The prevailing wage law requires paying the local wage and benefit rate usually union scale on state-financed construction of schools, university dorms and other public works projects. Essentially, proponents argue that State and local governments stand to save millions of dollars by avoiding the payment of artificially inflated, above-market wages. "It's long past time we get back to our roots," said bill sponsor state Rep. Regina Weiss, D-Oak Park. The repeal will only impact new contracts for state-funded projects entered into on or after June 6, 2018. The Michigan Senate took a final vote on the bill to repeal the right-to-work law for private employers and sent the measure to Gov. The move mirrors what Republicans did in 2012 when they passed right-to-work. 2018 Associated Press. "It will only cost our state in the long run," said Sen. Curtis Hertel Jr. of East Lansing. Rick Snyder, who opposed repeal in large part because his administration has been focused on increasing skilled trades careers. These same proponents believe that the money likely to be saved by repealing the Prevailing Wage Law could be used to fund more projects for more workers. All rights reserved. More:Michigan Supreme Court gives boost to prevailing wage bill, More:These privatization, right-to-work bills would affect state employees, The House of Representatives also narrowly voted 56-53, mostly along party lines, to repeal the law. The House on Tuesday also approved two other labor bills in the package, one House bill that helps to require union-rate wages for public construction jobs and another bill that would repeal right-to-work for public sector employees. GOP legislators pushed back against the idea that they were denying the public a voice. Free Press staff writer Arpan Lobo contributed to this article. All the other Republicans in the House and Senate voted for the repeal, This isnt just about money, its about Michiganders being able to make it. In a signature victory for small businesses across the state, Michigan's Legislature repealed the state's 53-year-old prevailing wage law, a measure that drove up the costs of publicly funded building projects. The States repeal of its Prevailing Wage Law does not impact the Federal Davis-Bacon Act, which requires that contractors pay laborers a minimum amount based upon the local prevailing wage for all contracts involving federal projects in excess of $2,000 to which the government is a party. Clara Hendrickson fact-checks Michigan issues and politics as a corps member with Report for America, an initiative of The GroundTruth Project. However, it remains possible that the Legislature may move to final adjournment on/before July 1 to move up the effective date of several of the bills theyve passed. Enacted in 1965, Michigans Prevailing Wage Law required that any construction firm securing state-funded projects pay laborers union-scale wages and benefits. Michigan lawmakers were poised to take up legislation late Wednesday to repeal Michigan's right-to-work law that allows workers in unionized jobs to opt out of paying union dues and fees. Rep. Abraham Aiyash, D-Hamtramck, argued the legislation restoring prevailing wage for state contracts "pays the workers what they're worth. Contact her at chendrickson@freepress.com or 313-296-5743. Make a tax-deductible contribution to support her work at bit.ly/freepRFA. Rick Pluta is Senior Capitol Correspondent for the Michigan Public Radio Network. Republicans repealed Michigan's prevailing wage law in 2018. Michigan lawmakers repeal right-to-work, revive prevailing wage March 14, 2023 05:45 AM. 0:04. 1:04. We'd have low quality cutting us out. First published on June 7, 2018 / 7:42 AM. Both Right to Work bills include a $1 million in appropriations to make the legislation referendum-proof, a maneuver that Gov. On June 6, the Michigan state Legislature repealed the prevailing wage, a law that promises union-level pay on public construction projects. "Were debating a bill that will only provide benefits to the people who receive the money at the expense of the taxpayer.. The skilled trades make sense for veterans because they have the same structure, focus on the mission and constant training.. All rights reserved. Michigan Legislature - Act 166 of 1965 10 0 obj
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Whitmer as early as next week. Michigan's law was intended to put union and nonunion labor on an equal footing in competing for state construction jobs. Our right to work law empowers people to choose good careers without fearing they could lose their jobs if they dont pay a union, and these protections guarantee workers job security and greater accountability over their representation.. Before its repeal, the States Prevailing Wage Law assured that laborers were paid fairly for the work performed. a``` Republicans who joined all the Democrats voting no included: Reps. Joseph Bellino of Monroe; Gary Howell of North Branch; Martin Howrylak of Troy; Steve Marino of Mt. Gretchen Whitmer signed into law Friday Democratic bills to repeal Michigan's right-to-work law that currently allows workers in the state to not. What to know, Michigan to receive $1.5B to extend internet to 210,000 in rural areas, College grads: We left Michigan for jobs. Both were key priorities announced after Democrats took control of the Legislature this year. Your journalism is outstanding and rare these days. - Mark S. Even so, he said then, hes not actively lobbying lawmakers to vote against it: Ive made my opinion known, and so legislators can look at that.. Other GOP lawmakers called the law a government-mandated "carve-out" and a "price-fixing scheme.". They said the law helps fund union training that is important from a business perspective and for the safety of 170,000 workers in the industry. The votes Tuesday were significant for the labor movement nationally, said Ron Bieber, president of the Michigan American Federation of Labor and Congress of Industrial Organizations (AFL-CIO). View our full press release and a joint statement with the Michigan Manufacturers Association for more information. Michigan House passes right-to-work repeal, prevailing wage restoration Democrats on the committee also moved a bill to restore Michigan's prevailing wage