Harris Says New Rule Means ‘Raise’ for Construction Workers

Vice President Kamala Harris speaks during the conclusion of the Investing in America tour at Coppin State University in Baltimore, Md., on July 14, 2023. (Saul Loeb/AFP via Getty Images)

Vice President Kamala Harris announced on Aug. 8 a change in labor rules that could result in higher pay for workers on federal construction projects.

This development is under the Davis-Bacon Act of 1931 that pertains to “contractors and subcontractors performing on federally funded or assisted contracts in excess of $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works,” according to the Department of Labor.

Under the new rule, “contractors and subcontractors must pay their laborers and mechanics employed under the contract no less than the locally prevailing wages and fringe benefits for corresponding work on similar projects in the area,” according to the Department of Labor.

The last time labor rules were updated was under President Ronald Reagan in 1983.

“As a result, many workers are paid much less than they deserve. Much less than the value of their work, and not just by a little. In some cases, by thousands of dollars a year,” said Ms. Harris in a speech at a union labor headquarters in Philadelphia. “And that is wrong, obviously, and completely unacceptable in the Biden-Harris administration. We strongly believe every worker deserves fair wages for their work.”

Ms. Harris said the new policies would give workers a “raise,” giving an example of how that would affect workers on federal construction projects.

“A heavy equipment operator on federally funded construction projects, let’s say, in Allegheny County, might earn $17/hour. After today, that worker could earn up to $28/hour,” she said. “So that’s thousands of dollars more every year to help put a down payment on a home, for example. Or to save for retirement. Or to simply take their family on vacation once a year.”

Allegheny County is where Pittsburgh, a union town, is located.

Ms. Harris remarked that this development “is part of a larger strategy” of the Biden administration as it pertains to helping the working class. She went on to lament what she called the right-wing belief of trickle-down economics, which includes tax cuts meant to help people across the social ladder.

The American Federation of Labor-Congress of Industrial Organizations (AFL-CIO) and North America’s Building Trades Unions (NABTU) President Sean McGarvey applauded the vice president’s announcement.

“Infrastructure workers are getting a raise—that’s thousands of extra dollars are going directly into workers’ pockets,” they posted on X, formerly known as Twitter. “It’s #Bidenomics in action.”

“We applaud the Biden-Harris Administration for its relentless commitment to invest in America and for upholding laws to pay American workers fairly as part of that commitment,” said NABTU President Sean McGarvey in a statement. “Today’s DOL final rule strengthens federal prevailing wage regulations and restores the law to its original intent after it has been watered down over the last 40-plus years.

“This ruling is a win for ALL construction workers, both union and non-union, for good and fair contractors, and for America’s taxpayers.”

Ahead of the 2024 election, the Biden-Harris re-election ticket has gotten union endorsements. However, it has not been all rosy for the administration when it comes to unions as Acting Labor Secretary Julie Su, who is pro-union, appears to not have the votes needed for Senate confirmation to serve as permanent head of the department.