The Impact of Oregon’s Prevailing Wage Rate Law
Effects on Costs, Training, and Economic Development
Authored by Lina Stepick, Ph.D. and Frank Manzano IV, M.P.P.
A recent study by the Labor Education and Research Center (LERC) and the Illinois Economic Policy Institute highlights the positive effects of Oregon’s Prevailing Wage Rate law. The research shows that the law does not raise construction project costs, but it does enhance bid competition, increase the number of contracts awarded to local firms, and improve both wages and access to health insurance for workers
Oregon’s Prevailing Wage Rate Law supports the creation of 5,400 jobs, boosts Oregon’s economy by $752 million, and generates $35 million in state and local tax revenues every year.
This study also that strengthening the Oregon law to align with Washington state’s prevailing wage law, would annually boost total construction worker incomes by an additional $100 million, extend health insurance coverage to 1,800 construction workers, lift 1,200 construction workers out of poverty, and improve state tax revenues by $10 million.
