Congress Should Reform Flawed Wage Determinations Before ExpandingDavis-Bacon in the Lieberman-Warner Bill

Three sections of the Lieberman-Warner Climate Security Act of 2008 (S. 3036) would extend the reach of the Davis-Bacon Act into private-sector construction. Under Davis-Bacon, Congress requires federal construction contractors to pay "prevailing" wages to prevent the government's buying power from forcing down wages of construction workers. These sections of the Lieberman-Warner bill, however, do not concern federal construction projects. Additionally, Davis-Bacon wages bear little relation to the wage rates that prevail in the marketplace.

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