What good is affordable housing if the people who build aren’t paid decently?

July 27, 2016
Kevin Duncan, Pueblo, Colo.
The writer is a professor of economics at Colorado State University-Pueblo.

To the editor: Like climate change, construction prevailing wage standards have been studied and an academic consensus exists, but myths persist. (“Affordable housing at an impasse,” editorial, July 22)

Peer-reviewed economists have found that prevailing wages produce more local, middle-class job opportunities and less spending on fuels, materials and public assistance for blue-collar construction workers. They do not significantly raise total development budgets.

In California, labor makes up just 20% of total construction project costs. Any savings from exploitative working conditions are offset by lower productivity on the job site.

(Read More)

BERGEN CONTRACTER CHARGED WITH LARCENY FOR ALLEGED WAGE FRAUD

By Dylan Skriloff on August 4, 2016

Rockland County District Attorney Thomas P. Zugibe today announced the filing of criminal charges against Christopher Greco (DOB 07/07/65) of 260 East Crescent Avenue, Mahwah, New Jersey for allegedly defrauding nine employees out of more than $82,000 by failing to pay the mandatory prevailing wages on several public works projects for the County of Rockland.

Greco is charged with:

* Six count of Grand Larceny in the Third Degree, class “D” Felonies
* One count of Grand Larceny in the Fourth Degree, a class “E” Felony
* 48 counts of Offering a False Instrument for Filing in the First Degree, class “E” Felonies
* One count of Petit Larceny, a class “A” Misdemeanor

District Attorney Zugibe said, “Firms doing business with the County of Rockland are obligated to pay their workers legally prevailing wages, which include salary and supplemental benefits. Cases like this demonstrate that we are vigilant in uncovering such criminal conduct and that unscrupulous contractors will get caught and have to pay the consequences for cheating workers out of their rightful wages.”

(Read More)

Ashland contractor ordered to pay $117K to employees

By Bill Shaner
July 29, 2016

 

BOSTON – An Ashland contractor must pay $117,000 in restitution after the Attorney General’s Office cited him for not paying employees fairly while they worked on the Acushnet Police Station.

On-Time Construction Services owner Jonatas Vicente de Brito violated the state’s wage law and failed to submit “true and accurate” payroll records, according to a release from Attorney General Maura Healey’s office Friday.

The AG’s investigators found that On-Time failed to pay three workers the prevailing wage, and that one wasn’t paid anything until the AG began its investigation a year ago. During this time, On-Time reported that its employees were paid the prevailing wage.

(Read More)

Mortenson Construction enters into PLA for $524M Milwaukee Bucks arena project

by Kim Slowey
July 26, 2016

 

Dive Brief:

  • General contractor Mortenson Construction has entered into a project labor agreement (PLA) with local trade unions and workers on the new $524 million Milwaukee Bucks arena, according to the Milwaukee Business Journal.
  • The agreement establishes a prevailing wage guarantee, sets up a dispute resolution process prohibiting any activity – strikes or lockouts – that could hold up construction and requires a veteran employment program through the organization Helmets to Hardhats.

 

Dive Insight:

Bucks President Peter Feigen praised the deal and said the team was proud to “enlist local labor” in the safe and efficient construction of the arena. Local trade union representatives also hailed Mortenson’s willingness to use union labor and its understanding of “the role of the PLA from the quality, productivity and the safety it provides.”

(Read More)

Viking Village pool workers to get back pay

By Fatima Hussein | July 25, 2016

More than 20 pipefitters and bricklayers constructing the Viking Village Shared Facility Pool in Sharonville will recover a total of $147,000 in back wages and benefits following an investigation by the U.S. Department of Labor’s Wage and Hour Division.

Federal investigators found Kitchener, Ontario-based Gall Construction of America LTD, operating as Acapulco Pools, underpaid 21 workers up to $17 per hour in salary and benefits.

The company violated provisions of the Davis-Bacon and Related Acts, which cover areas of prevailing wage laws and the Contract Work Hours and Safety Standards Act, which govern wage rates for projects receiving federal funds, the labor department said.

In a news release, the department said it determined the company had classified the bricklayers and other workers as general laborers and failed to pay them prevailing wages, fringe benefits and overtime at the rate due for their job titles.

(Read More)

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New laws toughen up penalties for labor law violations

Published Thursday, July 7th 2016

HONOLULU (HawaiiNewsNow) –
Hawaii employers who fail to comply with state labor laws will face stricter penalties, under new measures signed into law July 1.

