Section 6 of 7
CSLB Prevailing Wage Requirements Practice Questions
10 free practice questions on prevailing wage requirements, part of the Public Works section (about 5% of the exam). Try each one, then open the answer: every choice is explained and the law is quoted.
Questions and answers
- Public Works
1. Labor Code section 1771 says that workers on public works must be paid at least the prevailing wage. Which public works projects are NOT covered by this rule?
- A. Projects of $1,000 or less
- B. Projects of $5,000 or less
- C. Projects of $15,000 or less
- D. Projects of $25,000 or less
Show answerHide answer
Correct answer: A
A. Projects of $1,000 or less
Correct answer
Section 1771 starts with one exception: public works projects of $1,000 or less. On every other public works project, workers must be paid at least the prevailing wage.
B. Projects of $5,000 or less
$5,000 is not the limit in section 1771. The exception covers only public works projects of $1,000 or less.
C. Projects of $15,000 or less
$15,000 is not the limit in section 1771. The exception covers only public works projects of $1,000 or less.
D. Projects of $25,000 or less
$25,000 is not the limit in section 1771. The exception covers only public works projects of $1,000 or less.
Explanation
Section 1771 starts with one exception: public works projects of $1,000 or less. On every other public works project, all workers must be paid at least the general prevailing rate of per diem wages, including the prevailing rates for holiday and overtime work. The other dollar amounts are not the limit in section 1771.
Source
Lab. Code §1771
Except for public works projects of one thousand dollars ($1,000) or less, not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which the public work is performed
View source: Lab. Code §1771Official site for Lab. Code §1771 (opens in a new tab)
- Public Works
2. A subcontractor on a public works project paid 4 workers less than the prevailing wage rate. Each worker was underpaid on 6 calendar days. On 2 of those 6 days, the workers worked only half a day. Under Labor Code section 1775, what is the MAXIMUM penalty the subcontractor can be ordered to pay?
- A. $1,200
- B. $2,880
- C. $4,000
- D. $4,800
Show answerHide answer
Correct answer: D
A. $1,200
$1,200 counts only one worker (6 days x $200). All 4 workers were underpaid, so the maximum is 24 worker-days x $200 = $4,800.
B. $2,880
$2,880 uses $120 per worker-day, which is the lowest penalty for a willful violation, not the maximum. The maximum is $200 per worker per day.
C. $4,000
$4,000 wrongly counts the two half days as one day. Each portion of a day counts as a full calendar day, so each worker has 6 days.
D. $4,800
Correct answer
The penalty is up to $200 for each calendar day or portion of a day, for each underpaid worker. Half days count as full days, so 4 workers x 6 days x $200 = $4,800.
Explanation
Section 1775 sets the penalty at not more than $200 for each calendar day, or portion (part) of a day, for each worker paid less than the prevailing wage. Step 1: A half day is a portion of a day, so it counts as a full calendar day. Each worker has 6 days. Step 2: 4 workers x 6 days = 24 worker-days. Step 3: 24 x $200 = $4,800. $4,000 wrongly counts the two half days as one day. $1,200 counts only one worker. $2,880 uses $120, which is the lowest penalty for a willful violation, not the maximum. The Labor Commissioner decides the actual amount, and the unpaid wages must also be paid to the workers.
Source
Lab. Code §1775(a)(1)
forfeit not more than two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rates as determined by the director
View source: Lab. Code §1775(a)(1)Official site for Lab. Code §1775(a)(1) (opens in a new tab)
- Public Works
3. The Labor Commissioner sends a public works subcontractor a written request for its certified payroll records. Under Labor Code section 1776, how soon must the subcontractor file a certified copy of the records?
- A. Within 5 days after it receives the request
- B. Within 10 days after it receives the request
- C. Within 30 days after it receives the request
- D. Within 60 days after it receives the request
Show answerHide answer
Correct answer: B
A. Within 5 days after it receives the request
Too short. Section 1776 gives 10 days after receipt of the written request, not 5.
B. Within 10 days after it receives the request
Correct answer
Correct. A contractor or subcontractor must file a certified copy of the payroll records with the requesting entity within 10 days after receiving a written request.
