New York prevailing wage is the minimum hourly rate plus supplemental benefits that
contractors must pay workers on public works projects funded in whole or in
part by public money. The New York State Department of Labor sets these rates
from the collective bargaining agreements in effect for each trade and
locality, and the New York City Comptroller sets them for projects funded in whole or in part by New York City. Rates typically change every July 1 but rates can increase at any point throughout the year. Rate updates and timing of updates are based on work class. Since January 1, 2026, contractors
have been required to file certified payroll electronically with NYSDOL at
least every 30 days, which makes ongoing reporting discipline as important as
pricing the rate correctly at bid time.
For general contractors and subcontractors, New York is one of the more
demanding states in the country. Rates run high, enforcement is active, several
new obligations took effect between late 2025 and mid 2026, and a single
willful violation can put your eligibility for future public work at risk.
What Counts as Public Works in New York
Under New York law, public works includes construction, reconstruction,
demolition, and maintenance projects paid for wholly or partially with public
funds. That covers roads, highways, and bridges, public schools and government
buildings, water and sewer systems, and federally assisted energy work such as
solar, wind, broadband, and EV charging installations.
Private Projects Covered Under Section 224-a
New York also reaches certain private development. Under Labor Law
Section 224-a, construction is treated as a covered project when at least 30
percent of total project costs come from public funds and total project costs
exceed $5 million. The state's Public Subsidy Board decides whether a private
project qualifies, so a privately owned job is not automatically exempt.
The Laws Behind New York Prevailing Wage Rates
New York contractors operate under several overlapping requirements.
Article 8 of the Labor Law sets prevailing wage on public works construction
and is enforced by the NYSDOL Bureau of Public Work. Article 9 applies
separately to building service workers such as janitors and security guards.
Section 224-a extends Article 8 to qualifying private projects, and Section
220-i requires registration before bidding.
Federally funded or assisted projects of $2,000 or more also fall under
the Davis-Bacon Act. When a job carries both state and federal money, you apply
whichever rate is higher for each classification. Mismatching the two is one of
the most common sources of underpayment claims, and our comparison of state versus federal
prevailing wage laws covers how to reconcile them.
How New York Prevailing Wage Rates Work
Every public works project for the state of New York receives a Prevailing Rate Case
number from NYSDOL. Contractors use that PRC number to pull the
project-specific wage schedule, which lists the basic hourly rate and the
supplemental benefit rate for every work classification. NYSDOL publishes its annual
schedule on July 1, effective through June 30 of the following year. However, rates can change during the year, so it is
important to check the NYSDOL site for updates each month.
Basic Rate and Supplemental Benefits
The total rate has two parts. The basic hourly rate is the cash minimum
for the classification. Supplemental benefits, the term New York uses in place of fringe
benefits, cover items like health insurance, pension contributions, and paid
leave. If you do not provide bona fide supplemental benefits, you must pay the equivalent
value as cash wages. If the basic rate is $35 and supplements total $10, the
worker must receive $45 per hour in some combination of wages and benefits. Our
guidance on paying fringe benefits in
cash versus bona fide plans explains how the credit works.
Overtime Rules Are Stricter Than Federal Law
This catches out-of-state contractors constantly. On New York public
work, overtime is typically owed after 8 hours in a day and on weekends, but overtime rules can vary across work classes. It is important to check the specific overtime requirements
for each class in the applicable NY State Prevailing Wage Schedule.
A crew working four 10-hour days may owe daily
overtime in New York even though the week never crosses 40 hours. Review how overtime is calculated for
certified payroll before you build a compressed schedule into a bid.
Contractor Registration Is Required Before You Bid
Since December 30, 2024, every contractor and subcontractor bidding on or
performing covered work must hold an active NYSDOL registration. Certificates
are valid for two calendar years, and renewal must be filed at least 90 days
before expiration. The fee is $200, reduced to $100 for MWBE-certified
businesses. The requirement extends to private projects covered under Section
224-a.
Working or bidding without registration exposes contractors,
subcontractors, and project owners who knowingly engage them to civil penalties
of up to $1,000, plus possible stop work orders.
