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:: Thursday, October 27, 2005 ::
Bush to Reinstate Prevailing Wages for Katrina Projects - By Edwin Chen, Los Angeles Times
When Bush suspended the 1931 Davis-Bacon Act's wage standards on Sept. 8, the White House said the move would expedite reconstruction in Louisiana, Mississippi and Alabama, keep costs down and open opportunities to minority-owned firms. The prevailing wage in those regions is about $9 an hour.
But Democrats, labor unions and some House Republicans strenuously resisted the move, saying the action would result in lower pay for workers.
Led by Rep. George Miller (D-Martinez), the House was headed for an early November vote that would have launched a legislative attempt to reverse Bush's suspension of the wage standards.
The president's action allowed federal contractors to pay below the 'prevailing wage.' The prevailing wage is usually linked to local union contracts.------------------------------------------- posted 5:09 AM :: reference link ::
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