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New Protections for Construction Contractors Began July 1st

As of July 1st, 2023, a swath of new laws impacting California’s construction industry have gone into effect. The bills, known as the Middle Class Housing Act (AB 2011) and the Affordable Housing and High Road Jobs Act (SB 6), cover a wide range of topics regarding housing and road construction. However, one of the most immediate impacts these laws will have is on workers in the industry. 

Both bills include specific regulations requiring better pay and benefits for construction contractors. If you work in housing construction, you gained critical new employment protections on July 1st. Here’s what you need to know about these bills, how they increase your rights, and what you can do if your employer isn’t abiding by the new laws.

Highlights of California’s New Construction Work Laws 

Both AB 2011 and SB 6 were passed with the same goal in mind: to increase the number of affordable residential developments in California. While the bills work slightly differently, they both permit developers to request permission to build multifamily housing on land zoned for commercial use. 

But why does this affect construction contractors? It’s because the bills aren’t just supposed to support affordable housing. They are also intended to ensure that the housing is built safely and ethically. As such, they include specific provisions requiring developers and contractors to provide specific pay and benefits for their workers. 

Both AB 2011 and SB 6 require developers working on these projects to pay their contractors the prevailing wage. This is determined by the general prevailing wage for the specific type of work in the given geographic area. Furthermore, this rate must be explicitly named in all construction contracts and the developer must certify to the government that the requirements will be met. Finally, the developer must provide monthly compliance reports regarding its wages and other benefits. 

Beyond this, the protections diverge. SB 6 requires that all projects must use a “skilled and trained workforce.” As such, all workers on these developments must be at least skilled journeymen or apprentices of registered apprenticeship programs. 

Meanwhile, AB 2011 project requirements include:

  • Any developer building a project including 50 or more dwelling units must participate in a certified apprenticeship program
  • Developers of 50+unit projects must make health care contributions
  • Apprentices must be paid at least the prevailing apprentice wage

While these requirements do not apply to every housing development in California, they will apply to an increasing number of developments going forward. Any developer that fails to meet these requirements not only violates state law, but it also violates contractors’ rights. 

How New Laws Protect California Construction Workers

Construction is known for being a difficult and dangerous occupation, so there are already a variety of laws in place for protecting workers from dangerous conditions. However, there are fewer laws protecting them against exploitation and wage theft. As an industry, construction hires many undocumented immigrants and other workers who may not understand the extent of their rights, so underpayments, withheld overtime, and other violations are rampant. 

While AB 2011 and SB 6 are not applicable to every development, they still improve conditions for the industry as a whole. Some of their greatest benefits include:

  • Ensuring workers are paid fairly by requiring the “prevailing wage” rather than the minimum wage.
  • Guaranteeing workers are classified appropriately so they receive all appropriate benefits.
  • Requiring companies to file monthly reports confirming that they are abiding by government requirements.
  • Making education easier to access by offering more apprenticeship opportunities with fair compensation.

As a result, workers on these projects will receive more protections and more options if their rights are violated. Furthermore, other companies in the area will be obliged to offer better wages and protections to employees to retain their workforce. In short, by raising standards for government housing development contracts, AB 2011 and SB 6 should improve conditions across the industry. 

When to Talk to a Lawyer About Construction Worker Rights Violations

Whether or not you’re currently employed on a covered project, you still have rights as a construction worker. If your employer violates those rights, you may have grounds to file a lawsuit to get compensation for your losses. Common examples of construction work wage and hour violations include:

  • Refusing to pay workers for travel time between sites.
  • Refusing to pay workers who report to a worksite but not put to work at least half their scheduled hours.
  • Withholding overtime pay for working more than 8 hours a day in a normal 40-hour workweek, or 12 hours a day for alternative workweek schedules.
  • Misclassifying a worker as an independent contractor – construction crews are among the most commonly misclassified workers in any industry. 
  • Refusing to grant workers rest breaks or meal breaks on shifts longer than six hours.
  • Paying workers differently despite similar qualifications and responsibilities.
  • Failing to pay at least the minimum wage for hourly work.

If any of these issues sounds familiar, your employer might be violating your rights and could owe you back pay and other damages. The best way to find out is to talk to an experienced employment law attorney about what you’ve experienced. 

Expert Legal Help for Construction Workers

As a tradesman or construction craft worker, you put your back into everything you do on the job. If your employer isn’t compensating you according to state law, it is violating your rights and disrespecting your skills. You can stand up to this mistreatment and hold the company accountable for failing to follow California construction worker protections new and old. The first step is to get in touch with the expert employment lawyers at the Law Offices of Todd M. Friedman, P.C. We have spent years fighting and winning wage and hour cases for our clients. We can help you determine if your rights have been violated and advocate for your fair pay and compensation. Talk to our California employment law firm today to learn more.

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