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| Bricklayers’ Local Union No. 1 of Missouri – Wage and Trust Fund Bond |  |
| Cement Masons Local No. 527 – Wage and Welfare Bond | |
| Construction & General Laborer’s Local No. 660 – Wage Welfare Bond | |
| Greater St. Louis Construction Laborer’s – Wage Welfare Bond | |
| IBEW Local No. 1 – Wage and Welfare Bond | |
| IBEW Local No. 124 – Fringe Benefits Bond | |
| IBEW Local No. 257 – Fringe Benefits Bond | |
| Iron Workeres Local No. 396 – Fringe and Wage Benefits Bond | |
| Mid-Americas Carpenters Regional Council – Wage and Fringe Benefit Bond | |
| Operating Engineers Local No. 101 – Fringe Benefits Bond | |
| Operating Engineers Local No. 513 – Wage and Fringe Benefits ($15,000) Bond | |
| Operating Engineers Local No. 513 – Wage and Fringe Benefits ($35,000) Bond | |
| Painters District Council No. 3 – Fringe Benefits Bond | |
| Plumbers & Pipefitters Local Union No. 562 – Fringe Benefits Bond | |
| St. Louis Painters Union – Wage and Fringe Benefits Bond | |
Introduction
The Missouri Wage and Welfare Bond is a surety bond required by labor unions from employers who hire union workers. It guarantees that employers pay agreed-upon wages, benefits, and union dues as outlined in collective bargaining agreements. By securing this bond, employers demonstrate financial responsibility and provide unions with assurance that their members will be compensated fairly and on time.
Explanation: Missouri Wage and Welfare Bond
A Missouri Wage and Welfare Bond is a type of surety bond often required by labor unions from employers who hire union workers within the state. Its main purpose is to guarantee that employers fulfill their obligations to pay wages, union dues, and fringe benefits (such as health insurance or retirement contributions) as outlined in collective bargaining agreements or labor contracts.
This bond protects union members by ensuring that they receive the compensation and benefits they are entitled to, even if an employer defaults or fails to meet contractual obligations. If the employer does not pay, the union can make a claim against the bond to recover unpaid wages or benefits.
Read our City of Arnold, MO – Contractor License Bond.
Key Points about the Missouri Wage and Welfare Bond
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Who Needs It?
Employers who hire union labor in Missouri and are required by the union to post financial security. -
Purpose:
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Ensures payment of wages, dues, and benefits to union employees.
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Protects labor unions and workers against financial loss caused by employer default.
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Promotes trust between unions and employers.
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Bond Amount:
The required bond amount is usually set by the specific union or labor organization, based on the number of workers employed and the expected wage and benefit obligations. -
Parties Involved:
- Principal – the employer hiring union workers.
- Obligee – the labor union requiring the bond.
- Surety – the bond company guaranteeing payment of wages and benefits.
See our City of Belton, MO – Right of Way Permit Bond.
Process of Getting the Missouri Wage and Welfare Bond
Here’s a detailed step-by-step process for obtaining a Missouri Wage and Welfare Bond:
- Confirm Union Requirements
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Review your labor or collective bargaining agreement.
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Verify with the union or labor organization whether a Wage and Welfare Bond is required and the bond amount needed.
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- Apply with a Surety Bond Provider
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Contact a licensed surety company that issues Wage and Welfare Bonds in Missouri.
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Submit an application.
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- Underwriting and Risk Review
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The surety evaluates your financial condition, focusing on your ability to pay union wages and benefits.
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Stronger financials and credit generally result in lower bond rates.
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- Receive a Premium Quote
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Premiums typically a % of the bond amount per year, depending on financial strength and creditworthiness.
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- Purchase the Bond
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Pay the quoted premium.
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The surety issues the official Missouri Wage and Welfare Bond.
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Conclusion
The Missouri Wage and Welfare Bond is a vital protection that guarantees union workers receive the pay, benefits, and dues guaranteed in labor agreements. Employers who preserve this link fulfill their contractual commitments, foster confidence with unions, and exhibit a commitment to fair labor practices in Missouri.
Get our City of Goodman, MO – Contractor License Bond.
Frequently Asked Questions (FAQs)
Here’s a structured FAQ section for the Missouri Wage and Welfare Bond:
What happens if an employer fails to meet obligations?
If the employer does not pay wages, dues, or benefits, the union can make a claim against the bond. If the surety pays, the employer must reimburse the surety for the amount paid.
Can an employer hire union workers without this bond?
No. If a union contract requires the bond, it must be in place before the employer is authorized to hire union labor.
Does credit history affect the bond cost?
Yes. Employers with strong credit and financial stability pay lower premiums, while higher-risk applicants may face higher rates.
What happens if the bond is cancelled or lapses?
If the bond is cancelled or not renewed, the union may suspend work, withhold labor, or terminate the agreement until the bond is reinstated.
Are there penalties beyond bond claims if an employer defaults?
Yes. In addition to bond claims, unions may pursue legal action, impose penalties, or terminate the collective bargaining agreement.