New Memphis program encourages more students to pursue careers in construction (TN)

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BY LAURA FAITH KEBEDE
MAY 14, 2019

About 200 more Memphis students will be able to work toward certification in construction jobs next year thanks to a two-year state grant and an additional curriculum announced Tuesday.

The after-school program, known as Pre-Apprenticeship Certificate Training, or PACT, is Gov. Bill Lee’s latest push to train more high school students to enter careers straight out of high school in areas such as masonry, carpentry, landscaping, painting, plumbing, and construction technology.

“I’ve long known that there is a shortage of those skilled workers because we have left that part of education out of our public school system for decades,” said Lee, who ran a similar training program out of his family business in Williamson County.

“They have giftings and skills that college kids don’t, and yet we do very little to direct paths for them in successful careers,” he added.

The program is meant to help bridge the gap between young people looking for work and companies that can’t fill construction jobs. Memphis has the nation’s highest rate of youth not working or in school. As more building developments spring up, some companies have even turned down projects because they don’t have enough workers, according to local media reports. Memphis was named one of the fastest growing markets in construction in 2017 by the Associated General Contractors of America.

“Understanding what this program is about really gives me as the president of a company in the building industry a huge sigh of relief,” said Jennifer Ransom of The Ransomed Group.

About 100 students at five high schools this year were certified in skills required for construction jobs, but Shelby County Schools hopes to dramatically increase that number through the new program, said Tanika Lester, the district’s manager of college and career technical education programs. About 2,400 students earned certifications across more than a dozen other career fields this year – more than double the district’s goal, Lester said.

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Texas bill would create public database of wage thieves (TX)

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Written by Ryan Johnston
MAY 3, 2019 | STATESCOOP

Under a new bill making its way through the Texas legislature, the state would create a publicly searchable database of companies and employers that commit wage theft – a serious problem in a state that only sees 50 percent of offenders pay back stolen wages.

The bill, introduced last November by Democratic state Rep. Mary Gonzalez, would require the state’s workforce commission to maintain the database of offenders. Wage theft can take different forms, such as employers skimping on overtime for hourly workers or paying below minimum wage, which has been $7.25 per hour in Texas since 2009.

The database that would be created under Gonzalez’s bill would publish the names of each manager, owner and business that purposely withheld wages from employees and never paid them back. Though the bill doesn’t punish offenders monetarily, it would give workers, activists and politicians the ability to identify consistent violators. Right now, that information is only available through a public records request, something potential employees are unlikely to make of their future employer, particularly if they’re undocumented.

But the bill would give offending employers time to pay owed wages before they are added to the database. Companies that are ordered by the state’s labor commission to pay back wages have 30 days to do so; if they don’t comply, the state has 180 days to notify them they’re going to be added to the database, during which they can dispute the offense. Once an employer is added to the database, though, the identifying information would be searchable for three years or until they’re convicted of having committed wage theft.

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WI DWD Holds Worker Misclassification Roundtable (WI)

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05/14/19
WorkersCompensation.com

Waukesha, WI – The Department of Workforce Development (DWD), in collaboration with State Council of Carpenters and Painting and Allied Trades, held a Worker Misclassification Roundtable in Waukesha yesterday to gather information and input on the issue of Worker Misclassification in Wisconsin. The roundtable was hosted by Building Services Incorporated.

“Under Governor Evers, the rights of workers are first and foremost, and by ensuring that employees are properly classified, we are providing workers with the confidence that in the event of a separation or workplace issue, they will have proper supports in place,” DWD Secretary Caleb Frostman said. “The input of our employer partners and other stakeholders on this issue is absolutely vital as we move forward with implementing Governor Evers’ Joint Taskforce to combat Worker Misclassification and Payroll fraud.”

Last year alone, UI Division auditors conducted 2,459 audits, identifying 8,677 misclassified workers and recouping more than $1.5 million in Unemployment Insurance (UI) taxes, interest and penalties due to their efforts. The issue isn’t isolated to the UI program alone. Misclassified workers are often times denied access to worker’s compensation and various labor and civil rights protections. Employers who misclassify workers obtain a competitive advantage over their peers. Without action on this important issue, Wisconsin stands to lose tax revenue, employers who play by the rules lose work, and workers suffer.

Under Wisconsin law, workers are presumed to be employees and subject to tax unless determined by law to be independent contractors. An employer found to be utilizing misclassified workers may be liable for additional tax, interest and penalties. Employers engaged in the construction trades may also be subject to a stop work order. In addition, employers engaged in the painting or drywall finishing of buildings or other structures who willfully provide false information to DWD for the purpose of misclassifying or attempting to misclassify a worker as an independent contractor can be fined $25,000 for each violation.

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CHERYL MARIE STANTON BECOMES NEW ADMINISTRATOR OF U.S. DEPARTMENT OF LABOR’S WAGE AND HOUR DIVISION

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Agency: Office of the Secretary, Wage and Hour Division
Date: April 29, 2019
Release Number: 19-0750-NAT

WASHINGTON, DC – The U.S. Department of Labor today announced Cheryl Marie Stanton was sworn-in as the Administrator of the Department’s Wage and Hour Division.

