What does the Davis-Bacon Act ensure for federal contracts?

The Davis-Bacon Act is a significant piece of legislation that focuses specifically on ensuring that workers on federal construction projects are paid fairly. It requires that contractors and subcontractors pay their laborers and mechanics no less than the locally prevailing wages and benefits for similar work in the area where the project is being performed. This concept of "prevailing wage" is designed to promote fair competition and protect local wage standards, ensuring that federal contracts do not undercut local wage levels.

The act serves to enhance the overall quality of work by making it feasible for skilled labor to be employed at fair wages that reflect the local labor market. By stipulating that federal contracts adhere to these wage frameworks, the Davis-Bacon Act aims to ensure equitable treatment for workers and uplift standards within the construction industry, particularly in federal projects.