Clean energy jobs are big in Minnesota. But they often go to people from out of state (MN)

By Walker Orenstein | 08/16/2019

The fastest growing jobs in the country are solar panel installers and wind turbine service technicians, a fact that clean energy advocates use as evidence of a growing sector and the economic upside of transitioning away from fossil fuels.

But in Minnesota, the rise of clean energy isn’t always resulting in new jobs for Minnesotans – at least when it comes to building wind projects. A report released Thursday by the Minnesota and North Dakota chapter of the Laborers’ International Union of North America says wind developers heavily rely on traveling workers, often from other states, even though there’s been an uptick in local hiring for the construction jobs this year.

Lucas Franco, the LIUNA branch’s research manager, says workers from states like Texas, Utah and California are often cheaper and can make up the bulk of a project in Minnesota. In-state residents or workers living within 150 miles of a major wind farm in Pipestone County accounted for 32 percent of construction hours worked, for example. Preliminary research done by LIUNA also suggests solar developers often lean on out-of-state workers for construction, Franco said.

“It’s a big concern for us, particularly in the context of this moment, of our energy infrastructure transition that we’re in,” he said. “A lot of clean energy advocates are trying to build popular support for new wind and solar projects, and I think that’s hard to do when folks in the conventional energy sector are losing their work and not necessarily finding work building wind farms or solar farms.”

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New West Virginia study finds repeal of prevailing wage saved taxpayers no money (WV)

by Jake Jarvis
May 21, 2019

CHARLESTON – Officials with the West Virginia State Building Trades Council and Affiliated Construction Trades say lawmakers should consider reinstating the prevailing wage law in light of a new study.

The study, published this month by a researcher from Missouri University and the Midwest Policy Institute, found that repeal of the prevailing wage law “had negative impacts for West Virginia’s construction workers, contractors and communities while failing to deliver any meaningful cost savings.”

Steve White, director of the ACT, said in a press conference Tuesday afternoon that the promised results of repealing the prevailing wage law have not been realized.

The law required that workers on state-funded construction projects be paid a so-called prevailing wage, which was calculated by state officials after determining the usual pay rate on such projects in West Virginia.

Proponents of repealing the 1933 law said it would reduce construction costs, but opponents said repealing it would allow out-of-state companies to come to West Virginia and undercut companies here by bidding far below them.

Luther Lasure, director of the Kanawha Valley Builders Association, said that’s exactly what happened.

He said there have been more out-of-state contractors winning bids for state-funded projects. And he said said those out-of-state companies don’t have as much of an incentive to do quality work, since they don’t actually live in the community.

Lasure said that, as uncomfortable as it is to admit it in a press conference full of union officials and supporters, he’s a member of the Republican Party, the party that repealed the prevailing wage. Despite this, he said he believes in listening to the data and the data shows the repeal has hurt workers.

“The taxpayers are not saving any money, but wages have been cut dramatically,” White said.

White called on legislative leaders to “correct course” and reverse the “terrible mistake” they enacted with repealing prevailing wage in 2015.

(Read More)

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My Turn: The conservative case for a prevailing wage (NH)

By TROY MERNER
Published: 5/8/2019 12:10:20 AM

There’s an old saying that the best social welfare program is a “good-paying job with excellent benefits,” and I couldn’t possibly agree more. While most elected officials agree with this idea in principle, we often disagree on the best path forward. New Hampshire has some of the best-trained and hardest workers in the country, and it’s high time we treated them accordingly. This is why I’m asking my fellow Republicans to support Senate Bill 271 and finally establish a prevailing wage in New Hampshire.

Prevailing wage law states that contractors must offer competitive wages and benefits on taxpayer-funded projects. This accomplishes two things: First, it ensures that public projects enjoy a quality of workmanship that cut-rate contractors cannot provide, saving taxpayers millions of dollars over the long term. Second, it affords locally trained New Hampshire workers the ability to work close to home. Many of our best-trained workers are forced to seek employment in neighboring states where prevailing wage ensures that pay is higher, while local construction jobs go to out-of-state contractors offering a lower quality of service.

A recent study by economists at the Keystone Research Center, a nonpartisan economic policy organization, concluded that establishing a prevailing wage in New Hampshire would add up to 4,000 local jobs to our economy because it would diminish out-of-state contractors’ ability to undercut our local workforce. This law would also provide health coverage to approximately 2,500 construction workers – reducing the number of our hard-working men and women who rely on the government for assistance. The same study concluded that passing a prevailing wage would increase economic activity by $680 million in New Hampshire and raise up to $17 million in new state and local tax revenue.

Passing a prevailing wage also establishes an enforcement protocol to ensure that contractors don’t miscategorize workers or hire undocumented workers to artificially lower their bids. This malicious practice both undercuts our local workforce and provides a lower quality of service on taxpayer-funded projects.

(Troy Merner, a Lancaster Republican, represents Coos District 7 in the N.H. House of Representatives.)

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Guest Column: Prevailing wage supports Oakland County communities (MI)

Andy Meisner is Oakland County treasurer
POSTED: 01/12/18, 3:12 PM EST

Big things are happening here in Oakland County. In November, Oakland County voters approved millions of dollars in public projects to improve our schools, sidewalks and communities – all smart investments in our future.

These projects show that our economy continues to grow. We’ve come a long way since the stagnant, cash-strapped Recession years, and we can make even more progress working together.

Unfortunately, some special interests in Lansing want to gamble with Michigan’s prevailing wage law in hopes of increasing their profits. That would create roadblocks to growth in Oakland County, and it’s the wrong move.

