The Effect of Prevailing Wage Law Repeals and Enactments on Injuries and Disabilities in the Construction Industry

Author:

Li Zhi1,Zorigtbaatar Chimedlkham1,Pleités Gabriel1,Fenn Ari1,Philips Peter1

Affiliation:

1. The University of Utah, Salt Lake City, USA

Abstract

State prevailing wage law repeals have been shown to lower wages and benefits—including benefits providing safety training and associated with worker retention in construction. This study tests whether prevailing wage repeals affect construction injury rates and/or the prevalence of disabilities among construction workers. Controlling for time trends in injuries and disabilities, differences between construction industry subsectors, the business cycle, and time-invariant differences between states, we find that repealing state prevailing wage laws increase construction injury rates across various types of injuries from 11.6% to 13.1% as the seriousness of injuries increases. Disabilities increase by 7.5% to 8.2% depending on the model specification. Conjoining an analysis of the effects of prevailing wage law repeals on injury rates with disability rates in construction provides alternative measures of the effects of prevailing wage laws on construction workplace safety, which addresses a well-known problem of underreporting construction injuries.

Publisher

SAGE Publications

Subject

Public Administration,Sociology and Political Science,Business, Management and Accounting (miscellaneous)

Reference32 articles.

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3. Azari-Rad H. (2005). Prevailing wage laws and injuries in construction. In Azari-Rad H., Philips P., Prus M. J. (Eds.), The economics of prevailing wage laws (1st ed., pp. 169-187). Burlington, VT: Ashgate.

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