skilled & Trained workforce
In recent years, California has begun implementing Skilled and Trained Workforce (STWF) requirements, mandating that contractors on certain contracts or projects employ a specified percentage of workers who are graduates of a registered apprenticeship program, if the work involves an apprenticeable occupation.
The most common projects that currently mandate "STWF" requirements are:
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School district (K-12) design build > $1 Million
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School district (K-12) Lease/Leaseback
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Local agency & other specified state agency design build > $1 Million
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City of San Diego CM At-Risk projects > $25 Million
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LAUSD Best Value > $1 Million
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Alameda, Los Angeles, Riverside, San Bernardino, San Diego, Solano & Yuba County Best Value projects > $1 Million
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SANDAG, MTS, and NCTD projects > $1 Million
What is a "STWF"?
A Skilled and Trained Workforce refers to all workers performing work in an apprenticeable occupation within the building and construction trades who are either (1) skilled journeypersons or (2) registered apprentices enrolled in an apprenticeship program approved by the Chief of the Division of Apprenticeship Standards (DAS).
"STWF" Background
Existing California law permits a public entity to require a bidder, contractor, or other entity to use a Skilled and Trained Workforce to complete a contract or project—even if not mandated by statute or regulation. When such a requirement is imposed, the contractor, bidder, or entity must provide an enforceable commitment to use a Skilled and Trained Workforce, and must enter into a written agreement with the public entity that satisfies specific statutory requirements.
Who is a skilled journeyperson?
A skilled journeyperson is a worker who meets either of the following criteria:
1. Has graduated from an apprenticeship program for the applicable occupation that is approved by the Division of Apprenticeship Standards (DAS) in California, or—if located outside California—by the U.S. Department of Labor (DOL); or
2. Has acquired at least as many hours of on-the-job experience in the applicable occupation as required to graduate from an approved apprenticeship program.
Graduation Percentage Requirement
Between 30% and 60% of all Skilled Journeypersons employed on a project must be graduates of an apprenticeship program in the applicable occupation. This requirement applies to every contractor and each of its subcontractors at every tier. The exact percentage required depends on the specific craft and the date the work is performed. This graduation requirement does not apply to teamsters.
The following crafts have a fixed minimum graduation requirement of 30%.
Acoustical installers, bricklayers, carpenters, cement masons, drywall installers or lathers, marble masons, finishers, or setters, modular furniture or systems installers, operating engineers, pile drivers, plasterers, roofers or waterproofers, stone masons, surveyors, terrazzo workers or finishers, and tile layers, setters, and finishers.
For all other apprenticeable crafts, the following minimum graduation percentages are listed below:
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30% for work performed on or after January 1, 2017
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40% for work performed on or after January 1, 2018
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50% for work performed on or after January 1, 2019
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60% for work performed on or after January 1, 2020
Note: There have been no further increases to the minimum graduation requirement since 2020.
exceptions
The graduation percentage requirement does not apply under the following circumstances:
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If fewer than 10 hours of work are performed in a calendar month in a specific craft.
If a subcontractor meets both of the following conditions:
1. The subcontractor is not listed on the bid, or is performing work as a replacement for a listed subcontractor; and
2. The value of the subcontract does not exceed 0.5% of the total contract price.
Note: These exceptions apply only to the graduation percentage requirement. They do not exempt contractors or subcontractors from the broader Skilled and Trained Workforce (STWF) requirements.
monthly reports
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Contractors subject to Skilled and Trained Workforce (STWF) requirements must submit monthly compliance reports for the entire duration of the project to the public entity or awarding body.
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These reports must include sufficient documentation demonstrating that both the contractor and all subcontractors are in full compliance with all applicable "STWF" requirements.
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Failure to submit these reports—or failure to demonstrate compliance—may result in penalties, as listed below.
Penalties
Violations of Skilled and Trained Workforce (STWF) requirements are subject to enforcement by the Labor Commissioner. Contractors and subcontractors found in violation may be assessed civil wage penalties of up to $10,000 per month.