Title 49TransportationRelease 119-73

§5333 Labor standards

Title 49 › Subtitle SUBTITLE III— - GENERAL AND INTERMODAL PROGRAMS › Chapter CHAPTER 53— - PUBLIC TRANSPORTATION › § 5333

Last updated Apr 6, 2026|Official source

Summary

The Secretary of Transportation must make sure workers on construction projects paid for with federal grants or loans get at least the local prevailing wages. The wage rates are set by the Secretary of Labor under the federal wage laws (sections 3141–3144, 3146, 3147 and 3145) and under Reorganization Plan No. 14 (effective May 24, 1950, 64 Stat. 1267). The Secretary of Transportation can only approve a grant or loan after being sure those labor rules will be followed. When certain transit grants or loans are given (those listed in 5307–5312, 5316, 5318, 5323, 5328, 5337, and 5338(b)), the Secretary of Labor must approve fair and equitable plans to protect employees. Those plans must cover things like preserving pay and pension rights, keeping collective bargaining, protecting employees from worse job situations, assuring employment for workers of bought systems, giving laid-off workers rehire priority, and paid training. The plans must give benefits at least equal to those in section 11326. Simple equipment-only purchases and minor grant changes can be certified without extra review. When one private bus contractor replaces another after bidding, decisions follow the Department of Labor rulings of September 21, 1994, and November 7, 1994.

Full Legal Text

Title 49, §5333

Transportation — Source: USLM XML via OLRC

(a)The Secretary of Transportation shall ensure that laborers and mechanics employed by contractors and subcontractors in construction work financed with a grant or loan under this chapter be paid wages not less than those prevailing on similar construction in the locality, as determined by the Secretary of Labor under sections 3141 through 3144, 3146, and 3147 of title 40. The Secretary of Transportation may approve a grant or loan only after being assured that required labor standards will be maintained on the construction work. For a labor standard under this subsection, the Secretary of Labor has the same duties and powers stated in Reorganization Plan No. 14 of 1950 (eff. May 24, 1950, 64 Stat. 1267) and section 3145 of title 40.
(b)(1)As a condition of financial assistance under section 5307–5312, 5316,11 See References in Text note below. 5318, 5323(a)(1), 5323(b), 5323(d), 5328,1 5337, and 5338(b) of this title, the interests of employees affected by the assistance shall be protected under arrangements the Secretary of Labor concludes are fair and equitable. The agreement granting the assistance under section 5307–5312, 5316,1 5318, 5323(a)(1), 5323(b), 5323(d), 5328,1 5337, and 5338(b) shall specify the arrangements.
(2)Arrangements under this subsection shall include provisions that may be necessary for—
(A)the preservation of rights, privileges, and benefits (including continuation of pension rights and benefits) under existing collective bargaining agreements or otherwise;
(B)the continuation of collective bargaining rights;
(C)the protection of individual employees against a worsening of their positions related to employment;
(D)assurances of employment to employees of acquired public transportation systems;
(E)assurances of priority of reemployment of employees whose employment is ended or who are laid off; and
(F)paid training or retraining programs.
(3)Arrangements under this subsection shall provide benefits at least equal to benefits established under section 11326 of this title.
(4)Fair and equitable arrangements to protect the interests of employees utilized by the Secretary of Labor for assistance to purchase like-kind equipment or facilities, and grant amendments which do not materially revise or amend existing assistance agreements, shall be certified without referral.
(5)When the Secretary is called upon to issue fair and equitable determinations involving assurances of employment when one private transit bus service contractor replaces another through competitive bidding, such decisions shall be based on the principles set forth in the Department of Labor’s decision of September 21, 1994, as clarified by the supplemental ruling of November 7, 1994, with respect to grant NV–90–X021. This paragraph shall not serve as a basis for objections under section 215.3(d) of title 29, Code of Federal Regulations.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 5333(a)49 App.:1609(a), (b).July 9, 1964, Pub. L. 88–365, § 13, 78 Stat. 307; Sept. 8, 1966, Pub. L. 89–562, § 2(a)(1), (b)(2), 80 Stat. 715, 716; May 25, 1967, Pub. L. 90–19, § 20(a), 81 Stat. 25. 5333(b)49 App.:1609(c). In subsection (a), the words “take such action as may be necessary to”, “the performance of”, “the assistance of”, and “at rates” are omitted as surplus. The word “same” is added for clarity. The words “duties and powers” are substituted for “authority and functions” for consistency in the revised title and with other titles of the United States Code. In subsection (b)(1), the reference to section 5307, 5308, 5310, and 5311 of the revised title is added for clarity because of 49 App.:1607a(e)(1), 1607a–2(a), 1612(b), and 1614(f), restated as section 5307(n)(2), 5308(b)(1), 5310(a), and 5311(i) of the revised title. The reference to section 5312 is added for clarity because it is intended that 49 App.:1609(c) cover research, development, training, and demonstration projects. The words “terms and conditions of the protective” are omitted as surplus. In subsection (b)(2), before clause (A), the words “without being limited to” are omitted as being included in “include”. The words “such provisions as may be necessary for” are omitted as surplus. In clause (C), the word “individual” is omitted as surplus. In subsection (b)(3), the words “section 11347 of this title” are substituted for and coextensive with “section 5(2)(f) of the Act of February 4, 1887 (24 Stat. 379), as amended” in section 13(c) of the Urban Mass Transportation Act of 1964 (Public Law 88–365, 78 Stat. 307) on authority of section 3(b) of the Act of October 17, 1978 (Public Law 95–473, 92 Stat. 1466).