“I welcome and congratulate Cheryl Stanton as she officially assumes the position of Administrator of the Wage and Hour Division,” said U.S. Secretary of Labor Alexander Acosta. “Cheryl brings with her a distinguished career including prior public service as Executive Director of the South Carolina Department of Employment and Workforce.”

The Wage and Hour Division (WHD) … administers and enforces the prevailing wage requirements of the Davis Bacon Act and the Service Contract Act and other statutes applicable to Federal contracts for construction and for the provision of goods and services.

Stanton was nominated by President Trump on September 2, 2017, and confirmed by the U.S. Senate on April 10, 2019.

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Parr: Prevailing wage bill will stop money from leaving New York (NY)

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By Ron Parr
April 15, 2019

New York faces a statewide problem related to public works. Despite what some may say, if this issue is left unresolved it could have disastrous implications for business, hurting both contractors and workers in New York State.

The lack of a clear definition of public works has created a loophole that can be exploited by bad actors to take millions in public subsidies, turn around and hire out of state contractors and pay workers poverty-level wages. The consequences for New York are vast. Tax dollars meant to invest in local companies and spur economic development are funneling into the back pockets of unscrupulous developers and millions in foregone tax revenue continues to accrue.

Legislation in both houses of the state Legislature in Albany would provide the statewide solution New York needs – from Western New York to New York City, from the North Country to Long Island.

Opponents claim public works legislation would increase the cost of construction and impede economic growth, but when you look at the numbers, this is far off the mark. Far from slowing economic growth, public works legislation would significantly boost the economy both upstate and down, first and foremost: through tax revenue.

Mandating wage standards and taxpayer benefits on projects that received public funding would produce an additional $3.5-6.9 million annual sales tax revenue. At present, local contractors lose out in the bidding process to out-of-state contractors that pay poverty-level wages to gain a competitive advantage. Leveling the playing field so that in-state contractors can compete would ensure these tax dollars stay in New York.

Additionally, the payment of prevailing wages often encourages a more skilled, localized workforce. Skilled workers minimize costs by increasing efficiency and decreasing the amount of time needed to complete a project. A clear definition of public works has the potential to actually reduce overall project costs.

Furthermore, public works legislation would strengthen industries outside of construction including insurance, financial services, health care and the restaurant industry, the combination of which would add billions in revenue and produce thousands of jobs.

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Prevailing-wage bill would uplift construction workers of color (NY)

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April 30, 2019 12:00 AM
Barrie Smith

All construction workers in New York-union or nonunion, male or female, black or white-deserve the right to a fair wage for their hard work.

That’s why all New York construction workers critically need prevailing wage legislation. A loophole in the current definition of public works allows bad-actor contractors to receive millions in taxpayer subsidies for projects while paying workers poverty-level wages.

Despite the universal applicability of this legislation to construction workers, a misinformed narrative that prevailing-wage legislation would negatively impact people of color by favoring union labor somehow persists-often perpetuated by white, nonunion workers. This argument shows a fundamental misunderstanding of how to best serve the interest of people of color, a complete lack of knowledge regarding the increasingly positive role of the building trades in the effort for civil rights in New York, and, frankly, a rudimentary understanding of the bill itself.

Lack of diversity in the building trades is a thing of the past. The social justice community accepts this as fact. The truth is that today, people of color benefit from greater opportunity for higher wages and benefits, a lower racial wage gap and less wage discrimination than in nonunion construction.

The numbers clearly back this up. A 2017 report by the Economic Policy Institute, Diversity in the New York City Union and Nonunion Construction Sectors, showed that more than half of unionized construction workers are people of color. Black workers in particular have a 5% higher share of employment than in the nonunion sector.

And not only are there more jobs for people of color in unions, but the jobs are better. Black workers earn 36.1% more per hour than those in the nonunion sector. Hispanic workers earn $8 more per hour.

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ATTORNEY GENERAL’S LEGISLATION STRENGTHENING WAGE THEFT LAWS AND INCREASING PENALTIES PASSES LEGISLATURE WITH BIPARTISAN SUPPORT (WA)

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By Washington State Office of the Attorney General
Apr 19th, 2019

OLYMPIA – The Legislature passed Attorney General Bob Ferguson’s agency request legislation strengthening Washington’s wage theft laws in the prevailing wage arena. Prevailing wage is most common in government contracts. Prevailing wage laws prevent a “race to the bottom” as contractors seek to lower worker pay in order to underbid each other.

The bill, SB 5035, increases the maximum penalty for prevailing wage violations from one thousand dollars or 20 percent of the violation, whichever is greater, to five thousand dollars or 50 percent of the violation, whichever is greater. These penalties have not increased since 1985.

Ferguson’s legislation also closes a major loophole in Washington’s prevailing wage laws that allows repeat and willful violators to avoid a penalty or sanction if they respond to a wage complaint by returning the stolen pay to the worker before the state can take additional legal action. This loophole derives from the state’s limited authority to file enforcement actions when there are “unpaid wages” – a term that was undefined before now.

