Proposed Wage Expansion Could Raise Construction Labor Costs by 20 Percent

Date: February 06, 2019

By including contractors in the prevailing wage mandate, many call Gov. Andrew Cuomo's’ proposal a “death sentence” for New York.

On Jan. 15, Gov. Andrew Cuomo announced his plans to change the state wage mandate to include contractors doing work on projects receiving state funds and expand the public works definition to include private-sector projects assisted by tax breaks from industrial development agencies.

Business advocacy group Unshackle Upstate shared  its concern stating that the expansion would “severely weaken our economy and hurt taxpayers,” reports The Buffalo News.

NFIB’s New York State Director Greg Biryla said expanding the mandate would only hurt small business.

“NFIB and our members remain concerned that some proposed employer mandates contained in the Governor’s address appear to embrace a flawed, one-size-fits-all regulatory model that severely limits the autonomy and flexibility small businesses need to attract talent and remain competitive,” Biryla said.

Related Content: News | Economy | Labor | Minimum Wage | New York

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