Editorial Notes

References in Text

Reorganization Plan No. 14 of 1950, referred to in subsec. (a), is set out in the Appendix to Title 5, Government Organization and Employees. section 5316 and 5328 of this title, referred to in subsec. (b)(1), were repealed by Pub. L. 112–141, div. B, § 20002(a), July 6, 2012, 126 Stat. 622.

Amendments

2012—Subsec. (a). Pub. L. 112–141 substituted “sections 3141 through 3144” for “section 3141–3144”. 2005—Subsec. (b)(1). Pub. L. 109–59, § 3031(1), substituted “5316, 5318, 5323(a)(1), 5323(b), 5323(d), 5328, 5337, and 5338(b)” for “5318(d), 5323(a)(1), (b), (d), and (e), 5328, 5337, and 5338(b)” in two places. Subsec. (b)(2)(D). Pub. L. 109–59, § 3002(b)(4), substituted “public transportation” for “mass transportation”. Subsec. (b)(4), (5). Pub. L. 109–59, § 3031(2), added pars. (4) and (5). 2002—Subsec. (a). Pub. L. 107–217 substituted “section 3141–3144, 3146, and 3147 of title 40” for “the Act of
March 3, 1931 (known as the Davis-Bacon Act) (40 U.S.C. 276a—276a–5)” and “section 3145 of title 40” for “section 2 of the Act of
June 13, 1934 (40 U.S.C. 276c)”. 1998—Subsec. (b)(1). Pub. L. 105–178 substituted “5338(b)” for “5338(j)(5)” in two places. 1995—Subsec. (b)(3). Pub. L. 104–88 substituted “11326” for “11347”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2012 AmendmentAmendment by Pub. L. 112–141 effective Oct. 1, 2012, see section 3(a) of Pub. L. 112–141, set out as an Effective and Termination Dates of 2012 Amendment note under section 101 of Title 23, Highways.

Effective Date

of 1995 AmendmentAmendment by Pub. L. 104–88 effective Jan. 1, 1996, see section 2 of Pub. L. 104–88, set out as an

Effective Date

note under section 1301 of this title.

Reference

Citations & Metadata

Citation

49 U.S.C. § 5333

Title 49Transportation

Last Updated

Apr 6, 2026

Release point: 119-73