An
article in last Wednesday's City Pulse reveals that nearly
all the candidates in Tuesday's primary are defenders of
prevailing wage.
Virg Bernero "says an
indication of his support for prevailing wage" is that "the
city is in the process of appealing a Circuit Court decision
. . . from November that struck down its prevailing wage
ordinance, which applies the standard to city-funded
construction projects." Mayoral
candidate Harold
Leeman Jr. agrees that the matter should be worked out in
advance if tax incentives are involved. (Whatever
that means.)
Among the at-large candidates, Kathie
Dunbar and Brian Jeffries support prevailing wage. Jeffries is
"looking for consensus between business and labor." (Good
luck with that.) Judi Brown Clarke "sees the Council’s role
as one of a 'mediator' between business and labor." (I don't
quite see how that would work.) Keith Smith says such
requirements should be a ““mutual agreement” between the two
sides. (Does that mean no prevailing wage if the contractor
doesn't want it?)
Fourth ward
candidate Chong-Anna Canfora says “I strongly support
prevailing wage.” Her opponent Jessica Yorko says
"prevailing wage is important for preventing a 'race to the
bottom' when it comes to wages."
Only Bert
Carrier Jr., a 4th Ward candidate, comes out clearly against
prevailing wage. "[H]e . . . prefers a “free-market
approach,” which means “aggressively” bidding out projects
and that 'prevailing wage shouldn’t be the No. 1 factor that
the city’s looking at when trying to bring development into
the city.'
As I see
it, there are four groups who either gain or lose with a
prevailing wage requirement:
-
There
is the union contractor who gets the job by bidding
lower than other union contractors. He does just fine.
-
There
is the non-union contractor whose employees are paid
less than the prevailing wage and therefore excluded
from the bidding process. He loses, as do his employees,
who are out of work or working at a wage even less than
they would have got had this contractor's low bid been
accepted.
-
There
are the people of Lansing, along with the people who
work in Lansing, who either pay more taxes or get poorer
city services because of the premium paid to that union
contractor.
-
And
there are the city politicians who win the support of
organized labor by embracing prevailing wage
requirements. Union support is great for a politician to
have because unions make campaign contributions and they
have access to their membership and can at least attempt
to guide their votes.
So far in
this election, 4th ward candidate Chong-Anna Canfora is the
only one to get contributions from union PACs. See campaign
contribution details for all candidates
here.
Here is the
City's prevailing wage ordinance:
|
206.18. - Prevailing
wage and benefit standards prescribed. |
|
|
(a) |
No contract, agreement
or other arrangement for construction on behalf of
the City and involving mechanics and laborers,
including truck drivers of the contractor and/or
subcontractors, employed directly upon the site of
the work, shall be approved or executed by the City
unless the contractor and his or her subcontractors
furnish proof and agree that such mechanics and
laborers so employed shall receive at least the
prevailing wages and fringe benefits for
corresponding classes of mechanics and laborers, as
determined by statistics compiled by the United
States Department of Labor and related to the
Greater Lansing area by such Department.
|
|
|
(b) |
Any person, firm,
corporation or business entity, upon being notified
that it is in violation of this section and that an
amount is due to his, her or its employees, shall
have 30 days from the date of the notice to pay the
deficiency by paying such employee or employees,
whichever is appropriate, the amounts due. If the
person, firm, corporation or business entity fails
to pay within the 30-day period, he, she or it shall
be subject to the penalty provided in
Section 206.99 |
|
|
(c) |
The provisions of this
section shall be inserted in all bid documents
requiring the payment of prevailing wages. |
|
|
(d) |
The enforcement agency
for this section shall be as determined by the
Mayor. |
Lansing's prevailing wage
law is currently "in limbo" according to
this article in the City Pulse. |