Court of Appeals Lifts Injunction on AB 219, Prevailing Wage Requirement is in Effect

December 20, 2016 -The federal Ninth Circuit Court of Appeals has lifted a district court’s preliminary injunction against AB 219, meaning that the law’s requirement that prevailing wage be paid to all drivers of trucks carrying ready-mixed concrete to a public works project is in full effect because the Department of Industrial Relations (DIR) can again enforce the law.

The injunction suspended the enforcement ability of the DIR, which houses the Division of Labor Standards and Enforcement (DLSE), the primary state division that is responsible for compliance with the prevailing wage.  Since the injunction was struck down, any drivers who have been denied the prevailing wage can now seek the assistance of the DLSE to have their wages reinstated, which in many cases would be six months or more of retroactive wages.

Eight ready-mix manufacturers sued to overturn the State Building Trades/Teamsters/California Labor Federation bill enacted last year, and on October 18, 2016, a federal district court issued an injunction blocking the DLSE's compliance obligations while the case proceeds. The Attorney General of California, the Teamsters and the State Building Trades appealed to stay that injunction, and the Court of Appeals granted their appeal on December 16, 2016.

We are thankful to Attorney General Kamala Harris and her office for once againdefendinglegislation that has been fully debated in committees, passed by both houses of the Legislature, and after close scrutiny signed by the Governor.  AB 219 was made state law in the best interest of California workers and their families.

Click HERE to read the court’s order.


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