C. Within 30 days after it receives the request
Too long. The deadline is 10 days; 30 days comes from other public works rules, not this one.
D. Within 60 days after it receives the request
Too long. The deadline is 10 days; 60 days comes from other public works rules, not this one.
Explanation
Labor Code section 1776 says a contractor or subcontractor must file a certified copy of its payroll records with the entity that asked for them within 10 days after it receives a written request. If it is late, it owes a penalty for each day and for each worker until it complies. Five days is shorter than the law requires. The 30-day and 60-day periods come from other public works rules, such as the monthly electronic payroll reports and the time to ask for review of a penalty assessment.
Source
Lab. Code §1776(d)
A contractor or subcontractor shall file a certified copy of the records enumerated in subdivision (a) with the entity that requested the records within 10 days after receipt of a written request.
View source: Lab. Code §1776(d)Official site for Lab. Code §1776(d) (opens in a new tab)
- Public Works
4. A contractor has a $400,000 public works contract. Its journeyman electricians (an apprenticeable trade) work 1,300 hours on the job. Of those, 100 hours were over 8 hours a day or 40 hours a week. The contractor has no exemption from the apprentice rules. Under Labor Code section 1777.5, what is the minimum number of apprentice hours it must employ?
- A. 200 hours
- B. 240 hours
- C. 260 hours
- D. 300 hours
Show answerHide answer
Correct answer: B
A. 200 hours
Wrong. 200 hours divides the 1,200 counted hours by 6, but the law's minimum ratio is 1 apprentice hour for every 5 journeyman hours.
B. 240 hours
Correct answer
Correct. Hours over 8 a day or 40 a week are not used, so 1,300 - 100 = 1,200 hours, and 1,200 / 5 = 240 apprentice hours.
C. 260 hours
Wrong. 260 hours divides all 1,300 hours by 5 and forgets to remove the 100 hours worked over 8 a day or 40 a week, which are not used to calculate the ratio.
D. 300 hours
Wrong. 300 hours divides the 1,200 counted hours by 4, but the law's minimum ratio is 1 apprentice hour for every 5 journeyman hours, which gives 240.
Explanation
Labor Code section 1777.5 requires at least 1 hour of apprentice work for every 5 hours of journeyman work. Step 1: Journeyman hours over 8 a day or 40 a week are not used to figure the ratio, so 1,300 - 100 = 1,200 hours. Step 2: 1,200 / 5 = 240 apprentice hours. The contractor must employ these hours before the end of the contract. 260 hours forgets to remove the 100 overtime hours (1,300 / 5). 200 hours divides by 6 and 300 hours divides by 4, but the law's minimum ratio is 1 to 5.
Sources
Lab. Code §1777.5(g)
in no case shall the ratio be less than one hour of apprentice work for every five hours of journeyman work.
View source: Lab. Code §1777.5(g)Official site for Lab. Code §1777.5(g) (opens in a new tab)
Lab. Code §1777.5(h)
Any work performed by a journeyman in excess of eight hours per day or 40 hours per week shall not be used to calculate the ratio.
View source: Lab. Code §1777.5(h)Official site for Lab. Code §1777.5(h) (opens in a new tab)
- Public Works
5. A registered prime contractor signs a subcontract with a subcontractor that is not registered with the Department of Industrial Relations (DIR). The subcontractor then works on the public works job. Under Labor Code section 1771.1, what is the most the prime contractor can be penalized for this?
- A. $25 for each day, for each of the sub's workers
- B. $100 for each day the sub works, up to $8,000
- C. $100 for each day the sub works, up to $10,000
- D. $200 for each day, for each of the sub's workers
Show answerHide answer
Correct answer: C
A. $25 for each day, for each of the sub's workers
Wrong. $25 per worker per day is the overtime penalty under section 1813, not the penalty for subcontracting with an unregistered sub.
B. $100 for each day the sub works, up to $8,000
Wrong. The $8,000 cap is for the penalty on the unregistered contractor itself; the higher-tier contractor's penalty can reach $10,000.
