Prevailing Wage

Prevailing wage standards support blue-collar construction workers employed on public works projects. Prevailing wage is essentially a minimum wage for different types of skilled construction workers on taxpayer-funded projects, requiring that construction contractors pay no less than the “prevailing” wage and benefit rates for similar work in the local area where public projects are to be completed. The purpose of prevailing wage is to level the playing field for all contractors by ensuring that public expenditures reflect local market standards of compensation and craftsmanship.

Prevailing wage levels the playing field for contractors and strengthens the economy.

Prevailing wage produces up to a 10% increase in hiring of local contractors and workers
After repeal in Wisconsin, 60% more state highway contracts went to out-of-state contractors
Prevailing wage keeps more tax dollars and more income in communities where projects are built

Prevailing wage attracts, develops, and retains skilled workers and improves worksite safety.

Apprenticeship enrollments are 7% higher in states with prevailing wage.

On-the-job fatalities are 14% lower in states with prevailing wage.

Construction worker productivity grew 5% slower after repeal in Indiana.

Prevailing wage promotes ladders into the middle class.

Prevailing wage is the best value for taxpayers.

Prevailing wage reduces construction worker poverty by 3% and food stamp reliance by 3%.

83% of peer-reviewed studies conducted since 2000 find that prevailing wage has no effect on total construction costs.

“We got rid of prevailing wage and, so far, it hasn’t saved us a penny.”

–Rep. Ed Soliday, Assistant Republican leader in the Indiana House.

Prevailing wage builds quality infrastructure and strong communities in Illinois.

Prevailing wage boosts the economy by over $1 billion annually.
Prevailing wage expands home ownership to 3,000 Illinois construction workers.
A strong Illinois is built locally with highlytrained workers.

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