Contractor Working On Federally-Funded Solar Project Settles Davis-Bacon Act Claims for $1.9 Million
Monday, October 27, 2014

On October 23, the Department of Labor reported that Proimtu Mmi-Nv LLC, a Nevada-based company, agreed to pay $1.9 million in back wages and fringe benefits as the result of a DOL investigation of its compliance with the Davis-Bacon Act.  Proimtu performs work at the Crescent Dunes Solar Energy Project in Tonopah, Nevada, a federally-funded solar power project.

The Davis-Bacon Act requires an employer to pay employees working on certain federally-funded projects the prevailing wage and fringe benefits as established by the Department of Labor.  The DOL determined that Proimtu failed to pay required wages and benefits for 147 employees between June 2013 and April 2014.

As a result of the investigation, Proimtu was required to pay $1,914,681.50 to affected employees.  Proimtu also agreed to pay the prevailing wages going forward and to raise the awareness of other employers working on the Crescent Dunes project about their obligations under the Davis-Bacon Act.

As this settlement demonstrates the Department of Labor continued focus on remedying violations of the Davis-Bacon Act.  Employers working on federally-funded projects should identify the wage orders that apply to their work on the projects and ensure that they and their subcontractors are complying with their wage-payment obligations.

 

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