Projects paying the prevailing wage create local jobs because they are more likely to employ local residents. States that maintain prevailing wages ensure that local contractors and local residents can compete for the work their hard-earned tax dollars fund.  Local contractors bid on quality and productivity and out-of-state contractors don’t bring in a low-wage workforce that take jobs from local construction workers.

Common construction wage projects also directly support local training programs. These programs give local residents an entry point into a career in the building trades, and the people who benefit the most often come from communities surrounding prevailing wage projects. Others who benefit are our veterans, many returning from active duty in Iraq and Afghanistan. Through the Helmets to Hardhats program, these men and women receive the necessary training to successfully re-enter the civilian workforce. They learn skills that pay a wage such that they can support themselves and their family after serving their country. As government money for the Helmets to Hardhats continues to become less reliable, it’s more important than ever to maintain common construction wage jobs that support these programs.

Training programs also offer opportunities to young people, especially those unable or uninterested in pursuing a college degree. These training programs are open to anyone willing to learn a skilled trade and work hard. On-the-job training prepares them for a productive career, one that allows them to learn while they earn. The training programs also team with colleges to offer college credits for apprenticeship training. Once they graduate, these young people work to receive a wage adequate for supporting a family and contributing to their home community.

Prevailing wage is directly linked to job creation by generating jobs for local construction professionals, giving people an opportunity to learn a skill, earn a living, and support a community.

“My job for the Marines is construction, and the Helmets to Hardhats programs give me the opportunity to advance my skills doing work I can be proud of for the citizens I serve.  The common construction wage supports training programs which have helped me find work and make a good living.”

“The prevailing wage, also known as common construction wage, supports skilled workers that build quality, safe schools for our children.  These schools are often built on time and within budget, making them not only a benefit for Hoosier children but a good investment for taxpayers.”

-Daniel Tanoos, Superintendent, Vigo County School Corporation

Source: BuildingStrongCommunities
High skilled workers finish projects on time and build quality roads and buildings meant to last – leaving tax payers with no cost overruns and lower maintenance costs over time. Projects built with common construction wage protect the taxpayers’ investment for several reasons. Productivity is the driving force behind the cost of construction. The high level of training and efficiency among common construction wage workers save taxpayers costly delays and errors. Skilled construction workers on prevailing wage projects are on average 15% more productive than less skilled workers on non-common construction wage projects. Workers are more productive while building a higher quality product that saves taxpayers in maintenance costs. Without prevailing wage policies, taxes would increase for residents.

Common construction wage jobs directly support privately funded training programs that prepare folks for successful middle class careers. In Indiana alone, the total support is about $42 million a year of private funds.  Without prevailing wage, this support would disappear and taxpayers would be on the hook to pay to train the labor force. In addition, typical workers not paid the common construction wage are eligible for thousands of dollars in public assistance, which costs taxpayers for additional reliance on cash assistance, food stamps, and healthcare – taxpayers don’t save, they subsidize.