Legislation to repeal Michigan’s prevailing wage law has been introduced in Lansing. Senate Majority Leader Arlan Meekhof says the prevailing wage laws are an unnecessary burden on schools and local communities and taxpayers should not have to pay more for improvements to schools and city buildings.
It shows folks that we are open for business in Michigan and it’s going to be competitive,” Meekof says. “If you can do the best job and meet the standards of the construction prospect, be it a school, or a government building, a post office or any of those things, that you would be able to compete and you would give the best price to the consumer, which ultimately is the taxpayer in Michigan.”
Meekhof says the law raises construction costs by 10 to 15% by requiring contractors to pay the union wages in an area when they are working on a project funded by the government. The Senate passed the legislation in the last session, but it died in the House where former Speaker Kevin Cotter was on board with Governor Snyder in not wanting to pass the bills.