Thursday, June 11, 2015

Michigan's prevailing wage law is a union price fixing protection racket

Ken Braun: Michigan's prevailing wage law is a union price fixing protection racket | MLive.com
As suggested (predicted?) in this space back in January, supporters of repealing Michigan's prevailing wage law have decided to hit the streets to obtain signatures for a proposed citizen-initiated law that would allow state lawmakers to repeal prevailing wage without the support of the governor (who is not supportive of repeal.) 
If the would-be repealers obtain enough signatures, but fall short of votes in the Michigan Legislature, then the proposal would head to the general election ballot for all voters to decide.
The prevailing wage law is just a fancy price fixing protection racket for unions. 
Whether a big business or small homeowner, most of us are permitted to hire the best construction contractors we can find at the best prices, just as we buy everything else. 
But when state government wants work done, state law requires a winning bidder to pay union-scale wages and benefits - the so-called prevailing wage.
If there's a qualified non-union general contractor or electrical contractor who can do the work just as well for a better price, Michigan taxpayers are effectively required to pay more. 
By artificially cutting off the full range of potential bids, the prevailing wage law raises prices. 
Michigan is one of just eight states with a law so skewed toward union contractors.
Michigan's Big Labor bosses are not eager to let the marketplace put that extra loot back in the hands of taxpayers. 
The protectors of union price hikes have organized their opposition under a group called 'Michigan Prevails,' and pledged to prevent repeal by educating the public.
The education is off to a shaky start..."

No comments:

Post a Comment