Gov. David Ige signed the laws, increasing the penalties violations of requirements for workers’ compensation insurance, temporary disability insurance and for breaking prevailing wage laws on public construction projects.

In Nov. 2015, an investigation by the Labor Department found dozens of contractors and subcontractors working at the Ala Moana Center’s new Ewa wing violated labor laws by not necessary taxes.

Furthermore, the department found a number of construction firms also failed to pay pre-paid health insurance and temporary disability insurance for their workers.

(Read More)

USDOL Prevailing Wage Seminars for 2016

Join us at a Prevailing Wage Seminar in your region!

The Wage and Hour Division (WHD) Prevailing Wage Seminars (Prevailing Wage Seminars) are three-day compliance trainings designed for regional stakeholders (unions, private contractors, state agencies, federal agencies and workers). In these seminars, conference participants will learn about the following:

  • The Davis-Bacon Act and McNamara O’Hara Service Contract Act
  • Executive Order 13495 “Nondisplacement of Qualified Workers”
  • Executive Order 13658 “Establishing a Minimum Wage for Contractors”
  • The process of obtaining wage determinations and adding classifications
  • Compliance assistance and enforcement processes
  • The process for appealing wage rates, coverage, and compliance determinations

 

There is no fee to attend these seminars; however, space is limited. If you wish to attend, please click on the registration link for your desired location and follow the registration prompts. Each attendee must register separately. If registration is not yet open for the event you wish to attend, please check back. Please feel free to email WHDPWS@dol.gov if you have any questions.

Date Location
August 23 – 25, 2016 Portland, OR

For more information regarding the upcoming prevailing wage seminars, as well as information on the DBA and SCA visit http://www.dol.gov/whd/govcontracts or call the Wage and Hour Division’s toll-free helpline at 866-4US-WAGE (487-9243).

(Click Here to Register)

Protect MO Families launches prevailing wage campaign

The Missouri Times
June 24, 2016

JEFFERSON CITY, Mo. – The Committee to Protect MO Families started a new public awareness campaign this week to educate middle class families about the prevailing wage as they prepare for attacks similar to right-to-work.

The campaign launched with a video featuring Danny Burlison, a Navy veteran and and Carpenters Union member. The ads will be run throughout the summer.

Protect MO Families also released a study by Dr. Michael Kelsay, an economics professor at the University of Missouri-Kansas City, which explains the benefits of a prevailing wage.

Between online components and in-person meetings and other events, the campaign hopes to educated families and Missourians about the benefits of prevailing wage.

Protect MO Families anticipates attacks on prevailing wage becoming the next battleground in the fight over labor rights that’s already seen right-to-work and paycheck protection legislation be narrowly avoided in upheld vetoes.

(Read More)

(See Full Study Here)

Weakening Prevailing Wage Hurts Local Contractors (IN)

A case study from Southern Indiana demonstrates how weakening prevailing wage negatively impacts local contractors and local workers.

Published by Frank Manzo IV
JUNE 15, 2016

Out-of-state contractors benefited after Indiana weakened its prevailing wage law, according to a new Economic Commentary from the Midwest Economic Policy Institute.

Despite an emerging academic consensus that shows state prevailing wage laws have no discernible impact on project costs, lawmakers in Indiana weakened the state’s law – called Common Construction Wage – between 2012 and 2015. In 2013, the threshold for coverage was increased from $250,000 to $350,000, meaning that workers were no longer paid a prevailing wage rate on projects costing between $250,000 and $349,999.

Prior to raising its contract threshold to $350,000, hourly earnings for construction workers in Indiana were similar to all neighboring states except Kentucky. Economic research suggests that out-of-state contractors with lower-paid workers will flood the public construction market after a prevailing wage law is weakened. If true, the greatest threat to Indiana contractors would come from across its southern border in Kentucky, where construction workers earned $5 less per hour on average in July 2012.

(Read More)

Registration now open – 18th Annual NAFC Conference – San Diego, CA – Oct. 17 – 19, 2016

May 26, 2016

NAFC will be holding its Annual Conference in San Diego, CA this year. The Conference will be held at the Hilton San Diego Resort and Spa on Mission Bay, just outside downtown San Diego. This year’s Conference will be jointly sponsored by the Center for Contract Compliance and will have both a national and California state specific focus. The NAFC National Conference is attended by several hundred participants from across the nation, including representatives from labor organizations, fair contractors, fair contracting compliance organizations as well as researchers, academics, attorneys and officials from federal, state and local governments.

Register today, spaces are limited.

(Visit NAFC’s Conference Page)

(Download your registration form here)