Markey To Dept. of Labor: Do Companies Teach Federal Contractors How to Evade Davis-Bacon Act?

Contact: Giselle Barry (Markey) 2022242742


Eben BurnhamSnyder (Markey) 2022242742

One company, Beneco, also claims "government approval" for questionable seminars that may promote depriving workers of fair wages

Washington (October 21, 2013) - After receiving reports from his constituents of an upcoming seminar conducted by the company Beneco that advertises "Stop Spoiling Your Hourly Employees with High Prevailing Wage Rates", Senator Edward J. Markey (DMass.) today called on the Department of Labor to investigate whether the company is teaching nonunion companies how to avoid the requirements of the DavisBacon Act. The DavisBacon Act ensures that all workers on federal construction projects are paid a fair wage for that local area, whether the project uses union or nonunion workers. Additionally, Beneco asserts in its materials that it is the "nationwide Department of Labor approves plan" for nonunion contractors on government prevailing wage projects, which could lead seminar attendees to conclude that the companies' work is approved by the federal government and that any information provided is in accordance with federal law. Senator Markey also asks the Department of Labor to attend an upcoming Beneco seminar in Boston to evaluate its contents.

"Prevailing wages are not something employees are spoiled by receiving, but are an inherent right of workers employed on federal construction contracts," writes Senator Markey, a member of the Commerce, Science and Transportation Committee . "As union workers build our roads, bridges and homes, we cannot allow anyone to tear down the cornerstone law that guarantees they are paid a fair wage," said Senator Markey in separate comments. "We need to ensure that Massachusetts workers and workers across the country are not deprived of wages they are entitled to under the law, and I look forward to hearing from the Department of Labor on this critical issue."  

A copy of Senator Markey's letter to the Labor Department, including a Beneco flyer for an upcoming seminar in Boston, can be found HERE .

Senator Markey also sent a letter to the Internal Revenue Service (IRS) asking the agency if Beneco's assertion on its website that the company is approved by the agency is accurate. Federal regulations prohibit false advertising of products or services via claims of approval or endorsement by an agency of the federal government. 

A copy of Senator Markey's letter to the IRS can be found HERE