AB 219 went into effect July 2, 2016. It requires all Ready Mix Concrete Deliveries to any California public works project to be subject to all public works labor codes and requires the employees to be paid prevailing wage rates for these deliveries.
On June 30, 2016, a group of eight ready-mix companies filed a lawsuit challenging the new statute as a violation of Equal Protection and Federal law. In a surprise move, the U.S. District Court in Los Angeles issued an Order blocking implementation of AB 219.
However, on Friday, December 16, 2016, the Ninth Circuit Court of Appeals granted the Department of Industrial Relations’ (DIR) request for a stay of the U.S. District Court Order blocking Labor Commissioner enforcement of AB 219 prevailing wage requirements for ready-mix concrete suppliers. The order had temporarily prohibited DIR and the Labor Commissioner from enforcing new prevailing wage requirements on the delivery of ready-mix concrete to public works projects. The department will enforce all prevailing wage requirements pursuant to AB 219.
What this means is that if you are a Ready Mix Concrete delivery service, you will be mandated to comply with AB 219 in its entirety, effective immediately. Please contact us if you have questions regarding this change!