Electronic Certified Payroll Filing Changed in 2026
For all covered work performed on or after January 1, 2026, contractors
and subcontractors file certified payroll electronically through NYSDOL's
certified payroll portal, part of the Management System for Protecting Workers
Rights. Filings are due at least every 30 days for the life of the project, and
a filing is required even for periods when no work occurred.
Each submission must include your FEIN, your New York contractor
registration number, and the project's PRC number. Classification codes must
match the portal's approved list, and the system accepts bulk XML upload
validated against a published schema. Submissions more than 14 days late accrue
penalties of $100 per day.
Article 9 building service work is exempt, as are federal Davis-Bacon
projects where state prevailing wage law does not apply. On those federal jobs
you file Form WH-347 weekly with the contracting agency
instead.
New York City Files Separately
Contractors on New York City public contracts solicited on or after
December 31, 2025, submit through the City's own online certified payroll
database rather than the state portal. Contractors working both city and state
projects maintain two reporting streams.
Recent Changes New York Contractors Should Know
Three amendments reshaped coverage in the last year.
Effective December 12, 2025, drivers delivering and hauling concrete and
asphalt in the five boroughs plus Nassau, Putnam, Suffolk, and Westchester
counties must be paid prevailing wage. Coverage includes delivery, hauling,
return trips whether loaded or empty, and time spent loading and unloading.
Effective September 5, 2025, contractors on renewable energy systems of 1 MW or greater receiving renewable energy credits, NYSERDA-funded offshore wind supply chain work, thermal energy networks, and major utility transmission facilities must use NYSDOL-approved apprenticeship agreements. See reporting apprentices on certified payroll for the documentation side.
Penalties for Non-Compliance
Contractors who underpay owe back wages for the difference between what
was paid and the prevailing rate. If the underpayment is found by the NYSDOL, there are additional penalties for interest that can reach 16 percent running from the
date of underpayment through restitution. NYSDOL can assess a civil penalty of
up to 25 percent of the total due for willful violations.
Debarment from public work for five years is triggered by two willful
violations within a six-year period, by falsification of payroll records, or by
a felony conviction related to wage underpayment. Falsifying certified payroll
also carries criminal exposure. Preparation is the only reliable defense, and
our guide to preparing for a certified
payroll audit covers what investigators request.
New York also requires you to post the current wage schedule at the job
site and retain payroll records for at least six years. Federal Davis-Bacon
recordkeeping runs three years after completion of the prime contract.
Simplify New York Compliance With eMars
Manual prevailing wage compliance is where most contractors lose money,
either to penalties or to the hours spent producing reports by hand. eMars
generates a fully populated NYC Comptroller Certified Payroll Form or WH-347 from your payroll data and supports New
York's XML certified payroll upload for direct electronic submission by producing fully populated XML files. More than
thirty automated checks validate classifications, rates, and supplemental benefits before
a report is filed rather than after an investigator finds the gap.
Learn more about prevailing wage and
Davis-Bacon compliance in New York.
Frequently Asked Questions
How often is certified payroll filed in New York?
For covered work on or after January 1, 2026, contractors file
electronically through NYSDOL at least every 30 days for the life of the
project, including periods with no work. Federal Davis-Bacon projects require
weekly WH-347 filing with the contracting agency.
Who sets prevailing wage rates in New York?
The Commissioner of Labor sets rates for projects across New York State,
and the New York City Comptroller sets them for New York City projects. Both publish annual schedules effective July 1 as well as monthly updates throughout the year.
Do private projects require prevailing wage in New York?
Yes, in some cases. Under Section 224-a, a private construction project
is covered when at least 30 percent of total costs come from public funds and
total costs exceed $5 million.
What are supplemental benefits in New York prevailing wage?
Supplemental benefits are New York's term for fringe benefits, covering health
insurance, pension contributions, paid leave, and similar items. If a
contractor does not provide bona fide supplemental benefits, the equivalent value must be
paid as cash wages.
What is the penalty for prevailing wage violations in New York?
Underpayment triggers back wages plus interest of up to 16 percent (if the underpayment is discovered by the NYSDOL), and
civil penalties of up to 25 percent of the amount due for willful violations.
Two willful violations in six years result in five-year debarment from public
work.
Contact eMars Today
Ready to stop managing New York and federal reporting in separate
systems? Schedule a demo to see how eMars handles prevailing
wage compliance from bid through closeout.
