Prevailing Against Prevailing Wage

Law forces taxpayers to spend millions more than necessary on state projects

Legislation has been introduced to repeal the state’s prevailing wage law, according to The Saginaw News.

Paul Kersey, director of  labor policy, testified before the Michigan Legislature recently that the state’s prevailing wage law costs taxpayers an additional $200 million to $250 million a year because the law requires union-scale wages be paid on all construction projects involving public money — even if the lowest bidder is not a unionized company.

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State Reps. Amanda Price, R-Park Township, and Peter MacGregor, R-Rockford, wrote recently in the Holland Sentinel that research by Mackinac Center analysts show the law forces the state to spend 10 to 15 percent more on constructions projects — including schools — than necessary.

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