C. $100 for each day the sub works, up to $10,000
Correct answer
Correct. A higher-tier contractor that subcontracts with an unregistered lower-tier sub can be penalized $100 for each day the sub works, up to $10,000 in total.
D. $200 for each day, for each of the sub's workers
Wrong. $200 per worker per day is the maximum penalty for underpaying prevailing wages under section 1775, not the penalty under section 1771.1.
Explanation
Labor Code section 1771.1 says a higher-tier contractor that subcontracts with an unregistered lower-tier subcontractor can be penalized $100 for each day the unregistered sub works, up to $10,000 in total. The $8,000 limit is for the penalty on the unregistered contractor itself under the same section. $25 per worker per day is the overtime penalty under section 1813, and $200 per worker per day is the maximum penalty for underpaying prevailing wages under section 1775. The prime contractor also may not make the sub repay (indemnify) it for this penalty.
Sources
Lab. Code §1771.1(h)(1)
a higher tiered public works contractor or subcontractor who is found to have entered into a subcontract with an unregistered lower tier subcontractor to perform any public work in violation of the requirements of Section 1725.5 or this section shall be subject to forfeiture, as a civil penalty to the state, of one hundred dollars ($100) for each day the unregistered lower tier subcontractor performs work in violation of the registration requirement, not to exceed an aggregate penalty of ten thousand dollars ($10,000).
View source: Lab. Code §1771.1(h)(1)Official site for Lab. Code §1771.1(h)(1) (opens in a new tab)
Lab. Code §1771.1(g)
the contractor or subcontractor shall forfeit, as a civil penalty to the state, one hundred dollars ($100) for each day of work performed in violation of the registration requirement, not to exceed an aggregate penalty of eight thousand dollars ($8,000)
View source: Lab. Code §1771.1(g)Official site for Lab. Code §1771.1(g) (opens in a new tab)
Lab. Code §1771.1(h)(4)
A higher tiered public works contractor or subcontractor may not require a lower tiered subcontractor to indemnify or otherwise be liable for any penalties pursuant to paragraph (1).
View source: Lab. Code §1771.1(h)(4)Official site for Lab. Code §1771.1(h)(4) (opens in a new tab)
- Public Works
6. A subcontractor is working on a $2 million public works project that has no special exemption. Under Labor Code section 1771.4, how often must it send its certified payroll records directly to the Labor Commissioner?
- A. Only when the Labor Commissioner sends it a written request
- B. At least once every 30 days while work is being done
- C. Once a year, at the same time it renews its registration
- D. Only once, within 60 days after its work is finished
Show answerHide answer
Correct answer: B
A. Only when the Labor Commissioner sends it a written request
Wrong. The monthly duty does not wait for a written request; answering a written request within 10 days under section 1776 is a separate duty.
B. At least once every 30 days while work is being done
Correct answer
Correct. Section 1771.4 requires each contractor and subcontractor to send certified payroll records directly to the Labor Commissioner at least once every 30 days while work is being performed.
C. Once a year, at the same time it renews its registration
Wrong. A yearly report does not meet the rule; records must be sent at least once every 30 days while work is being done.
D. Only once, within 60 days after its work is finished
Wrong. A one-time report does not meet the rule; records are due at least once every 30 days during the work and within 30 days, not 60, after the final day of work.
Explanation
Labor Code section 1771.4 requires each contractor and subcontractor to send its certified payroll records directly to the Labor Commissioner at least monthly, in the electronic format the Labor Commissioner sets. Monthly means at least once every 30 days while work is going on, and within 30 days after the last day of work. This duty does not wait for a written request; answering a written request within 10 days under section 1776 is a separate duty. A yearly or one-time report does not meet the rule.
Sources
Lab. Code §1771.4(a)(3)(A)
Each contractor and subcontractor shall furnish the records specified in Section 1776 directly to the Labor Commissioner, in the following manner:
View source: Lab. Code §1771.4(a)(3)(A)Official site for Lab. Code §1771.4(a)(3)(A) (opens in a new tab)
Lab. Code §1771.4(a)(3)(A)(i)
“monthly” means that a submission of records shall be made at least once every 30 days while work is being performed on the project and within 30 days after the final day of work performed on the project.
