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Koelmel approved as NYPA chairman
First Niagara Financial Group President and CEO John Koelmel is the new chairman of the New York Power Authority (NYPA). The authority’s trustees chose Koelmel
ESD board approves grant for Novelis expansion
The Empire State Development (ESD) board of directors today approved a $5 million grant to support Novelis Corp.’s expansion in Oswego County. The aid was
Tompkins Financial moves to settle lawsuits
ITHACA — Tompkins Financial Corp. (NYSE Amex: TMP) said Friday it has taken steps toward settling two lawsuits that were filed in connection with its
Former Kauffman president named University Professor at SU
SYRACUSE — The former president of the Ewing Marion Kauffman Foundation has been named University Professor at Syracuse University (SU). Carl Schramm, who spent 10
Ithaca ranks high for workforce development
ITHACA — Area Development named Ithaca as the top spot for prime workforce growth as part of the publication’s recent ranking of 365 metropolitan statistical
Syracuse apartment redevelopment under way after regional council award
SYRACUSE — Construction has started to redevelop the Roosevelt and Hillside Apartments in the city of Syracuse, according to the Central New York Regional Economic
Hardinge added to Russell 2000 Index
ELMIRA — Machine tool manufacturer Hardinge, Inc. (NASDAQ: HDNG) announced today the company’s stock was added to the Russell 2000 Index. The annual configuration of
State interest payments to vendors jumped 38 percent in 2011-2012
Vendors received more than $1.9 million in interest on late payments from New York State during the 2011-2012 fiscal year, Comptroller Thomas DiNapoli said today.
Only Government Could Pay $51.71 an Hour to Pick Up Debris
As old and jaded as I am, government never fails to amaze me with its bureaucratic rigidity and disregard for the taxpayer. E.J. McMahon, of the Empire Center for New York State Policy, just highlighted yet another example of government waste and regulatory idiocy. Last summer, Poughkeepsie’s Fallkill Creek sustained damage from flooding caused by
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As old and jaded as I am, government never fails to amaze me with its bureaucratic rigidity and disregard for the taxpayer.
E.J. McMahon, of the Empire Center for New York State Policy, just highlighted yet another example of government waste and regulatory idiocy. Last summer, Poughkeepsie’s Fallkill Creek sustained damage from flooding caused by Hurricane Irene. Some might think that the proper course to clean up the debris would be to hire temporary workers and pay the state’s minimum wage of $7.25 an hour. Government thinks otherwise.
The funds, courtesy of Uncle Sam, are channeled to youth employment through the state Department of Labor, which is bound to pay prevailing rates for public work according to the law. The Labor Department equates prevailing wages to wages earned by union members in the locality, a concept developed in the 1930s to keep Southern blacks from coming north to take jobs from whites at lower wages.
The prevailing hourly wage in the mid-Hudson region is $30.71, plus benefits of $21 an hour. The state Labor Department’s communications director, Leo Rosales, said that if the workers had been union members, the additional $21 would be paid for union dues and training. Since the temporary workers are not union members, the government is required to pay them the equivalent amount. According to the National Emergency Grant, the program funder, the premise is that “… wages must be paid at the higher of federal, state, or local minimum wage, or the comparable rates of pay for individuals employed in similar occupations by the same employer.”
Feel better now that you heard the explanation?
This is our government at work. Common sense says we could hire 1,000 young people at minimum wage and not only clean up the creek but also do it a lot faster and save taxpayers a bundle of money.
This is just the latest example of why “prevailing wage” law drives up our taxes and taxes our faith in government to offer services at a reasonable cost. Paying youth the equivalent of an annual six-figure salary to perform menial labor is both ludicrous and unnecessary since there are plenty of able-bodied workers who would fill the temporary positions for far less compensation.
Norman Poltenson is publisher of The Central New York Business Journal. Contact him at npoltenson@cnybj.com
Brown named new head of Falcone Center
SYRACUSE — The former chairman, CEO, and president of O’Brien & Gere has been named executive director of the Falcone Center for Entrepreneurship at Syracuse
Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.