STATEHOUSE GOP WILL MOVE ON CHANGING WV'S PREVAILING WAGE LAW

(12/18/2014)
The new Republican majority in the next legislative session hope to roll back West Virginia's longstanding prevailing wage law.

The prevailing wage law, based on hourly wages, calls for contractors to charge a prevailing wage in their district, essentially based on union wages.

"It should be eliminated across the board," said state Sen. Craig Blair, R-Berkeley.

The law, which has been in existence since the 1930s, requires a wage set for all workers, such as carpenters, painters and electricians, on construction projects to ensure that all receive a uniform pay rate and benefits for the type of work they perform.

The labor department sets the wages by performing an annual survey of both union and non-union contractors.

"The way the labor department manages the surveys is totally inaccurate," said Chandler Swope, co-founder of Swope Construction.

Swope said the labor department technically follows the law but it does not represent the actual prevailing wages.

"Prevailing wage is a political payoff because unions get to set pay rates," Swope said.

Dropping it, "It will create jobs and job opportunities," said state Sen. Bill Cole, R-Mercer. Cole was recently nominated by his party to serve as the next Senate president.

"It's generally accepted that prevailing wage projects cost more money than going to the market. We're spending taxpayers' dollars when we do this," said Cole. The economics of prevailing wage laws have been studied meticulously. Each year, dozens of reports are published throughout the country on the subject, pro and con.

Steve White, director of the 20,000-member Affiliated Construction Trades, sees things differently, saying "The state's prevailing wage law is good for taxpayers."

"We think the prevailing wage is good for local businesses and contractors, good for workers and encourages skills and training," White said.