Prevailing wage laws are based on the principle that taxpayer money should not be used to undercut the standard of living in a local community.
The Davis-Bacon Act, in fact, was drafted by a Republican Congressman and Republican senator, and signed by a Republican president, specifically for that purpose. It is designed to prevent unscrupulous contractors from winning bids by importing low-wage labor from outside the community.
Minnesota's law dates back only to 1973. The last major evaluation of its effectiveness was conducted in 1998 by the Department of Labor and Industry. That study, during the administration of Republican governor Arne Carlson, concluded: "…Not only is the prevailing wage legislation doing what it was intended to do, but absent such a provision, the effects are harmful to the industry and local economy."
Adapted from Lakes and Plains Carpenter magazine, the official publication of the Lakes and Plains Regional Council of Carpenters.
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