…

“This bill ensures that employers who cheat their workers out of hard-earned pay will face consequences, the same as you or I would face if we stole something,” said Ferguson. “Allowing the state to pursue penalties against employers that intentionally rip off their workers protects hardworking Washingtonians and their families.”

…

The Washington Building Trades, Faith Action Network and Working Washington also supported SB 5035.

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Women Wanted: Blue-Collar Fields Find New Workforce (CA)

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The share of truck drivers, electricians, plumbers and mechanics who are women recently touched the highest level in at least 25 years

By Sarah Chaney and Eric Morath
April 29, 2019 5:30 a.m. ET

Kenyette Godhigh-Bell dismissed any thought of becoming a truck driver years ago when it appeared too daunting to break into a job where more than 90% of workers are men.

“You’ve got this cowboy-boot wearing, cigarette-smoking, tattooed or whatever white guy’s job,” she recalled. Now Ms. Godhigh-Bell, a 46-year-old black woman in sleek high-heeled boots, regularly pulls her 18-wheeler to Nebraska slaughterhouses so she can pick up beef and chicken for transport to grocery warehouses.

She is among a growing number of women taking jobs in blue-collar roles that have long been-and still are-mostly men, including police officers, construction laborers and electricians. A number of factors are driving the trend, including companies broadening recruiting efforts in a tight labor market to workers being drawn by better-paying jobs to women recognizing they won’t be alone.

The increase has been especially pronounced in transportation and material-moving, a field that includes truck drivers, delivery people and warehouse workers. In 2018, 43% more women worked in that category than in 2000, according to the Labor Department, and those gains accelerated the past five years as the labor market tightened. The overall number of women in the workforce increased about 15% during that time.

The number of women working as security guards, police officers and other protective service jobs also rose more than 40% since 2000. Women working construction jobs has increased 23%.

…

Women are increasingly being drawn into blue-collar jobs because the pool of men willing to take those jobs is shrinking, said Gad Levanon, chief economist at The Conference Board. More Americans are pursuing college degrees, leaving fewer willing to take traditional blue-collar jobs.

“That makes recruiting extremely difficult,” he said, adding that companies in blue-collar industries need to go beyond the typical pool of candidates. “Women, in many cases, turn out to be one of those groups.”

The rise of women in majority-male jobs reflects recent labor-force trends: Women have been driving the comeback in working-age labor-force participation, while participation among men ages 25 to 54-long the stalwarts of blue-collar jobs-has lagged behind.

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(Official Page for the 9th Annual National Trades Women Conference)

Opinion: California must invest in workforce to meet housing goals (CA)

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Construction workers are repelled by the sector’s physically demanding work and comparatively low pay

By SCOTT LITTLEHALE
PUBLISHED: April 14, 2019 at 6:10 am

Burdensome regulations and exclusionary zoning are not the only barriers to solving California’s persistent housing crisis.

Even under the rosiest of regulatory scenarios, California’s residential construction industry needs at least 200,000 new workers to produce enough new housing to improve affordability.

But it is struggling to compete for them. Industry leaders often claim it’s because “Young people don’t want to get their hands dirty;” “Parents are pushing college instead of vocational training;” or because “Schools have abandoned shop classes.”

Actually, research shows that the seeds for today’s housing construction labor shortage were planted by the homebuilding industry itself – more than three decades ago.

The last time California produced housing on a scale that state leaders say is needed to boost affordability today was the 1970s. During those years, residential and non-residential construction wage rates were equal. Builders routinely employed apprentices and made binding commitments – often through collective bargaining – to fund skilled trade apprenticeship programs.

During the 1980s, homebuilders refused to renew collective bargaining agreements and began replacing higher skilled crews with lower skilled workers. As land and regulatory costs grew, contractors relied on a strong supply of young men without a college degree and a growing pool of immigrant laborers to offset these burdens by working for less.

Construction labor productivity began to shrink alongside these shifts, but it has taken decades for annual deficits in housing supply to reach a crisis point. Today, we need to double our housing production just to tread water. To boost affordability, we need to produce even more. Either scenario demands more workers.

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Lujan Grisham signs bill invalidating counties’ right-to-work laws (NM)

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Author: Andy Lyman
March 29th, 2019

Supporters of right-to-work legislation in New Mexico were dealt a big blow Wednesday when Gov. Michelle Lujan Grisham signed into law a bill to prohibit counties from passing their own right-to-work laws.

Compulsory union fees in the public sector was struck down by the U.S. Supreme Court in June 2018, but private sector unions can still require workers to pay union fees. It’s against the law for all unions to require workers to pay dues, but they can collect fees to pay for the wage and benefit bargaining.

With the governor’s signature, House Bill 85-sponsored by Democratic Reps. Daymon Ely of Albuquerque and Andrea Romero of Santa Fe-invalidates resolutions passed, over a span of about 14 months in 10 New Mexico counties and one village, that barred union membership as a condition of employment.

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The bill was a direct answer to a push by right-leaning organizations, led by Americans for Prosperity, to localize efforts that failed to pass the Legislature in 2015. That year, with a majority in the House, Republicans passed a bill that would have made it illegal for employers or labor unions to require workers to join a union as part of the job. That bill never made it past the Democratically controlled Senate.

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