such penalty to the
State for underpayments for each | ||||||
11 | month following the date of payment during
which such | ||||||
12 | underpayments
remain unpaid. Where a second or subsequent | ||||||
13 | action to recover underpayments is brought against a contractor | ||||||
14 | or subcontractor and the contractor or subcontractor is found | ||||||
15 | liable for underpayments to any laborer, worker, or mechanic, | ||||||
16 | the contractor or subcontractor shall also be liable to the | ||||||
17 | Department of Labor for 50% of the underpayments payable as a | ||||||
18 | result of the second or subsequent action, and shall be | ||||||
19 | additionally liable to the laborer, worker or mechanic for | ||||||
20 | punitive damages in the amount of
for 5% of the amount of any | ||||||
21 | such penalty to the State for underpayments for each month | ||||||
22 | following the date of payment during which the underpayments | ||||||
23 | remain unpaid. The Department shall also have a right of action | ||||||
24 | on behalf
of any individual who has a right of action under | ||||||
25 | this Section. An action brought
to recover same shall be deemed | ||||||
26 | to be a suit for wages, and any and all
judgments entered |
| |||||||
| |||||||
1 | therein shall have the same force and effect as other
judgments | ||||||
2 | for wages.
At the request of any laborer, workman or mechanic
| ||||||
3 | employed by the contractor or by any subcontractor under him | ||||||
4 | who is paid
less than the prevailing wage rate required by this | ||||||
5 | Act, the Department
of Labor may take an assignment of such | ||||||
6 | wage claim in trust for the assigning
laborer, workman or | ||||||
7 | mechanic and may bring any legal action necessary to
collect | ||||||
8 | such claim, and the contractor or subcontractor shall be | ||||||
9 | required
to pay the costs incurred in collecting such claim.
| ||||||
10 | (b) For purposes of this subsection, the following | ||||||
11 | definitions are applicable: | ||||||
12 | "Accurate records" means the payroll records required to be | ||||||
13 | filed with the public body in charge of the project as required | ||||||
14 | by Section 5 of the Act. Accurate records shall also mean the | ||||||
15 | hourly rate paid for fringe benefits, including pension, health | ||||||
16 | and welfare, training and vacations, and a designation of | ||||||
17 | whether such fringe benefits were paid into a fund or paid | ||||||
18 | directly to the employee. | ||||||
19 | "Act" means the Prevailing Wage Act. | ||||||
20 | "Construction manager" includes, but is not limited to, the | ||||||
21 | contractor, subcontractor or anyone overseeing any project | ||||||
22 | covered by the Act for purposes of the posting requirement. | ||||||
23 | "Contract" means an agreement either written or oral or | ||||||
24 | otherwise as agreed to between the parties. | ||||||
25 | "Decision" means that the Department has determined that a | ||||||
26 | violation has occurred that warrants the Director or the |
| |||||||
| |||||||
1 | Director's designee to issue a notice of violation to a | ||||||
2 | contractor or subcontractor. Each specific finding listed in | ||||||
3 | the notice of violation is a separate "Decision" that the Act | ||||||
4 | has been violated. | ||||||
5 | "Director" means the Director of the Illinois Department of | ||||||
6 | Labor or, at the Director's discretion, the Director's | ||||||
7 | designee, deputy or agent. | ||||||
8 | "Employee" means laborers, mechanics and other workers | ||||||
9 | employed in any public works, as defined and covered under the | ||||||
10 | Act, by anyone under contracts for public works. | ||||||
11 | "Employer" means a contractor or subcontractor, or both, | ||||||
12 | who performs public works projects subject to the Act. | ||||||
13 | "Notice of second violation" is a notice issued by the | ||||||
14 | Department advising a contractor or subcontractor that a | ||||||
15 | violation as defined in this subsection has occurred within | ||||||
16 | five years from the date of the notice of first violation. | ||||||
17 | "Notice of violation" means the formal written notice to a | ||||||
18 | contractor or subcontractor that the Department has made a | ||||||
19 | decision that the contractor or subcontractor has violated the | ||||||
20 | Act. | ||||||
21 | "Prevailing hourly rate of wages" means the hourly cash | ||||||
22 | wages plus fringe benefits for health and welfare, insurance, | ||||||
23 | training, vacations and pensions paid most frequently | ||||||
24 | (numerically most occurring), in the county in which the public | ||||||
25 | works is performed, to employees engaged on public works, as | ||||||
26 | determined by the public body awarding the contract or the most |
| |||||||
| |||||||
1 | recent revision as determined by the Department of Labor | ||||||
2 | effective prior to the date when the contract was let for bids | ||||||
3 | or, if not let for bids, when executed; and all revisions by | ||||||
4 | the Illinois Department of Labor when effected. | ||||||
5 | "Violation" means a written decision by the Department that | ||||||
6 | a contractor or subcontractor has: failed or refused to pay the | ||||||
7 | prevailing wage to one or more laborers, workers, or mechanics | ||||||
8 | under a single contract or subcontract as required by Section 3 | ||||||
