A Word from League Sponsor: UA Local 469 Arizona Pipe Trades
Prevailing Wage Laws in Arizona: Boosting Communities and Supporting Workers
Prevailing wage laws, which ensure that workers on publicly funded construction projects are paid fair wages consistent with local labor market conditions, have the potential to provide significant benefits to communities and workers in Arizona. Many cities and town that manage projects that are funded with federal tax dollars already pay prevailing wage on these projects in accordance with Davis-Bacon and Related Acts regulations. Extending these policies to cover municipally funded projects is the next logical step and demonstrates that cities and towns are committed to quality jobs and fair pay for skilled workers who strengthen their communities.
Prevailing Wage Laws Are Legal in Arizona
UA Local 469 Arizona Pipe Trades has been working with the other member unions of Arizona Building and Construction Trades Council to encourage elected leaders to adopt prevailing wage policies. Opponents of prevailing wage policies have argued that it violates Arizona law, but Attorney General Kris Mayes and her staff looked into the issue and determined that prevailing wage laws are legal.
“A city may regulate the minimum wages paid within its geographic boundaries under Arizona Revised Statutes § 23-364(I), so long as those wages are not less than the statewide minimum wage. This authority includes the ability to require that employees of contractors on local public works projects be paid not less than the prevailing wage.” [Opinion Number I23-004 (R23-009) Thursday, June 15, 2023, Regarding Municipal and county authority to enact an ordinance requiring that public works contractors pay employees at least the prevailing wage.]
Prevailing wage laws promote economic stability, workforce development, and worker well-being while ensuring transparency in government spending. Taxpayers can trust that their funds are used to pay fair wages and support local workers, fostering public confidence in government spending.
Prevailing Age Laws Are Good for Communities
Implementing prevailing wage laws in Arizona would foster economic stability by ensuring that construction workers receive fair wages that reflect local wages. When workers earn wages that reflect their training and skills, they have more money to spend in their communities, supporting local businesses, boosting economic growth and enhancing local tax revenue.
Keep it local! Communities with well-maintained infrastructure and a skilled workforce are more appealing to businesses and investors. Prevailing wage laws can create an environment that draws economic investment, further promoting community development. Prevailing wage laws encourage the hiring of local workers on construction projects, reducing unemployment rates in the community. This local job creation bolsters the workforce, promotes community resilience, and strengthens the local labor market. Workers and their families are able to live in the communities they build and support local businesses, including restaurants, shops, and service providers. This can lead to the growth and sustainability of local businesses, enhancing the community’s overall economic health.
Prevailing Wage Laws Address Workforce Development
Addressing the shortage of skilled construction workers in our state has been a focus for elected leaders, businesses and communities for a while. As more large corporations look at building and expanding operations in Arizona, the demand for skilled workers will grow. By offering competitive wages, prevailing wage laws incentivize individuals to pursue careers in the construction industry. This, in turn, contributes to the development of a highly skilled and sustainable workforce by supporting quality job training programs such as registered apprenticeships. In addition, such policies can help create safer working conditions by ensuring that workers have access to proper training and safety equipment. Reduced workplace accidents and injuries enhance worker well-being and public safety.
Build it right, on time, and on budget. That’s the goal of every construction project, and prevailing wage policies can make that goal a reality. Fair wages attract skilled and experienced construction workers to public projects, leading to higher quality work. Well-built infrastructure benefits the community by ensuring safety, durability, and long-term functionality. Stable wages reduce worker turnover in the construction industry, resulting in smoother project execution, fewer delays, and better cost management.
Now Is the Time for Prevailing Wage to Become the Law in Arizona
It’s time for Arizona to show workers that they are valued. It’s time for Arizona to join its neighbors in Colorado and New Mexico and implement prevailing wage laws. The potential to create more equitable, prosperous, and well-developed communities will benefit both workers and the broader community.
UA Local 469 Arizona Pipe Trades is a proud sponsor of the League of Arizona Cities and Towns Conference. To learn more about the work they do, click here.
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