Tag: construction company

Repealing prevailing wage laws: A blatant effort to drive down wages

The Republican-controlled Indiana General Assembly recently passed legislation to repeal that state’s common construction wage law, efforts are underway in Wisconsin to repeal that state’s prevailing wage law, and Republican Illinois Governor Bruce Rauner has made repealing our state’s prevailing wage law a major priority of his right-wing corporate agenda. Prevailing wage laws require construction and other types of workers on taxpayer-funded projects to be paid the prevailing wage in the area in which the work is being done.

While Republicans and conservatives claim that repealing prevailing wage laws would save taxpayers money, Iowa, which neighbors both Illinois and Wisconsin, has proven that to be absolutely false. In Iowa, a state that does not have a state-level prevailing wage law, the per lane-mile cost of maintaining state-maintained roads was $5,732 in 2012. In Wisconsin, which currently has a state-level prevailing wage law, the per lane-mile costs of maintain state-maintained roads was $4,341, or $1,391 less expensive per lane-mile than Iowa, in 2012.

Prevailing wage laws do nothing more than drive down the wages of workers on road construction and other publicly-funded projects and allow construction companies to pad their profits at the expense of workers and taxpayers. Driving down the wages of workers, whether it be construction workers and other types of workers, also hurts the overall economy, because workers whose wages drop have less money to spend on goods and services, which results in businesses not being able to make as much money selling goods and services.

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Scott Walker’s new wage theft law is shipping Wisconsin jobs to Minnesota

You want to know how bad wage theft (i.e., right-to-work) legislation is for states that enact them? Well, Wisconsin, which is the most recent state to enact a wage theft law thanks to Scott Walker and his Republican allies in the Wisconsin State Legislature, just lost some construction jobs to Minnesota due to Wisconsin becoming a wage theft state:

Before Walker signed the wage theft bill into law, Pat Garofalo, a Republican member of the Minnesota House of Representatives who has publicly opposed right-to-work laws, authored an official letter inviting Wisconsin companies who are owned by people who oppose wage theft for whatever reason to move their jobs to Minnesota, where workers’ rights are more protected than they are in Wisconsin. Now, because of the wage theft legislation in Wisconsin, at least one company that I’ve been made aware of has moved their jobs from Wisconsin to Minnesota.

Busting unions and driving down wages does absolutely nothing to create jobs, and Scott Walker’s Wisconsin is proof of that.