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HCM
PREVAILING WAGE

Tennessee prevailing wage law

Whether Tennessee requires prevailing wages on public construction, from what contract size, who sets the rates, and what contractors file. Each fact links its official source and the date it was checked.

Facts checked on October 6, 2026 against the official sources listed at the end of this page. For contractors and employers. General information, not legal advice: confirm the rules with the awarding body or the agency before you bid. Reviewed every year.

Prevailing wage in Tennessee at a glance

State prevailing wage law
In forceTenn. Code Ann. §§ 12-4-401 to 12-4-415
Contract threshold
No dollar threshold
Certified payroll
Weekly
Federal work
Davis-Bacon, over $2,000

Tennessee prevailing wage rules

The law
Tennessee requires prevailing wages only on state highway construction projects (streets, highways and bridges) contracted with the state (Prevailing Wage Act for State Highway Construction Projects, Tenn. Code Ann. 12-4-401 to 12-4-415).Source: Tennessee Department of Labor and Workforce Development, Prevailing Wage Act for State Highway Construction Projects (Tenn. Code Ann. 12-4-401 to 12-4-415, effective January 1, 2014) (opens in a new tab), checked October 6, 2026
Who it covers
State highway construction projects only (highways, roads and bridges); no prevailing wage on non-highway construction.Source: Tennessee Department of Labor and Workforce Development, Prevailing Wage Commission (opens in a new tab), checked October 6, 2026
Threshold
No dollar threshold: the Act covers every state highway construction project (Tenn. Code Ann. 12-4-402, 12-4-403).Source: Tennessee Department of Labor and Workforce Development, Prevailing Wage Act for State Highway Construction Projects (Tenn. Code Ann. 12-4-401 to 12-4-415, effective January 1, 2014) (opens in a new tab), checked October 6, 2026
Rates
Rate determinations (opens in a new tab)The Prevailing Wage Commission's yearly highway prevailing wage rates, one statewide rate per classification (2026 rates effective January 1, 2026).Source: Tennessee Department of Labor and Workforce Development, Prevailing Wage (opens in a new tab), checked October 6, 2026
Certified payroll
Contractors and subcontractors submit a copy of all payrolls weekly to the contracting state agency, certified as correct and complete and at or above the Commission's rates; the agency sends them on to the Commission (Rule 0800-03-02-.05(1)(a)5). Payroll records are kept for 1 year after the project is completed (Tenn. Code Ann. 12-4-411).Filed with: the contracting state agency, which forwards them to the Prevailing Wage Commission.Source: Tennessee Department of Labor and Workforce Development, Prevailing Wage Commission Rules, Chapter 0800-03-02 (opens in a new tab), checked October 6, 2026
Registration
Not confirmed

Not confirmed: no official source settled it on the check date, so none is shown.

Federally funded work in Tennessee

On a project whose federal funding carries Davis-Bacon, the federal rules apply whatever the state law says. Whether Tennessee's own law applies as well is in its coverage above: some state laws leave federally funded projects out.

Davis-Bacon
Federal Davis-Bacon labor standards apply to contracts over $2,000 for the construction, alteration or repair of public buildings or public works, or of work financed with federal funds under a law that requires Davis-Bacon, one of the Related Acts (29 CFR 5.5(a)).Source: 29 CFR 5.5, Contract provisions and related matters (opens in a new tab), checked October 6, 2026
Certified payroll
On Davis-Bacon work, each contractor and subcontractor submits certified payrolls weekly, for each week of covered work; the prime contractor is responsible for its subcontractors' payrolls (29 CFR 5.5(a)(3)(ii)(A)).Source: 29 CFR 5.5, Contract provisions and related matters (opens in a new tab), checked October 6, 2026

WORKLIO HCM

Prevailing wage and certified payroll in Worklio HCM

Set up prevailing wage rates by project, location and classification: your team assigns each worker's classification and apprentice step, and payroll applies the rates. Fringe benefits are calculated as cash or plan contributions, union dues and benefit packages are deducted with remittance reports by local, apprentices are paid at progressive rates by level, and WH-347 certified payroll reports carry job costing segments. Workers' comp class codes are set per job and employee. Union, prevailing wage, and certified payroll is available as an add-on to any plan.

See the union, prevailing wage, and certified payroll add-on

Prevailing wage in other states

Sources

The statute, agency page or federal rule behind each fact, as checked.

General information, not legal or tax advice. Rules change; confirm current requirements with the relevant agency or your advisor. You remain responsible for paying the required rates and filing on time.

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