Prevailing wage: per diem wages.
Summary
Existing law requires workers employed on public works to be paid not less than the general prevailing rate of per diem wages for work of a similar character in the locality that the public work is performed, as prescribed, unless an exception applies. Existing law requires the Director of the Department of Industrial Relations to determine the general prevailing rate of per diem wages for work of a similar character in the locality in which the public work is to be performed. Under existing law, per diem wages include certain employer payments made pursuant to a collective bargaining agreement or for a program or committee established under the federal Labor Management Cooperation Act of 1978, as specified. Existing law provides that these payments are a credit against the obligation to pay the general prevailing rate of per diem wages. Existing law requires the credit for employer payments to be computed on an annualized basis where the employer seeks credit for employer payments that are higher for public works projects than for private construction performed by the same employer, except under certain circumstances, including a determination by the director that annualization would not serve the purposes of the provisions relating to public works projects. This bill would remove that exception and revoke annualization exemptions authorized by the director prior to January 1, 2026. The bill would authorize an employer to take full credit for the hourly amounts contributed to defined contribution pension plans that provide for both immediate participation and essentially immediate vesting even if the employer contributes at a lower rate or does not make contributions to private construction. The bill would require the employer to prove that the credit for employer payments was calculated properly. The bill would authorize the Labor Commissioner to deny the employer credit for employment payments if the employer does not produce payment records. The bill would make related findings and declarations.
Bill status
signed
all 5 stages cleared
Introduction
Feb 2025
Committee Review
Aug 2025
Assembly Passage
May 2025
Senate Passage
Sep 2025
Signed into Law
Oct 2025
Introduced Feb 19, 2025
Signed Oct 11, 2025
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10/11/25 - Chaptered
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AB889
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1 edit
MINOR
No substantive policy changes were made between these two versions. The diff reflects a reformatting of the same enacted bill text from an official chaptered document (with state header, page numbers, and formal layout) to a web-page presentation that includes navigation elements, search tools, and site metadata. The actual legal content - all findings, declarations, and amendments to Labor Code Section 1773.1 - is identical in both versions.
TECHNICAL
The bill text was reformatted from an official chaptered document (with state header, page numbers, and formal legislative layout) to a web-page version that includes site navigation elements (home, FAQ, search, login), version history metadata, and publication date. No legal language was added, removed, or altered.
Floor votes · Senate Sep 10, 2025 · Assembly May 8, 2025
How they voted
36–0
Passed · 4 other
Total votes 40
Sep 10, 2025
D
Democratic30
100% Yea
R
Republican10
60% Yea
Vote distribution
All Yea
All Nay
Mixed
No data
Full legislative history
Actions timeline
Total actions
23
Key actions
12
Committee
9
Amendments
3
Oct 11, 2025
Signed into law
Approved by the Governor.
legislature
Sep 13, 2025
Lower · Passed
Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 77. Noes 1. Page 3449.).
lower
Sep 10, 2025
Introduced
In Assembly. Concurrence in Senate amendments pending.
lower
Sep 10, 2025
Upper · Passed
Read third time. Passed. Ordered to the Assembly. (Ayes 36. Noes 0. Page 2812.).
upper
Sep 5, 2025
Upper · Passed
Read third time and amended. Ordered to second reading.
upper
Aug 19, 2025
Upper · Passed
From committee: Be ordered to second reading pursuant to Senate Rule 28.8.
upper
Jul 9, 2025
Upper · Passed
From committee: Do pass and re-refer to Com. on APPR. (Ayes 4. Noes 0.) (July 9). Re-referred to Com. on APPR.
upper
Jun 12, 2025
Upper · Passed
In committee: Set, second hearing. Hearing canceled at the request of author.
upper
Jun 11, 2025
Upper · Passed
In committee: Set, first hearing. Hearing canceled at the request of author.
upper
May 21, 2025
Committee
Referred to Com. on L., P.E. & R.
upper
May 8, 2025
Lower · Passed
Read third time. Passed. Ordered to the Senate. (Ayes 69. Noes 0. Page 1486.)
lower
Apr 30, 2025
Lower · Passed
From committee: Do pass. To Consent Calendar. (Ayes 14. Noes 0.) (April 30).
lower
Apr 3, 2025
Lower · Passed
From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 7. Noes 0.) (April 2). Re-referred to Com. on APPR.
lower
Mar 3, 2025
Committee
Referred to Com. on L. & E.
lower
Feb 20, 2025
Lower · Passed
From printer. May be heard in committee March 22.
lower
1 primary · 4 co-sponsors
Sponsors
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