PREVAILING WAGE

Virginia prevailing wage law

Whether Virginia 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 from the official sources listed at the end of this page; the oldest was read from an archived copy dated August 14, 2026. 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 Virginia at a glance

State prevailing wage law: In forceVa. Code § 2.2-4321.3
Contract threshold: Over $250,000Other amounts for some work
Certified payroll: Kept for inspection, not filed routinely
Federal work: Davis-Bacon, over $2,000

Virginia prevailing wage rules

The law: Virginia requires prevailing wages on state-funded public works contracts over $250,000, and on local contracts where the locality has adopted an ordinance (Va. Code § 2.2-4321.3).Source: Code of Virginia § 2.2-4321.3 (opens in a new tab), read from an archived copy dated August 31, 2026 (opens in a new tab)
Who it covers: Public works of state agencies paid for in whole or in part by state funds; public works of a locality (county, city, town, school division or other political subdivision) paid for with its funds where it has adopted an ordinance requiring prevailing wages; and, for contracts initiated after July 1, 2027 of $5 million or more paid from state general funds, public institutions of higher education under management agreements. Not housing finance contracts of DHCD or the Virginia Housing Development Authority (§ 2.2-4321.3(A) to (E)).Source: Code of Virginia § 2.2-4321.3 (opens in a new tab), read from an archived copy dated August 31, 2026 (opens in a new tab)
Threshold: Does not apply to a public contract for public works of $250,000 or less (§ 2.2-4321.3(N)). For public institutions of higher education under management agreements it applies to contracts initiated after July 1, 2027 with a value of $5 million or more (§ 2.2-4321.3(D)).Source: Code of Virginia § 2.2-4321.3 (opens in a new tab), read from an archived copy dated August 31, 2026 (opens in a new tab)
Agency: Virginia Department of Labor and Industry (opens in a new tab)Source: Virginia Department of Labor and Industry, Prevailing Wage Law (opens in a new tab), read from an archived copy dated August 14, 2026 (opens in a new tab)
Rates: Rate determinations (opens in a new tab)The Commissioner of Labor and Industry issues a wage determination to the contracting agency for each project; only an official DOLI determination may be used. As amended in 2026, the statute has the Commissioner set rates from surveys every three years, never below the Davis-Bacon rates (§ 2.2-4321.3(A)); DOLI's page still describes determinations based on Davis-Bacon.Source: Virginia Department of Labor and Industry, Prevailing Wage Law (opens in a new tab), read from an archived copy dated August 14, 2026 (opens in a new tab)
Certified payroll: No periodic filing. On award the contractor certifies under oath to the Commissioner the pay scale for each craft; employers keep wage and hour records 6 years and give them to DOLI within 10 days of a request, certified (§ 2.2-4321.3(I), (J)).Source: Code of Virginia § 2.2-4321.3 (opens in a new tab), read from an archived copy dated August 31, 2026 (opens in a new tab)
Registration: An employer on a covered public works contract may not hire a subcontractor that is not registered with the Commonwealth's statewide electronic procurement system (§ 2.2-4321.3(K)).Source: Code of Virginia § 2.2-4321.3 (opens in a new tab), read from an archived copy dated August 31, 2026 (opens in a new tab)

Federally funded work in Virginia

On a project whose federal funding carries Davis-Bacon, the federal rules apply whatever the state law says. Whether Virginia'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

More for Virginia contractors

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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

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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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