The Prevailing Wage Act

The Prevailing Wage Act 166 of 1965 is a State of Michigan law to require prevailing wages and fringe benefits on state projects; to establish requirements and responsibilities of contracting agents and bidders and to prescribe penalties.

Wayne State University's Prevailing Wage Requirements:

Wayne State University requires all project contractors, including subcontractors, who provide labor on University projects to compensate at a rate no less than prevailing wage rates.

The rates of wages and fringe benefits to be paid to each class of laborers and mechanics by each vendor and subcontractor (if any) shall be not less than the wage and fringe benefit rates prevailing in the City of Detroit, as determined by the United States Secretary of Labor.

When compensation will be paid under prevailing wage requirements, the University requires:

  • Certified payroll including photocopies of all employee detailed check stubs.
  • Certified payroll summary information shall be included on U. S. Department of  Labor  standard format or official documents including a notarized signature.
  • Submissions shall be provided to the University within fourteen (14) calendar days following the contractor’s payroll date.

If the vendor or subcontractor fails to pay the prevailing rates of wages and fringe benefits and does not cure such failure within ten (10) days after notice to do so by the University, the University shall have the right, at its option, to do any or all of the following:

  1. Withhold all or any portion of payments due the vendor as may be considered necessary by the University to pay laborers and mechanics the difference between the rates of wages and fringe benefits required  by the contract and the actual wages and fringe benefits paid;
  2. Terminate part or all of the contract or any subcontract and proceed to complete the contract or subcontract by separate agreement with another vendor or otherwise, in which case the vendor and its sureties shall be liable to the University for any excess costs incurred by the University.
Terms identical or substantially similar to this section of the Request for Proposal (RFP) shall be included in any contract or subcontract pertaining to University contracts.

WSU’s full Prevailing Wage Act requirements can be found on the Purchasing Department’s website:


--  updated June, 2011