Guest guest Posted September 9, 2005 Report Share Posted September 9, 2005 Bush lifts wage rules for Katrina President signs executive order allowing contractors to pay below prevailing wage in affected areas. September 9, 2005: 11:43 AM EDT WASHINGTON (Reuters) - President Bush issued an executive order Thursday allowing federal contractors rebuilding in the aftermath of Hurricane Katrina to pay below the prevailing wage. In a notice to Congress, Bush said the hurricane had caused " a national emergency " that permits him to take such action under the 1931 Davis-Bacon Act in ravaged areas of Alabama, Florida, Louisiana and Mississippi. The Davis-Bacon law requires federal contractors to pay workers at least the prevailing wages in the area where the work is conducted. It applies to federally funded construction projects such as highways and bridges. Bush's executive order suspends the requirements of the Davis-Bacon law for designated areas hit by the storm. Bush's action came as the federal government moved to provide billions of dollars in aid, and drew rebukes from two of organized labor's biggest friends in Congress, Rep. George Miller of California and Sen. Edward Kennedy of Massachusetts, both Democrats. War doesn't determine who's right. War determines who's left. Quote Link to comment Share on other sites More sharing options...
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