Home > Uncategorized > Hensel Phelps v. San Diego interprets what is a Public Work for the Application of Prevailing Wages.

Hensel Phelps v. San Diego interprets what is a Public Work for the Application of Prevailing Wages.

In Hensel Phelps Construction Co. v. San Diego Unified Port Dist. (2011) (Cal.App.4th) Case No. D057277, the Fourth District Court of Appeals analyzed the meaning of a public work of construction for a semi-private development built on land leased from a public entity.

This was a labor dispute involving the scope of Section 1771 of the State’s prevailing wage law (PWL), Lab. Code section 1720 et seq., where judgment of the trial court granting a petition for a writ of mandate was reversed. The court held that where: 1) a hotel construction project on land that the defendant leases to a private party qualifies as public work within the meaning of the PWL; 2) construction was done under a contract that was paid for in whole or in part out of public funds; and 3) the lease specifies that the defendant will provide a rent credit during the first 11 years of the lease such that the rent credit was deemed to be the equivalent of public funding that helped pay for the construction. The net result, was that prevailing wages should have been paid on this project as a public work.

All Rights Reserved © 2011 by Michael L. Mau, Esq. & The Mau Law Firm

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  1. Victor Ozuna
    August 11, 2011 at 7:29 pm

    I worked on this project. Does it mean I’m entitled to back pay.

    • August 22, 2011 at 11:21 am

      Thank you for reading the blog, but you would have to consult with your own employment law attorney. Nothing contained herein should be construed as legal advice nor does it create any attorney-client relationship.

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