Local Right-to-Work Zones Would Weaken the Illinois Economy

Posted by National Alliance for Fair Contracting on

April 6, 2015
Frank Manzo IV, Policy Director
Illinois Economic Polict Institute (ILEPI)

 

Efforts to create local “right-to-work” zones would have negative impacts on workers and the economy in Illinois, according to a new report released today by the Illinois Economic Policy Institute (ILEPI) and the University of Illinois at Urbana-Champaign.

The report, The Impact of Local “Right-to-Work” Zones: Predicting Outcomes for Workers, the Economy and Tax Revenues in Illinois (PDF), investigates the economic and policy impacts of adopting local “right-to-work” zones in Illinois, testing claims made by proponents of the ordinances. The report finds that worker incomes are lower in economies with right-to-work laws and that employment effects are inconclusive. For instance, average worker wages are $2.90 per hour (13 percent) higher in Illinois than in right-to-work Indiana. At the same time, the unemployment rate in eastern Illinois counties is lower than in right-to-work counties across the Indiana border in December 2014.

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(Read Full Report here)

Collaborative Development: The Benefits of Public-Private Partnership

Posted by National Alliance for Fair Contracting on
A new ILEPI Policy Brief, released this morning, investigates the pros and cons of public-private partnerships in the construction industry.

The report, Collaborative Development: The Pros and Cons of P3s on Construction Projects (PDF), finds that public-private partnerships (P3s)- such as the proposed Illiana Expressway– offer the potential for significant cost savings for the public sector. P3s allow governments to increase internal investment, capitalize on the efficiencies and innovations of private companies, and build infrastructure slightly less expensively and slightly more quickly. For the private sector, P3s provide stable assets (infrastructure facilities) with predictable long-term returns from user fees for portfolio diversification. P3s also allow private entities, backed by the government, to borrow cheaply.

The Policy Brief utilizes case studies to demonstrate how P3s may be mutually beneficial and discusses the expected positive benefits of three potential P3 projects in the Midwest.

(Read More)(Copy of Report)