9 | of the Act; failed to keep accurate records as required by the | ||||||
10 | Act; failed to produce to the Department accurate records or | ||||||
11 | records not in compliance with the provisions of Section 6 of | ||||||
12 | the Act; refused to submit records to the Department in | ||||||
13 | response to a subpoena issued in accordance with Section 10 of | ||||||
14 | the Act; refused to comply with the certified payroll provision | ||||||
15 | of Section 5 of the Act; refused the Department access, at any | ||||||
16 | reasonable hour or at any location designated by the | ||||||
17 | Department, to inspect the contractor's or subcontractor's | ||||||
18 | certified records and other records as required by the Act; | ||||||
19 | failed to insert into each subcontract or lower tiered | ||||||
20 | subcontract and into the project specifications for each | ||||||
21 | subcontract or lower tiered subcontract a written stipulation | ||||||
22 | that not less than the prevailing rate of wages be paid as | ||||||
23 | required by Section 4 of the Act; or the contractor failed to | ||||||
24 | obtain a bond that guarantees the faithful performance of the | ||||||
25 | prevailing wage clause in the contract. A violation also means | ||||||
26 | a written decision by the Department that a contractor or |
| |||||||
| |||||||
1 | construction manager failed to post or provide the prevailing | ||||||
2 | wage rates as required by Section 4 of the Act. | ||||||
3 | After receipt of a complaint or on the Department's | ||||||
4 | initiative, the Director shall review the investigative file to | ||||||
5 | determine whether there has been a violation or violations of | ||||||
6 | which the contractor or subcontractor must be given notice. All | ||||||
7 | information and observations made during an audit, | ||||||
8 | investigation or survey shall be considered and shall | ||||||
9 | constitute the basis for the Department's decision that the Act | ||||||
10 | has been violated and that a notice of violation shall be | ||||||
11 | issued. The notice of violation shall identify the specific | ||||||
12 | violations of the Act. | ||||||
13 | The notice of violation shall state the amount of monies | ||||||
14 | estimated due by the Department to be in controversy based on | ||||||
15 | reasons contained in the investigation file. | ||||||
16 | In making a decision that a contractor or subcontractor has | ||||||
17 | failed to allow the Director access to accurate payroll | ||||||
18 | records, the Director shall rely on the information contained | ||||||
19 | in the investigative file, the certified payroll records filed | ||||||
20 | with the public body in charge of the project or any other | ||||||
21 | information and shall assess a separate violation for each day | ||||||
22 | worked by each worker on the subject project. Each decision of | ||||||
23 | a separate violation under Section 5 of the Act shall be listed | ||||||
24 | in the notice of violation. | ||||||
25 | In deciding that the Act has been violated and that the | ||||||
26 | issuance of a notice of violation is required, the Director |
| |||||||
| |||||||
1 | shall base the decision on one or any combination of the | ||||||
2 | following reasons: | ||||||
3 | (1) The severity of the violations. The Director will | ||||||
4 | consider the following: | ||||||
5 | (i) The amount of wages that are determined to be | ||||||
6 | underpaid pursuant to the Act. | ||||||
7 | (ii) The activity or conduct complained of | ||||||
8 | violates the requirements of the statute and was not | ||||||
9 | merely a technical, non-substantive error. Examples of | ||||||
10 | a technical error include, but are not limited to, a | ||||||
11 | mathematical error, bookkeeping error, transposition | ||||||
12 | of numbers, or computer or programming error.
| ||||||
13 | (2) The nature and duration of the present violations | ||||||
14 | as well as prior history of the contractor or the | ||||||
15 | subcontractor related to the Act. The prior history | ||||||
16 | considered cannot exceed 7 years before the date of the | ||||||
17 | second notice of violation. | ||||||
18 | (3) Whether the contractor or subcontractor filed | ||||||
19 | certified payroll records with the public body in charge of | ||||||
20 | the project; whether the contractor or subcontractor has | ||||||
21 | kept the payroll records and accurate records for 3 years; | ||||||
22 | whether the contractor or subcontractor produced certified | ||||||
23 | payroll records in accordance with Section 5 of the Act. | ||||||
24 | (4) Whether the contractor or subcontractor has | ||||||
25 | violated any other provision of the Act.
| ||||||
26 | The notices of the first and second violations shall be |
| |||||||
| |||||||
1 | sent by the Department by certified mail, deposited in the | ||||||
2 | United States mail, postage prepaid, addressed to the last | ||||||
3 | known address of the persons, partnerships, associations, or | ||||||
4 | corporations involved. Said notices shall contain a reference | ||||||
5 | to the specific Sections of the Act alleged to have been | ||||||
6 | violated; identify the particular public works project | ||||||
7 | involved; the conduct complained of; an identification as to | ||||||
8 | first or second notice and a statement of remedies available to | ||||||
9 | the contractor or subcontractor and Department.
