Compromise Between Business and Labor Organizations Brings a Change to Prevailing Wage Law to Make School Construction Projects More Affordable (HB 34)

There are many schools in rural areas of Missouri that have
put off needed repairs because the labor costs associated with the work
unaffordable. The primary reason for these abnormally high labor costs is our
state’s prevailing wage law that determines how much workers on public works
projects must be paid. The problem is that in rural counties the prevailing
wage is often much higher than the actual average pay for the area.

To help many of our rural schools proceed with repair
projects, we approved legislation this week that would change the way these
wage requirements are calculated for projects in rural areas. Without getting
into too much detail, the bill would create a new method for determining the
prevailing wage that would bring it much closer to the actual wages that are
typically paid in the area. It’s a change I think is the right thing to do for
the many schools in our rural areas, and something that will help them in being
able to afford some of the projects they have put off for too long without
affecting the wages of the entire state.

The bill now goes to the governor to be signed into law.