Word: bacon
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...return, Nixon reinstated the Davis-Bacon Act. which guarantees union wages on government building projects. Nixon suspended the act on February 23 when a 30-day deadline for the industry to come up with its own proposals expired. The arrangement is based on the recommendations of a Presidential committee headed by Dean Dunlop...
Nixon's suspension of the Davis-Bacon Act was covered under provisions of the Economic Stabilization Act, due to expire in about two months...
...Davis-Bacon will forge a stronger unity among the nation's 17 construction unions...
Contractors have long complained that the Labor Department endorses union wage scales as "prevailing" in disregard of the facts. The Government's General Accounting Office found last year that Davis-Bacon wage fixing had boosted costs by 15% for public housing and military-family housing in New Jersey, Oklahoma, Pennsylvania and Virginia. All of the increase was unjustified, the agency charged, because lower wage rates prevailed for comparable private construction in the same areas. In two cases, said the GAO, the Labor Department flouted the law by prescribing commercial pay scales that it knew were higher than those prevailing...
...inflationary effects of Davis-Bacon have been particularly painful to the housing industry, which is only 25% unionized because it consists largely of small firms. "Our people finally got desperate about the Davis-Bacon problem," says Herbert DeShong, executive vice president of the Dallas builders' association. After two years of collecting figures from payroll records, DeShong was able to convince the Labor Department that two wage patterns prevailed. Today, the Davis-Bacon rate for the mostly nonunion carpenters on residential projects in Dallas County is $4.50 an hour, while the generally unionized carpenters on big commercial projects...