Common Construction Wage

HB 1019: The Cost of Repeal

FACT: Over 4,000 Indiana Contractors
employing 75,000 Hoosiers support CCW
FACT: Labor only makes up 23% of construction
costs, its impossible to save 10% by reducing
wages without illegally paying workers well below
minimum wage saving 10% means reducing
wages by 43%
FACT: Indiana-Specific studies show that CCW
increases the Indiana economy by $700 million,
workers on these projects contribute $21 million in
local taxes, and 91% of construction jobs stay local
CCW Is a Business-Driven Policy
The 4,000 contractors spending $42 million a
year on apprenticeship training oppose
repealing CCW they know repeal means a
lower-skilled, transient workforce.
Its more efficient to have a pool of local, highskilled workers who do the job right the first
time than to pay lower wages for workers who
dont have the right skills for the job.
Utah apprenticeship programs dropped 38%
when they repealed CCW and they saw NO
expected savings due to costly change orders
and project delays.
CCW protects the private sector from big
government by forcing it to pay the wages
established by local private sector economies.
CCW Protects Local Taxpayers and Local Jobs
CCW jobs support an additional 2000 non-construction jobs for Hoosiers.
States with CCW policies see a higher rate of work done by local workers 91% in Indiana!
Construction workers in Indiana contribute $21 million to state and local taxes. Better wages mean a
stronger and more fairly distributed tax base, helping policy makers balance budgets without raising taxes.
Workers earning low wages in non-CCW states are often reliant on public assistance for healthcare, housing
and food stamps (eligible for over $3,000 per worker per year) taxpayers don't save, they subsidize.
The HB 1019 Amendment Does NOT Fix the Problems of Repealing CCW
The generic training requirement does nothing to improve skill, productivity or safety. By not requiring the
training to be nationally certified, workers miss out on industry-recognized credentials, classroom
instruction, option for a college degree and quality assurance oversight.
Increases big government by prohibiting local control and local decision-making.
By allowing 4 tiers of contractors instead of the original 3, the amendment opens the door for unscrupulous
contractors who use Hoosier tax dollars to cheat the system. These contractors dont pay Unemployment
Insurance or Workers Compensation and often pay workers under the table.
Does not require contractors to drug test workers on public projects.