Bad legislation often hides in “tweaks” and what sponsors call “housekeeping” measures. Oregon House Bill 2419 and Senate Bill 493 are two examples. With just a few words, the bills tweak Oregon’s formula for calculating prevailing wages throughout the state. Their results would increase costs for nearly every public works project in the state with no end in sight.
The prevailing wage is the rate of pay and benefits that contractors and vendors must offer their employees when a government agency funds the project. Currently, Oregon’s prevailing wages are based on an independent wage survey conducted by the state’s labor commissioner.
HB 2419 and SB 493 propose a radical departure from current policy. Every region’s prevailing wage will be based on the highest wage rate among collective bargaining agreements in the region. In other words, every contractor would have to pay the same wages as the highest collective bargaining agreement in each region.

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