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December 31, 2009
Failure to Pay ‘Prevailing Wage' Will Cost $1.4 Million

Computer Sciences Corp. (CSC) will pay more than $1.4 million in back wages to 237 employees who were not paid the prevailing wage as is required on certain government contracts.

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Prevailing wage is generally interpreted as the local union wage rate.

CSC employed contract workers at the U.S. Department of Homeland Security's U.S. Citizenship and Immigration Services Vermont Service Center under federal service contracts subject to the McNamara-O'Hara Service Contract Act's prevailing wage provisions.

Following an investigation, the Labor Department's Wage and Hour Division cited the company for misclassifying employees and failing to pay them the proper prevailing wage rates for the type of work they were actually performing.

The company agreed to pay a total of $1,448,505 in back wages to 237 workers.

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