Repealing the prevailing wage is being hawked by special interests as a way to save taxpayers’ money. If that sounds too good to be true, it’s because it is. Repealing prevailing wage will send qualified workers out of state, leaving projects to lower-skilled workers. It will lead to expensive mistakes and cost-overruns that will be passed onto taxpayers when projects are built with cheap labor by out-of-state contractors, compromising safety and quality.

Prevailing wage is a smart investment that levels the playing field so local Michigan contractors have the opportunity to compete for public projects, without being undercut by the fly-by-night operations that employ cheap, low-skilled labor. By requiring all contractors who bid on a project to pay their workers a fair wage, quality contractors are challenged to work smarter and employ innovative ideas, not just cut costs by slashing wages.

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Video: Indiana GOP Leader Admits Repealing Prevailing Wage ‘Hasn’t Saved a Penny’

With Senate Committee Set to Vote on Repeal Bill, April 24 Video Debunks Prevailing Wage Supporters’ Claims about Savings
PRESS RELEASE · MAY 2, 2017
MEDIA CONTACT | MIKE BROWNE
DEPUTY DIRECTOR

MADISON, Wis. – With the Republican-controlled Senate Labor Regulatory Reform Committee poised Wednesday morning to vote for a misguided repeal of prevailing wage laws for public works projects, video has surfaced from a forum April 24 in Milwaukee where Republican Indiana House Assistant Majority Leader Ed Soliday angrily reveals that similar legislation passed in Indiana which went into effect in 2015 “hasn’t saved a penny.”

“We got rid of prevailing wage and so far it hasn’t saved a penny,” Soliday says during the question and answer session last week hosted by the Wisconsin Transportation Development Association in Milwaukee. “Probably the people most upset with us repealing [prevailing] wage were the locals. Because the locals, quite frankly, like to pay local contractors and they like local contractors to go to the dentist in their own town.”

One comprehensive analysis showed repealing Wisconsin’s prevailing wage laws will result in a projected $500 million in construction value being completed by out-of-state contractors on an annual basis and a yearly total of over $1.2 billion being lost due to reduced economic activity. A second analysis revealed 885 public construction jobs left Indiana after repeal of prevailing wage and 770 jobs popped up across the border in Kentucky.

One Wisconsin Now Executive Director Scot Ross said he “wasn’t surprised the Wisconsin Republicans are using lies and deception to level yet another attack on Wisconsin workers.” Ross said the list of Republican co-authors on the bill was “a who’s who of Wisconsin’s anti-worker extremists.”

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(See a Copy of Video Here)

Contractors Make Case Against Prevailing Wage Repeal

Published by Frank Manzo IV, MPP
APRIL 3, 2017

JEFFERSON CITY, Mo. — Union and non-union contractors are voicing their opposition to a Missouri House proposal to eliminate a minimum wage requirement for public works projects.

The Coalition of Construction Contractor Associations, representing around 100,000 Missouri workers, told reporters in Jefferson City Wednesday what a proposed repeal of the prevailing wage could mean for workers.

Currently, local government organizations must pay workers more than the state’s $7.70-an-hour minimum wage for construction projects. Prevailing wage is determined by the Department of Labor and is based on the number of hours worked and the wages paid to contractors.

Wages are unique for each county. A general road construction laborer would be paid $31 an hour in St. Louis, but $25 in the northwestern corner of the state.

The main concern construction contractors have is that repealing prevailing wage will encourage companies to hire cheap, out-of-state labor, taking away jobs that would normally go to local contractors.

Government construction contracts are awarded to the lowest bidder, and without a prevailing wage requirement, out-of-state contractors could potentially bid much lower than those in Missouri.

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EXCLUSIVE: Cuomo to propose bill that clamps down on wage theft from out-of-state companies (NY)

KENNETH LOVETT
NEW YORK DAILY NEWS
Saturday, January 7, 2017, 9:00 PM

 

ALBANY – Gov. Cuomo is set to propose legislation that will allow the state to aggressively go after wage theft in New York, the Daily News has learned.

The bill, to be announced as part of the governor’s State of the State agenda he’ll be releasing this week, would hold the top 10 officials from out-of-state limited liability companies, or LLCs, personally financially liable for unsatisfied judgments for unpaid wages.

The legislation will empower the state Labor Department commissioner to enforce such liabilities.

The idea, Cuomo said, is to recover more money employees were cheated out of when businesses went bankrupt – and went on to create spinoff limited liability companies registered in other states or hid their assets in other ways.

“New York is committed to ensuring a fair day’s pay for a fair day’s work and has zero tolerance for those who seek to exploit their workers,” Cuomo said.
“With this proposal we will help ensure that no matter where bad actors try to hide, they will not be able to skirt their obligations to hard-working New Yorkers. ”

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Ohio cities could stop paying prevailing wage to construction workers

POSTED ON FEBRUARY 24, 2017
BY LIMA NEWS

 

COLUMBUS – Local governments could opt out of paying Ohio’s prevailing wage on public construction projects under a new proposal from state Sen. Matt Huffman.

State law requires counties, cities, villages and townships to pay minimum wages and benefits, called prevailing wages, to construction workers on projects exceeding a certain cost.

Huffman plans to introduce a bill next week that would allow jurisdictions to decide whether they pay prevailing wages and for what projects. He said the bill has the support of the Ohio Municipal League and Ohio Association of County Commissioners.

The Affiliated Construction Trades of Ohio, which represents Ohio’s skilled trades, opposes the idea.

Executive Director Matt Szollosi said Huffman’s proposal would cause drive more work to out of state contractors who pay their employees less. Szollosi said that would drive down participation in trade apprenticeship programs, are funded with a portion of hourly pay.

“Labor costs are 23 percent of overall costs so the notion that you can elicit significant savings on the labor side by cutting wages and benefits for workers is unfounded,” Szollosi said.

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