Building & Construction Trades Department, Afl-Cio v. Lynn Martin, Secretary of Labor

961 F.2d 269, 38 Cont. Cas. Fed. 76,313, 295 U.S. App. D.C. 182, 30 Wage & Hour Cas. (BNA) 1430, 1992 U.S. App. LEXIS 7281, 121 Lab. Cas. (CCH) 35,628
CourtCourt of Appeals for the D.C. Circuit
DecidedApril 21, 1992
Docket90-5345
StatusPublished
Cited by29 cases

This text of 961 F.2d 269 (Building & Construction Trades Department, Afl-Cio v. Lynn Martin, Secretary of Labor) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Building & Construction Trades Department, Afl-Cio v. Lynn Martin, Secretary of Labor, 961 F.2d 269, 38 Cont. Cas. Fed. 76,313, 295 U.S. App. D.C. 182, 30 Wage & Hour Cas. (BNA) 1430, 1992 U.S. App. LEXIS 7281, 121 Lab. Cas. (CCH) 35,628 (D.C. Cir. 1992).

Opinion

Opinion for the Court filed by Circuit Judge SENTELLE.

SENTELLE, Circuit Judge:

The Building and Trades Department, AFL-CIO, and the Laborers’ International Union, AFL-CIO, (the “unions”) appeal from an order of the District Court vacating its injunction of the implementation of five regulations promulgated by the Secretary of Labor pursuant to the Davis-Bacon Act. The provisions in question regulate the wages and use of the “helper” class of workers on federal construction projects. We uphold four of the challenged provisions, but strike down as arbitrary and capricious a formula for calculating a cap on the ratio of helpers to journeymen on federal construction projects.

BACKGROUND

In 1931, Congress enacted the Davis-Bacon Act (the “Act”), 40 U.S.C. § 276a et seq. (1986), to ensure that workers on federal construction projects were paid no less than prevailing wage rates in the locality of such projects. 74 Cong. Reo. 6510 (1931) (statement of Sen. Bacon). As noted by this Court,

[t]he evil sought to be remedied was that, with the precise specifications set out in federal contracts and the increasing standardization of building-material prices, the low-bidding contractor on a federal job was generally the one who paid the lowest wages_ The contractor would accomplish this by taking advantage of widespread unemployment in the construction industry and hiring workers at substandard wages, often bringing a low-paid crew in from distant areas.

Building and Construction Trades’ Dept., AFL-CIO v. Donovan, 712 F.2d 611, 613-14 (D.C.Cir.1983) (citations omitted), cert. denied, 464 U.S. 1069, 104 S.Ct. 975, 79 L.Ed.2d 213 (1984). Under the Act, the advertised specifications for each federal construction project in excess of $2,000 must contain minimum wage provisions for each class of laborer and mechanic based upon prevailing wages in the locality of performance as determined by the Secretary of Labor. 40 U.S.C. § 276a(a) (1986).

Pursuant to the broad statutory mandate to set wages and classify workers, the Secretary of Labor has by regulation recognized several categories of workers and set out rules governing their employment on federal construction projects. Prior to 1982, the regulations permitted the use of the helper classification only where the tasks to be performed by helpers were defined and could be differentiated from the duties of journeymen, and where the helper classification prevailed in the area where the contract was to be performed. Regulatory changes proposed in 1982 attempted' to redefine helper as a “semiskilled worker (rather than a skilled journeyman mechanic) who works under the direction of and assists a journeyman.” 29 C.F.R. § 5.2(n)(4) (1991). The new regulation went on to permit an overlap of duties between those of a helper and those of a journeyman. Where the older regulations had permitted the use of the helper classification in areas where that job title prevailed, the new regulation permitted the use of the classification where the use of helpers was an “identifiable” local practice. 47 Fed.Reg. 23,655 (1982). The regulation further permitted the use of no more than two helpers for every three journeymen. 29 C.F.R. § 5.5(a)(4)(iv) (1991).