requirement for wages and benefits paid at union rates for public construction projects. All 10 Democrats were joined by four Republicans in opposing the prevailing wage repeal, including Sens. . Michigan Legislature Repeals Prevailing Wage - IBEW Michigan's GOP-majority House and Senate adopted a citizen petition to repeal the state's more than 50-year-old prevailing wage law, which generally requires union-scale wages and benefits be paid on state construction projects. "The best workers in the state will be forced to leave at a time when we need all our workers the most," predicted Jirmere Moses, business representative for Michigan Laborers Local 1191. Please contact Wendy Block with questions at wblock@michamber.com. Thestate Board of Canvasses certified that 262,736of those were from valid registered voters. In 2021, though, Governor Gretchen Whitmer announced Michigan would make prevailing wage a condition of winning state contracts. Let me remind you that carveout takes away money from our schools, that carveout takes away money from our roads and that carveout picks winners and losers.. Union activists scored a major victory Tuesday when Michigan Democrats voted again to repeal "right-to-work" in Michigan and reinstate the state's prevailing wage law, sending the legislation to Gov. In 2012, Republican lawmakers made Michigan a right-to-work state, a move that brought thousands of protesters to the Capitol. Both Right to Work bills include a $1 million in appropriations to make the legislation referendum-proof, a maneuver that Gov. Republicans repeal Michigan prevailing wage law - The Detroit News The prevailing wage likely became whatever the local unions had negotiated for their members, regardless of whether the contractor who performed the work was a union employer. Though Gov. YLv z5 Most Michigan employees are not covered by unions. Projects paying prevailing wagescost 10-15% more than if it was built by the private sector, said Senate Majority Leader Arlan Meekhof, R-West Olive, who has introduced the bill to repeal in every legislative session. "These are our constituents, and while not all of us are part of a union, all of our families certainly are taxpayers," he said. Reinstating Michigans prevailing wage law means all publicly funded construction projects must pay union-level wages and benefits, regardless of their individual skill level or productivity. You can support business, you can support workers at the same time.". As a legislative ballot proposal, it first goes to the Legislature for the first shot at adopting it. And other Democrats predicted dire consequences for Republicans at the ballot box in November. Republicans blasted the Democrats plans. For the first time in over 50 years, the heavy hand of government favoritism will no longer overcharge Michigan taxpayers to build their schools and public buildings, said Jeff Wiggins, president of the Protecting Michigan Taxpayers ballot committee, which wanted the Republican-led legislature to handle the repeal. A November 2022 poll of Michigan voters shows strong support of our Right to Work law. Reinstating Michigans prevailing wage law means all publicly funded construction projects must pay union-level wages and benefits, regardless of their individual skill level or productivity. The Legislature passed a voter-initiated measure today to get rid of the law., A partisan split on a state election board has stalled a petition drive to outlaw prevailing wage rules in Michigan. Michigan Supreme Court gives boost to prevailing wage bill, These privatization, right-to-work bills would affect state employees, Your California Privacy Rights / Privacy Policy. In order for this information to be accurate and unbiased it must be underwritten by its readers, not by special interests. - Larry S. Not many other media sources report on the topics Bridge does. - Susan B. Whitmer's reinstatement of Michigan's prevailing wage draws rebukes What would restoring Michigan's prevailing-wage law do? | Crain's The prevailing wage reinstate legislation can be viewed HERE. Each of the right-to-work bills and the prevailing wage legislation include appropriations that will make them referendum-proof. Opponents of prevailing wage, which has been repealed since 2018, have generally argued it artificially raises the cost of state construction jobs. In addition, states are still required to pay laborers the prevailing wage on certain contracts for which the state receives federal funding, such as contracts for highway construction. Both sides have data that back up their arguments. The repeal will take effect immediately but not affect existing contracts. He has been covering Michigans Capitol, government, and politics since 1987. But the directive did not apply to prevailing wage requirements for public school construction projects. She said in committee testimony the law has undercut wages and benefits for the state's workers. Get browser notifications for breaking news, live events, and exclusive reporting. The vote was blasted by Democrats and union-backed labor groups, who shouted angrily in the chamber after the vote tally was read. Today, 28 states have Right to Work laws. Unions are required by federal law to represent all those who belong to collective bargaining units, regardless of whether members pay dues. Michigan Legislature Repeals State's Prevailing Wage Law The debate over prevailing wage is, in many ways, a debate about organized labor. 1:04 Michigan Gov. Democratic lawmakers repeatedly noted that when Republicans passed right-to-work last decade, they didn't hold hearings to solicit public input on the legislation. "You don't have to choose to support business and then also choose to screw over workers. Related:Michigan Republicans wont pass marijuana bill. At the outset of her first term, Whitmer promised to veto legislation that circumvents the referendum process. 0:00. Michigans nonpartisan, nonprofit news source, Records: Wentworth secured $6.8M grant to dredge lake where former aide lives, Michigan Republicans repeal prevailing wage law, The Senate adopted the petition by a 23-14 margin. GOP lawmakers bemoaned the process Wednesday, calling it rushed to report the bills to a House vote the same day the committee heard testimony.