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July 2, 2014

Re:    Increase in Prevailing Wage Threshold

Dear Mayor:

As of July 1, the Prevailing Wage Threshold has increased for municipalities from $14,187 to $15,444.  The threshold for non-municipalities, including schools and counties, remains at $2,000.  

This threshold is used to determine if the contractor must pay their employees prevailing wage on a particular project.  In addition, for any public works project this threshold will trigger the requirement that all contractors, including named subcontractors, have their Public Works Contractor Registration prior to submitting price proposals or engaging in certain public works contracts that exceed $15,444.

The Prevailing Wage Threshold is adjusted July 1 every five years in direct proportion to the rise or fall in the average of the Consumer Price Indices for Urban Wage Earners and Clerical Workers for the New York metropolitan and the Philadelphia metropolitan regions as reported by the United States Department of Labor during the last full calendar year preceding the date upon which the adjustment is made.

If you have any questions or need additional information please contact Lori Buckelew, Senior Legislative Analyst, at 609-695-3481 ext. 112 or lbuckelew@njslom.com.

Very truly yours,

William G. Dressel, Jr.
Executive Director

 

 

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