What to Include in Your Labor Compliance Package for a Smooth Project Start

Starting a new federally funded construction project can be exciting, but it also comes with responsibilities. Before the first shovel hits the ground, contractors and subcontractors must have a labor compliance package ready. This package establishes the project's tone and ensures that all parties understand their obligations under the Davis-Bacon Act (DBA) and other prevailing wage laws.

In this article, we’ll break down what you need to include in your labor compliance package so your project starts on the right foot, avoids delays, and stays audit-ready.

Why a Labor Compliance Package Matters

A well-prepared labor compliance package:

• Shows the contracting agency that you’re organized and compliant.

• Protects you from common mistakes, such as underpayments, late reporting, or missing signatures.

• Keeps subcontractors on track with the same rules and expectations.

• Prevents costly fines, penalties, or stop-work orders.

At Davis Bacon Solutions, our goal is to make compliance simple. We provide step-by-step guides, resources, and third-party labor compliance support through our sister company, Labor Compliance CA, LLC.

Key Items to Include in Your Labor Compliance Package

1. Wage Determinations

Include the official wage determination for your project. This document outlines the minimum hourly rates and fringe benefits applicable to each trade and classification of worker.

• Make sure the correct wage determination is posted on-site and shared with all subcontractors.

• If modifications occur before the project starts, update your package immediately.

2. Certified Payroll Requirements

Provide instructions for completing certified payroll reports, including:

• Which forms to use (like Form WH-347)

• How to track hours, classifications, and fringe benefits

• Deadlines for submission (usually weekly)

Tip: Check out our step-by-step guide on filling out Form WH-347 without getting confused.

3. Prevailing Wage Posters and Notices

Federal law requires contractors to display posters, such as the “Notice to All Employees” (WH-1321), at the jobsite. Include digital copies of these posters in your package, along with instructions on where to hang them.

4. Subcontractor Flow-Down Requirements

Every subcontractor must comply with DBA rules. Your package should include:

• A subcontractor compliance agreement

• Copies of wage determinations and payroll reporting forms

• Instructions for submitting certified payrolls on time

5. Fringe Benefit Documentation

If you provide benefits such as health insurance or retirement contributions, include documentation to demonstrate how these are credited toward prevailing wage requirements.

6. Apprenticeship and Training Rules

If apprentices are used, you must follow federal and state apprenticeship standards. Your package should contain:

• Apprentice registration paperwork

• Ratio requirements (journeyman-to-apprentice)

• Proof of enrollment in an approved program

7. Kickback and Overtime Compliance

Remind everyone of federal rules against wage kickbacks and improper deductions. Also include guidelines for calculating and paying overtime correctly under the DBA and Fair Labor Standards Act.

8. Contact Information for Compliance Support

Every project runs smoothly when questions can be answered quickly. Add contact details for your compliance officer or third-party compliance firm. If you don’t have one, consider working with Labor Compliance CA, LLC, our dedicated team that manages compliance for contractors nationwide.

How a Strong Package Prevents Delays

A missing or incomplete compliance package is one of the top reasons projects face delays during audits or funding reviews. Having all documents in place ensures that:

• Subcontractors don’t submit incorrect payrolls.

• Agencies see your company as reliable and audit-ready.

• Workers feel confident they are being paid fairly and legally.

If you’re unsure whether your compliance package contains everything it needs, please reach out to us.

Your labor compliance package is more than just paperwork — it’s the foundation for a successful project. By including wage determinations, certified payroll instructions, required posters, subcontractor agreements, fringe benefit records, apprenticeship paperwork, and compliance contacts, you set yourself up for a smooth start and fewer headaches down the line.

Need help building or reviewing your labor compliance package? Visit Davis Bacon Solutions or contact Labor Compliance CA, LLC for expert support.