Guercio v. Gerosa, 15 N.Y.2d 142 (1965)

Under New York Labor Law § 220, the prevailing wage rate for public works laborers must be based on the specific type of work they actually perform, even if they share the same civil service title.

Summary

Laborers employed by the City of New York filed complaints to have their wages fixed according to the prevailing rate under Labor Law § 220. The Comptroller subclassified the laborers into groups (A-E) based on their duties, recognizing different tasks merited different pay. However, when fixing the “prevailing rate,” the Comptroller considered rates for all laborers in outside employment, regardless of the actual work performed, and fixed an average rate for all city laborers. The Court of Appeals held that the Comptroller must fix separate rates commensurate with the work actually performed, even within the same civil service title. The case was remitted for further proceedings consistent with this principle.

Facts

Five groups of laborers employed by the City of New York filed verified complaints pursuant to Labor Law § 220(7) to have their wages fixed by the Comptroller according to the prevailing rate. The Comptroller subclassified the laborers into five groups (A through E) based on their assigned duties, which ranged from common labor to specialized tasks like highway maintenance, water repair, and sewer work. The Comptroller fixed a “prevailing rate” for Group A laborers and recommended wage differentials for Groups B through E, acknowledging different duties warranted different pay. The Comptroller determined the prevailing rate by considering rates of all laborers in outside employment, regardless of their specific tasks. The laborers in Groups C, D, and E argued that separate rates should have been computed for each group based on rates paid to laborers performing similar tasks in outside employment.

Procedural History

The laborers filed complaints under Labor Law § 220(7). The Supreme Court, New York County, consolidated the proceedings. After a hearing, the Comptroller determined the sub-classifications and corresponding wage rates. The laborers appealed, arguing that the Comptroller erred in not fixing separate rates for each group based on the specific work performed. The Appellate Division’s order was appealed to the New York Court of Appeals.

Issue(s)

Whether the Comptroller, in fixing prevailing rates of wages for laborers under Labor Law § 220, must fix separate rates commensurate with the work actually performed within the civil service title, or whether it is sufficient to fix a single rate based on the general civil service classification of “Laborer”.

Holding

Yes, the Comptroller must fix and pay prevailing rates of wages based on the work actually performed within the civil service title because individuals, though in the same generic employment, may not be in the same “trade or occupation” as defined by Labor Law § 220(5).

Court’s Reasoning

The Court reasoned that the key inquiry is whether laborers performing different tasks (e.g., sewer laborers, highway maintenance laborers) are engaged in the same “trade or occupation” under Labor Law § 220(5). While the laborers all share the same civil service title, the nature of the work actually performed is the pivotal question. The court cited Matter of Watson v. McGoldrick, 286 N.Y. 47 (1941), emphasizing that differences in the field in which work is performed can divide workers performing similar tasks into different “trades and occupations.” The Comptroller himself recognized a distinction in duties by classifying laborers into groups and establishing wage differentials. The court also noted the policy underlying Labor Law § 220 is to ensure those on public works receive the prevailing wage paid to those doing the same work in the private sector. The court dismissed the argument that this was an attack on the civil service classification, stating that the laborers were not challenging their inclusion in the “Laborer” classification, but rather asserting that those doing different tasks on the outside are paid different wages. As the State Comptroller has concluded: “All laborers employed by a village must be paid at least the prevailing rate of wage in the locality for the particular type of work they are performing.” The court held that the Comptroller must fix prevailing rates of wages based on the work actually performed within the civil service title.