The Los Angeles City Council is considering a motion to increase the minimum wage for residential construction workers to $32.35 per hour. This proposal, introduced by Councilmembers Curren Price and Hugo Soto-Martínez, aims to address labor shortages and attract workers needed to rebuild homes damaged by recent fires. The motion also suggests an additional healthcare credit of $7.65 per hour for these workers.
The initiative has garnered support from construction unions and housing groups, including Abundant Housing LA and the Housing Action Coalition. These organizations argue that the wage increase is crucial to protect vulnerable workers, many of whom are non-union and foreign-born, from exploitation and wage theft. Pete Rodriguez, vice president of the United Brotherhood of Carpenters, emphasized the importance of fair wages, stating, “These are workers who can’t afford a roof over their head, yet we rely on them to build the roofs over our own” according to the Los Angeles Times.
However, not everyone supports the proposal. Stuart Waldman, president of the Valley Industry and Commerce Association, criticized the plan as “absolute insanity,” arguing it could drive construction projects away from Los Angeles. He noted that developers are already hesitant to build in the city due to existing financial burdens like Measure ULA, a tax increase on high-end real estate sales.
The motion follows a recent effort to raise wages for hotel and airport workers in Los Angeles, which faced opposition from business groups. The City Council’s decision on this construction wage proposal could significantly impact the local economy and the availability of affordable housing in the area. The study commissioned by the council will explore the potential effects of the wage increase, with results expected in the coming months.
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