Janik Pa & Construction Case Study

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Janik Paving & Construction, Inc. v. William E. Brock, III, as Secretary of the United States Department of Labor.

Facts: In 1980, Janik Paving & Construction Inc. was awarded two contracts; The first contract was awarded by the Town of West Seneca, New York for the construction of certain sidewalks, curbs, and drains and the second contract was awarded by the New York State Department of Transportation for the installation of concrete and asphalt pavement in Holland, New York. Both contracts were financed by federal statutes that contained "Davis-Bacon" provisions and required Janik to comply with the provisions of Contract Work Hours and Safety Standards Act (CWHSSA). About a year later, the Wage and Hour Division of the Department of Labor, investigated Janik's performance of the two contracts and found that some of Janik's employees had not been paid at overtime rates and that certain of Janik's payroll records have been falsified. The Wage and Hour Division notified the contractor of its finding and advised that it would be debarred from future federally-sponsored work. On 1983, Janik challenged these findings and requested an administrative hearing in which an Administrative Law Judge determined that Janik’s
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a contractor that violated the CWHSSA?
Rule: Title 40 § 276c states “The Secretary of Labor shall make reasonable regulations for contractors and subcontractors engaged in the construction, prosecution, completion or repair of public buildings, public works or buildings or works financed in whole or in part by loans or grants from the United States…”
Also, Reorganization Plan No. 14 of 1950 states “…the Secretary of Labor shall prescribe appropriate standards, regulations, and procedures, which shall be observed by these agencies, and cause to be made by the Department of Labor such investigations, with respect to compliance with and enforcement of such labor