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| Wisconsin lawmakers are in talks to potentially repeal the state's prevailing wage law. Image: Shutterstock |
Republican
lawmakers in Wisconsin are moving to repeal Wisconsin’s prevailing wage law,
which ensures that construction work is paid at a decided upon rate across the
state. Supporters argue that the market should determine the wage and that
repealing the law would save money.
Those against say that the law is necessary to make sure workers are
paid a fair wage that makes them competitive with out-of-state companies.
“You get what you
pay for,” said
Senator Bob Wirtch, D-Pleasant Prairie, noting that the current law
requires local and state governments to pay a wage determined by the Department
of Workforce Development to anyone working on a public works project. The wage is determined by a formula based on
data collected from employer surveys, wage rates, and benefits packages.
Republicans are
split on how to move forward with the law, sponsored by Senator Leah Vickmir,
R-Wauwatosa, and Representative Rob Hutton, R-Brookfield. Assembly Speaker Robin Vos, R-Rochester, says
there currently aren’t enough votes to pass the law as is and suggests amending
the existing law based on Governor Scott Walker’s budget.
However, a hearing
has been scheduled, as has a committee vote by the end of the week.
The question stymying
some lawmakers is whether or not repealing the law (or making changes) would actually
result in financial savings. Democrats
also argue that without the prevailing wage law, the quality of construction
work would suffer.
“[The bill] would
destroy the stability of our industry…and create a vicious race to the bottom,”
said Peter James, president of the Fennimore-based H. James & Sons
Construction, Inc.
However, John
Mielke, president of the Wisconsin chapter of Associated Builders and
Contractors, a national industry association, said that even without the
prevailing wage law, job standards and safety regulations would still apply and
assure quality.
At this point it seems likely that the bill will be killed
on the Senate floor, but the final results remain to be seen.
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