| ||||||
10 | (c) The Director of the Department of Labor shall publish | ||||||
11 | in the
Illinois Register no less often than once each calendar | ||||||
12 | quarter a list of
contractors or subcontractors found to have | ||||||
13 | disregarded their obligations
to employees under this Act. The | ||||||
14 | Department of Labor shall determine the
contractors or | ||||||
15 | subcontractors who, on 2 separate occasions within 5 years, | ||||||
16 | have been
determined to have violated the provisions of this | ||||||
17 | Act. If a violation of this Act involves a worker who is not a | ||||||
18 | legal resident alien or a United States citizen, then a finding | ||||||
19 | of a single violation within a 5-year period shall require the | ||||||
20 | Department of Labor to proceed directly to a notice of second | ||||||
21 | violation. Upon such determinations the Department shall | ||||||
22 | notify the violating
contractor or subcontractor. Such | ||||||
23 | contractor or subcontractor shall then
have 10 working days to | ||||||
24 | request a hearing by the Department on the alleged
violations. | ||||||
25 | Failure to respond within the 10 working day period shall
| ||||||
26 | result in automatic and immediate placement and publication on |
| |||||||
| |||||||
1 | the list.
If the contractor or subcontractor requests a hearing | ||||||
2 | within the 10 working
day period, the Director shall set a | ||||||
3 | hearing on the alleged violations.
Such hearing shall take | ||||||
4 | place no later than 45 calendar days after the
receipt by the | ||||||
5 | Department of Labor of the request for a hearing.
The | ||||||
6 | Department of Labor is empowered to promulgate, adopt, amend | ||||||
7 | and rescind
rules and regulations to govern the hearing | ||||||
8 | procedure. No contract shall
be awarded to a contractor or | ||||||
9 | subcontractor appearing on the list, or to
any firm, | ||||||
10 | corporation, partnership or association in which such | ||||||
11 | contractor
or subcontractor has an interest until 4 years have | ||||||
12 | elapsed from the date
of publication of the list containing the | ||||||
13 | name of such contractor or
subcontractor.
| ||||||
14 | (Source: P.A. 94-488, eff. 1-1-06.)
| ||||||
15 | (820 ILCS 130/11b)
| ||||||
16 | Sec. 11b. Discharge or discipline of "whistle blowers" | ||||||
17 | prohibited.
| ||||||
18 | (a) No person shall discharge, discipline, or in any other | ||||||
19 | way discriminate
against, or cause to be discharged, | ||||||
20 | disciplined, or discriminated against, any
employee or
any
| ||||||
21 | authorized representative of employees by reason of the fact | ||||||
22 | that the employee
or representative has filed, instituted, or | ||||||
23 | caused to be filed or instituted
any proceeding under this Act, | ||||||
24 | or has testified or is about to testify
in any proceeding | ||||||
25 | resulting from the administration or enforcement of
this Act, |
| |||||||
| |||||||
1 | or offers any evidence of any violation of this Act.
| ||||||
2 | (b) Any employee or a representative of employees who | ||||||
3 | believes that he has
been discharged, disciplined, or otherwise | ||||||
4 | discriminated against by any person
in violation
of subsection | ||||||
5 | (a) of this Section may, within 180
30 days after the alleged
| ||||||
6 | violation occurs, apply to the Director of Labor for a
review | ||||||
7 | of the discharge, discipline, or alleged discrimination. A copy | ||||||
8 | of the
application
shall be sent to the person who allegedly | ||||||
9 | committed the violation, who
shall be the respondent. Upon | ||||||
10 | receipt of
an application, the Director
shall cause such | ||||||
11 | investigation to be made as he or she deems appropriate.
The | ||||||
12 | investigation shall provide an opportunity for a public hearing | ||||||
13 | at
the request of any party to the review to enable the parties | ||||||
14 | to present
information relating to the alleged violation. The | ||||||
15 | parties shall be given
written notice of the time and place of | ||||||
16 | the hearing at least 30
5 days before
the hearing. Upon | ||||||
17 | receiving the report of the investigation, the Director
shall | ||||||
18 | make findings of fact. If the Director finds that a violation | ||||||
19 | did occur,
he or she shall issue a decision incorporating his | ||||||
20 | or her
findings and
requiring the party committing the | ||||||
21 | violation to take such affirmative action
to abate the | ||||||
22 | violation as the Director deems appropriate, including, but
not | ||||||
23 | limited to, the rehiring or reinstatement of the employee or | ||||||
24 | representative
of employees to his or her former position and | ||||||
25 | compensating him or her for the
time he or she was unemployed. | ||||||
26 | The party committing the violation shall also be liable to the |
| |||||||
| |||||||
1 | Department of Labor for a penalty of $5,000 for each violation | ||||||
2 | of this Section. If the Director finds that there was no
| ||||||
3 | violation, he
or she
shall issue an order denying the | ||||||
4 | application. An order issued by the
Director under this Section | ||||||
5 | shall be subject to
judicial review under the Administrative | ||||||
6 | Review Law.
| ||||||
7 | (c) The Director shall adopt rules implementing this | ||||||
8 | Section in
accordance
with the Illinois Administrative | ||||||
9 | Procedure Act.
| ||||||
10 | (Source: P.A. 94-488, eff. 1-1-06.)
| ||||||
11 | (820 ILCS 130/11a rep.)
| ||||||
12 | Section 10. The Prevailing Wage Act is amended by repealing | ||||||
13 | Section 11a.
|