Posts tagged Associated Builders and Contractors

    Opinion: Construction Unions Face Fork In The Road: Shrink Or Seize The Moment

    February 16, 2024 // “This is the best shot the unions have had in decades,” said Joshua Freeman, a Queens College, City University of New York history professor. “There’s low unemployment, a sympathetic administration, an infrastructure ramp and sympathetic public attitudes. Lots of things are going in the right direction for unions.”

    The Impacts of Chevron Deference on Labor and Industry

    February 7, 2024 // The Amicus brief alleges that the Chevron doctrine has enabled the NLRB’s “unworkable track record of frequent flip-flopping,” due in part to a consistently changing Board. According to the filing by CDW, “the Board’s membership is subject to frequent and continued change, and whenever a new Board majority disagrees with a prior precedent, it often overrules that precedent.” Additionally, “it is customary (though not mandated by statute) that no more than three of the five members will belong to the President’s political party.” This means each President can guarantee a majority of the Board will share his ideological priorities. The CDW argues this has created instability as rules are constantly changing with each new Board.

    Biden Takes a Destructive California Idea National

    February 4, 2024 // The Biden administration appears undeterred by the lessons of recent history. The California law unleashed chaos in the state’s politics and courts. Politicians delegated to union leaders the power to hand out exemptions to politically favored groups. Lawyers, doctors, psychologists, dentists, podiatrists — almost anybody with an advanced degree was exempt. When newspapers editorialized against the new law — noting that they rely on freelance photographers, reporters, editors, designers, and delivery people — they, too, were excluded from the new regulations. Suddenly free from the dead hand of state regulators, the newspapers turned as one and editorialized in favor of the new law. A federal judge said the process was shot through with “corruption,” “backroom dealing,” “pure spite,” and “naked favoritism.” But more important, A.B. 5 crushed tens of thousands of California business owners — those who operate as independent contractors as well as those who employ or otherwise rely on them. Now Biden and Su plan to bring the crazy to every American state.

    Biden’s New ‘Prevailing Wage’ Rule Will Cost Taxpayers, Benefit Unions, and Hike Inflation

    August 18, 2023 // Actually, the changes are a significant step backward. Biden is effectively undoing a major change made by the Reagan administration—changes that were made, fittingly, to help combat inflation. That change, made in 1982, repealed the "30 percent rule" that guided the process for determining what wages would be paid on which projects. Under the 30 percent rule, the prevailing wage for any particular area would be based on the highest wages paid to at least 30 percent of workers within the same area. You don't need an advanced degree in accounting to see how that mandate could artificially hike wages on federal projects. The government barred itself from even considering bids that might pay average wages, thereby obligating taxpayers to pay more than they might have had to in an open market.

    ABC: Final Davis-Bacon Rule Undermines Taxpayer Investments in Infrastructure

    August 9, 2023 // “The final rule comes in the midst of challenging economic conditions facing the construction industry, including high materials costs and a skilled labor shortage of more than half a million in 2023,” said Brubeck. “The onerous new requirements and artificial inflation of construction costs imposed by this rule will only exacerbate these headwinds and undermine taxpayer investments in infrastructure.” ABC submitted nearly 70 pages of comments on the DOL’s proposed rule, and its more than 50 significant changes, urging the DOL to withdraw the proposal. The 1931 Davis-Bacon Act and related regulations require contractors and subcontractors that perform work on federal and federally funded construction projects of $2,000 or more to pay a government-determined prevailing wage and benefit rate on an hourly basis to on-site construction workers. According to the DOL rulemaking, the Davis-Bacon Act and 71 active Related Acts collectively apply to an estimated $217 billion in federal and federally assisted construction spending per year—about 63% of all government construction put in place—and provide government-determined wage rates for an estimated 1.2 million U.S. construction workers. The Congressional Budget Office estimates that repealing the 1930s-era Davis-Bacon Act would save the federal government $24.3 billion in spending between 2023 and 2032. A May 2022 study found that the Davis-Bacon Act costs taxpayers an extra $21 billion a year, increases the price tag of construction projects by at least 7.2% and inflates construction workforce wages by 20.2% compared to local market averages if the DOL calculated prevailing wages using modern and scientific methodology via the U.S. Bureau of Labor Statistics.

    In Philly, VP Harris details new labor rules for federal construction projects

    August 9, 2023 // Vice President Kamala Harris, on Tuesday, visited Philadelphia to announce changes to labor rules that could give higher wages to construction workers on federal projects. At the headquarters of labor union DC 21, in Northeast Philly, Harris detailed the Labor Department's first update in decades to the Davis-Bacon Act of 1931, a law that requires the payment of prevailing local wages on public works.

    Opinion Project labor agreements are not right for Prince George’s new schools

    July 10, 2023 // A debate has arisen over the use of project labor agreements (PLAs) on the construction of six new schools in Prince George’s County. But PLAs, which require union construction crews, are not the solution for Prince George’s County. PLAs are government mandates that exist exclusively as a method for public officials to steer tax dollars to organized labor. Most local businesses, particularly those owned by racial minorities, cannot work on projects covered by PLAs. These businesses risk financial ruin in the form of exorbitant pension withdrawal liabilities by agreeing to the terms of PLAs. Consider the case of a trucking company in New Jersey that unwittingly agreed to work on a PLA project and, years later, was hit with a demand from the union’s pension fund for $700,000 — more than twice what the company earned on the project.

    Taxpayer-funded union dues: California’s toxic idea is spreading

    May 30, 2023 // The Bureau of Labor Statistics reports the share of wage and salary workers who belong to unions was 10.1% in 2022, down from 10.3% in 2021. In fact, the 2022 membership rate was the lowest on record; in 1983, the first year for which comparable union data are available, it was 20.1%. Former union members are voting with their feet to leave, forcing union leaders to scramble to entice workers to stay — on the taxpayer’s dime. SEE ALSO Union bosses are still making boatloads of money, even if their ranks are dwindling. Union bosses rake it in, even as their ranks shrink It’s much easier to lure someone into your club when innocent bystanders are footing the bill.

    Michigan could become first state in nearly 60 years to ditch ‘right-to-work’ law

    January 13, 2023 // Michigan was not the first state to enact right-to-work. But it is a state steeped in labor history now poised to become the first state in nearly 60 years to ditch such a law, with Democrats controlling the executive and legislative branches of state government for the first time in four decades.

    Rideshare, retailers brace for tough U.S. independent contractor rule

    September 28, 2022 // The meetings at the White House were one-sided, with officials at OIRA letting groups speak and not participating or asking follow-up questions, several employer sources said. They are interpreting that as a sign the Biden administration's mind is made up. Some of the groups have been trying, and failing, to convince the White House that any broad rule would hurt workers who want to remain independent and have flexibility...More than one-third of U.S. workers, or nearly 60 million people, performed some sort of freelance work.