View source: Lab. Code §1771.4(a)(3)(A)(i)Official site for Lab. Code §1771.4(a)(3)(A)(i) (opens in a new tab)
- Public Works
7. A contractor is served with a civil wage and penalty assessment for unpaid prevailing wages. It will challenge the assessment. It will not pay the workers until the review is over. Under Labor Code section 1742.1, what can it do within 60 days after service to avoid liquidated damages (an extra amount equal to the unpaid wages)?
- A. Deposit the full amount, including penalties, with the Department of Industrial Relations
- B. Deposit only the unpaid wages, not the penalties, with the Department of Industrial Relations
- C. Ask the Labor Commissioner for a meeting to try to settle the dispute
- D. Send the Labor Commissioner a written request for a hearing to review it
Show answerHide answer
Correct answer: A
A. Deposit the full amount, including penalties, with the Department of Industrial Relations
Correct answer
Correct. Under section 1742.1 there is no liability for liquidated damages if the full amount of the assessment, including penalties, is deposited with the Department of Industrial Relations within 60 days after service, to be held in escrow until review ends.
B. Deposit only the unpaid wages, not the penalties, with the Department of Industrial Relations
Wrong. Depositing only the wages is not enough, because the law requires the full amount of the assessment, including penalties.
C. Ask the Labor Commissioner for a meeting to try to settle the dispute
Wrong. Asking for a settlement meeting does not stop liquidated damages; only depositing the full amount, including penalties, within 60 days does.
D. Send the Labor Commissioner a written request for a hearing to review it
Wrong. Requesting a review hearing does not stop liquidated damages; the full amount, including penalties, must be deposited with the Department of Industrial Relations within 60 days.
Explanation
Labor Code section 1742.1 says that if wages are still unpaid 60 days after an assessment is served, the contractor owes liquidated damages equal to those unpaid wages, and this money goes to the workers. But there is no liability for liquidated damages if the full amount of the assessment, including penalties, is deposited with the Department of Industrial Relations within 60 days after service. The department holds the money in escrow (keeps it safe for both sides) until review ends. Depositing only the wages is not enough, because the law requires the full amount, including penalties. Asking for a settlement meeting or for a review hearing does not stop liquidated damages.
Sources
Lab. Code §1742.1(a)
the affected contractor, subcontractor, and surety on a bond or bonds issued to secure the payment of wages covered by the assessment or notice shall be liable for liquidated damages in an amount equal to the wages, or portion thereof, that still remain unpaid.
View source: Lab. Code §1742.1(a)Official site for Lab. Code §1742.1(a) (opens in a new tab)
Lab. Code §1742.1(b)
there shall be no liability for liquidated damages if the full amount of the assessment or notice, including penalties, has been deposited with the Department of Industrial Relations, within 60 days following service of the assessment or notice, for the department to hold in escrow pending administrative and judicial review.
View source: Lab. Code §1742.1(b)Official site for Lab. Code §1742.1(b) (opens in a new tab)
- Public Works
8. The Labor Commissioner finds that a subcontractor violated the public works law with intent to defraud (to cheat on purpose). Under Labor Code section 1777.1, for how long is it barred from bidding on or working on public works?
- A. From 3 months to 6 months
- B. From 6 months to 1 year
- C. From 1 year to 3 years
- D. From 3 years to 5 years
Show answerHide answer
Correct answer: C
A. From 3 months to 6 months
Wrong. Section 1777.1(a) sets a minimum of one year, so 3 to 6 months is below the required period.
B. From 6 months to 1 year
Wrong. The bar is not less than one year, so a range starting at 6 months falls below the minimum.
C. From 1 year to 3 years
Correct answer
Correct. Section 1777.1(a) makes a contractor or subcontractor that violated the law with intent to defraud ineligible for not less than one year or more than three years.
D. From 3 years to 5 years
Wrong. The maximum is three years, so a 3- to 5-year range goes beyond the limit in section 1777.1(a).
Explanation
Labor Code section 1777.1(a) says a contractor or subcontractor found to have violated the public works law with intent to defraud is ineligible (not allowed) for not less than one year and not more than three years. During that time it may not bid on or be awarded a public works contract, and it may not work as a subcontractor on one. The bar also covers any firm in which it has an interest. Periods shorter than one year are below the minimum, and periods over three years are above the maximum.