The unions immediately sued to enjoin implementation of the 1982 helper regulations and several other of the Secretary’s new proposals. Finding for the unions in part, the District Court enjoined implementation of the helper provisions. Building and Construction Trades Dept., AFL-CIO v. Donovan, 553 F.Supp. 352 (D.D.C.1982). *272 On appeal, we affirmed the District Court’s judgment in part and reversed in part. Building and Construction Trades’ Dept., 712 F.2d at 633. We agreed that the Secretary had improperly permitted the use of helpers in localities where their actual use was merely “identifiable” as opposed to “prevailing.” Id. at 624-26. However, we found acceptable the Secretary’s broad definition of helper. Id. at 626-30. The District Court modified its judgment accordingly by rescinding its injunction as to the definition of helper, while leaving in place its injunction as to the test for whether helpers are “prevailing” and as to the other helper provisions. Building and Construction Trades Department, AFL-CIO v. Donovan, 102 Lab. Cas. (CCH) 11 34,648, 1984 WL 1484 (D.D.C.1984). The District Court expressed its willingness to consider rescinding its remaining injunction if the Department of Labor (“DOL”) revised the helper regulations. Id.

The Secretary proposed new helper regulations on August 19, 1987, 52 Fed.Reg. 31,366 (1987), and gave notice of their adoption on January 27, 1989, 54 Fed.Reg. 4234-44 (1989).. Obedient to our holding in Building and Construction Trades’ Dept. that a “prevailing” use of helpers is more than merely an “identifiable” use, the new proposal set forth two alternative tests for determining whether the use of helpers “prevails” in a particular locality. The regulation provides:

(1) If the prevailing wage for a particular journeyman classification is a wage that is paid to the majority of the journeymen ..., then the practice followed by those contractors whose rates are adopted as prevailing for the journeyman shall also be. deemed the prevailing practice in determining whether to issue a helper classification. Any ambiguity with regard to such practice, will be resolved by following the rule in paragraph (d)(2) of this section with respect to those contractors.
(2) If the.prevailing wage for a particular journeyman classification is the average of the wages paid to the journeymen, weighted by the total number of journeymen ..., then the total number of workers in the classification employed by contractors utilizing helpers (journeymen plus apprentices, trainees, and helpers as defined in § 5.2(n)(4) of this chapter) on reported projects will be compared to the total number of workers in the classification employed by contractors not utilizing helpers ..., and the practice which covers the majority of such workers shall be deemed the prevailing practice in determining whether to issue a helper classification.

29 C.F.R. § 1.7(d)(l)-(2) (1991).

In other words, where the Secretary verifies that the prevailing journeyman wage in a locality where a federal construction project is to be situated is the wage paid to the majority of journeymen in that locality, then the helper classification is deemed to prevail if contractors who pay the prevailing wage use helpers. The classification is deemed not to prevail if contractors who pay the prevailing journeyman wage do not use helpers.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Tin Cup, LLC v. US Army Corps of Engineers
904 F.3d 1068 (Ninth Circuit, 2018)
Federal Education Association, Inc. v. United States
120 Fed. Cl. 791 (Federal Claims, 2015)
SMITHSFORK GRAZING ASS'N v. Salazar
564 F.3d 1210 (Tenth Circuit, 2009)
State of Minnesota v. John Hoeven
456 F.3d 826 (Eighth Circuit, 2006)
Minnesota v. Hoeven
456 F.3d 826 (Eighth Circuit, 2006)
Whatley Ex Rel. Whatley v. District of Columbia
447 F.3d 814 (D.C. Circuit, 2006)
Mistick PBT v. Chao, Elaine
440 F.3d 503 (D.C. Circuit, 2006)
Kaseman v. District of Columbia
355 F. Supp. 2d 205 (District of Columbia, 2005)
City of Chicago v. TREA
Seventh Circuit, 2004
Atlantic Fish Spotters Ass'n v. Evans
321 F.3d 220 (First Circuit, 2003)
Atlantic Fish Spotters Ass'n. v. Evans
206 F. Supp. 2d 81 (D. Massachusetts, 2002)
Auburn Housing Authority v. Mel Martinez
277 F.3d 138 (Second Circuit, 2002)
Auburn Housing Authority v. Martinez
277 F.3d 138 (Second Circuit, 2002)

Cite This Page — Counsel Stack

Bluebook (online)
961 F.2d 269, 38 Cont. Cas. Fed. 76,313, 295 U.S. App. D.C. 182, 30 Wage & Hour Cas. (BNA) 1430, 1992 U.S. App. LEXIS 7281, 121 Lab. Cas. (CCH) 35,628, Counsel Stack Legal Research, https://law.counselstack.com/opinion/building-construction-trades-department-afl-cio-v-lynn-martin-cadc-1992.