Question

Cliff Stiff Inc., a cement company, receives more than $2,000 in federal money. The company hires employees belonging to the age group of 25 to 40. The company is charged for violation of law under the Davis-Bacon Act of 1931 and the Walsh-Healy Public Contracts Act of 1936. Which of the following best explains the reason for the company being sued?

A. The employees of the company are not being paid at rates at least equal to the prevailing wages in the area.

B. Cement industry employees are being paid only 15% above the minimum wage.

C. The company hires employees belonging to the age group of 25 to 30, and they are being employed in hazardous environments.

D. Individuals eligible for overtime are being paid at one and a half times the employee's regular pay rate.

E. Employees below the age of 25 are not being hired by the company.

Answer

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