Source
Lab. Code §1777.1(a)
Whenever a contractor or subcontractor performing a public works project pursuant to this chapter is found by the Labor Commissioner to be in violation of this chapter with intent to defraud, the contractor or subcontractor or a firm, corporation, partnership, or association in which the contractor or subcontractor has any interest is ineligible for a period of not less than one year or more than three years to do either of the following:
View source: Lab. Code §1777.1(a)Official site for Lab. Code §1777.1(a) (opens in a new tab)
- Public Works
9. A city repairs one of its own buildings. It does not hire a contractor. The work is done only by the city's own employees. Under Labor Code section 1771, does the prevailing wage rule apply to this work?
- A. Yes, because the city owns the building
- B. Yes, but only if the repair costs more than $1,000
- C. No, because the city's own employees do the work
- D. No, because repair work is never public works
Show answerHide answer
Correct answer: C
A. Yes, because the city owns the building
City ownership of the building does not change the result. Section 1771 applies only to work done under a contract, not to work a public agency does with its own employees.
B. Yes, but only if the repair costs more than $1,000
The $1,000 limit is a separate exception for small projects and does not decide this case. Section 1771 does not apply because the city used only its own employees.
C. No, because the city's own employees do the work
Correct answer
Section 1771 applies only to work performed under contract and does not apply to work a public agency carries out with its own forces. The city did this repair with only its own employees, so the rule does not apply.
D. No, because repair work is never public works
Repair work can be public works when it is done under a contract. The rule does not apply here because the city used its own employees, not because of the type of work.
Explanation
Section 1771 applies only to work done under a contract. It says it does not apply to work that a public agency carries out with its own forces (its own employees). Here the city uses its own employees, so section 1771 does not apply. The building being city-owned does not change this. Repair work can be public works when it is done under a contract, so it is wrong to say repair work is never public works. The $1,000 limit is a separate exception for small projects, so it does not decide this case.
Source
Lab. Code §1771
This section is applicable only to work performed under contract, and is not applicable to work carried out by a public agency with its own forces.
View source: Lab. Code §1771Official site for Lab. Code §1771 (opens in a new tab)
- Public Works
10. On a public works project, a foreman supervises the crew. He also spends part of each day doing carpentry work with the crew. Must he be paid at least the prevailing wage for the time he does carpentry work?
- A. No, because his job title is foreman
- B. Yes, because coverage depends on the work he does
- C. Yes, but only if he is a union member
- D. Yes, but only for hours over 8 in a day
Show answerHide answer
Correct answer: B
A. No, because his job title is foreman
A worker's title or status does not decide whether the prevailing wage laws cover that person. What matters is the work he actually does on the project.
B. Yes, because coverage depends on the work he does
Correct answer
What decides coverage is whether the duties he performs on the project are covered work, not his title. His carpentry work is covered work, so he must be paid at least the prevailing rate for that time.
C. Yes, but only if he is a union member
Union membership has nothing to do with this rule. Coverage depends on the work he actually does on the project.
D. Yes, but only for hours over 8 in a day
An 8-hour limit has nothing to do with this rule. He must be paid at least the prevailing rate for the time he does carpentry work.
Explanation
The DIR Public Works Manual says a worker's title or status does not decide whether the prevailing wage laws cover that person. What matters is the work the person actually does on the project. A foreman who does carpentry work on the project is doing covered work, so he must be paid at least the prevailing rate for that time. Union membership and an 8-hour limit have nothing to do with this rule.
Source
DIR Public Works Manual §2.3, p. 3 (Oct. 2023)
A worker’s title or status with the employer is not determinative of an individual’s coverage by the prevailing wage laws. What is determinative is whether the duties performed by the individual on a public works project constitute covered work.
View source: DIR Public Works Manual §2.3, p. 3 (Oct. 2023)Official site for DIR Public Works Manual §2.3, p. 3 (Oct. 2023) (opens in a new tab)
Keep studying
Read the Section 6 study notes: Public Works