Social Responsibility Reshapes the Industry

Social Responsibility

Sophisticated project owners and developers pick premier contractors who are principled, are socially responsible and develop their workforce. They know that contractors who build lasting, high quality employee relationships and career paths for their craftspeople consistently deliver the best value and results. Their practices produce tax revenue and stability to communities while also lowering social service burdens.

Knowledgeable owners and developers avoid using contractors who are are unprincipled and who use misclassified or undocumented workers who are often paid in cash and lack the skills, long-term commitment and support necessary for producing top quality work. They know these second-rate practices not only lead to poor results and hidden costs but also have social consequences in their communities including uncollected taxes, increased social services costs and lower incomes.

What do socially responsible contractors get in return for being responsible?

Do "socially indifferent" or "socially irresponsible" owners, developers and contractors in your community face consequences to their reputation and business?

Construction in Texas may be "cheap," but that's only if you consider the final price of the project. In most cases, the true costs are borne by workers, taxpayers, and society at large. Case in point: WFAA's David Schecter, a quality journalist who exposed worker misclassification in a North Texas school district, this week took the time to highlight the story of Guillermo Mata.

From WFAA:

In December, Mata shattered his leg after falling from the second story onto a concrete floor at construction site in Irving.

"Take me to Parkland (hospital),” Mata recalls saying after the injury.

Wage Theft

Last month a panel of civic leaders, employers, attorneys and workers participated in a forum discussion titled “Wage Theft – Its Impact on the Local Economy and in the Community”. The free event, hosted by Rice University’s Center for the Study of Women, Gender and Sexuality and by the Fey y Justica Worker’s Center (formerly the Houston Interfaith Worker Justice Center), was held on the 3rd floor of the Fondren Library at Rice University. The diverse panel offered different perspectives on how wage theft impacts the local Houston economy, responsible businesses, social programs, and the community as well as what can be done to eliminate this unethical practice.

Simply put, wage theft is a practice in which employers cheat workers out of wages and benefits owed. According to Houston’s Down With Wage Theft Campaign:

“Wage theft depresses family income and as a consequence limits spending, lowers business sales, leaves taxes unpaid, public services undermined and economic growth diminished..." Read more » about Wage Theft Forum at Rice University

Wage Theft

El Paso has become the second city in Texas where an employer has been arrested and indicted on charges of wage theft. The Texas Observer reports that El Paso is the only city in the state that has an active wage theft task force. It includes the police and sheriff's departments as well as the County Attorney and District Attorney's offices.

From the Observer:

“It’s huge because we’re finally treating the stealing of someone’s wages the same way we treat someone stealing from Target or Albertsons or [any] store,” says Jed Untereker, an attorney with Paso del Norte Civil Rights Project who represented the employee.

2013 TX Legislative Session

The lawmaker who had filed a bill to ban "living wage" ordinances around Texas has decided that was a bad course of action. Representative Kenneth Sheets, R-Dallas, withdrew his bill after hearing objections from Republicans and Democrats alike.

Some on the left argued it was "draconian." This is from the liberal Burnt Orange Report:

"The draconian bill was aimed at metropolitan areas such as San Antonio and Travis County, where living wage agreements are already on the books. The Austin City Council is considering one that would be added to economic incentive packages. These agreements require projects to pay a living wage to construction workers if they are receiving incentives.

Basically, Sheets doesn't think that local governments should have the control to use their tax dollars in support of their community values. Sounds just a bit like that "Big Government" Republicans are always railing against."

Social Responsibility

Our mission at Construction Citizen is straightforward: To advance a socially responsible, sustainable, value added construction industry. Doing that is anything but simple. We are owners, contractors and craftspeople committed to this mission and we can’t do it alone. This is a community effort and we think of you, our readers, as part of that community. That’s why we’re asking you to help us highlight the good and the bad within our industry.

To that end, we’ve launched the Construction Citizen News Tip Line. It’s an anonymous way for you to point our team in the direction with things you see happening that need to be brought to light. We understand that there are many in the industry that feel – as we do – that safety violations, misclassification of workers, bad treatment of employees, and other problems need to be rooted out. But, we also understand the need for anonymity. If you contribute to our coverage, we promise your identity will be kept secret. We will only use your contact information to follow up with any questions our team might have. Or, you can simply leave us a news tip without your information. That might make it harder to look into things, but we’ll do our best. Read more » about Construction Citizen’s News Tip Line

Social Responsibility

The American Subcontractors Association (ASA) held their Spring Business Forum and Convention in Las Vegas this past weekend. At the event, the ASA announced nine companies as this year’s winners of the Excellence in Ethics Award.

According to the committee:

“ASA’s Excellence in Ethics Awards program promotes the highest standards of internal and external integrity for a subcontracting firm, said Shannon MacArthur, MEMCO, Spring, Texas, chair of the ASA Task Force on Ethics in the Construction Industry, which developed the awards program. Each applicant was required to respond to questions concerning the firm’s corporate ethics policies and procedures, its construction practices, and its general business practices. Each applicant also was required to submit detailed documentation, including sealed letters of recommendation from a customer, a competitor and a supplier.”

This year’s winners are: Read more » about 2012 American Subcontractors Association Excellence in Ethics Awards

On Wednesday, February 27, over 500 construction workers and their supporters marched to the Texas Capitol to rally for better working conditions in the industry. Holding banners with facts like “Texas is the Deadliest State to Work in Construction” and “More Workers Die in Texas Than Any Other State”, these activists called for an end to the dangerous conditions and frequent legal violations that characterize Texas’s construction industry. During the day, workers and their advocates visited with every senator and representative, as well as the Governor’s and Lt. Governor’s offices, to share their experiences with workplace injuries, wage theft, and payroll fraud.

A recent study by the University of Texas found that one out of every five workers in Texas has been injured on the job and required medical attention. The study also found that construction workers in Texas die on the job at a higher rate than in any other state Read more » about Day of the Fallen 2013: Stop Injuries and Legal Violations in Texas Construction

2013 TX Legislative Session

A lawmaker from Dallas wants cities to be barred from requiring contractors to pay a "living wage" when awarding incentive packages. The Austin American Statesman reports:

State Rep. Kenneth Sheets, R-Dallas, said a group of minority contractors told him they would have difficulty paying the $11-an-hour living wage to the laborers they hire, making those contractors less likely to get a piece of the publicly subsidized projects. Sheets filed legislation last month that would bar cities from mandating any wage requirements as part of economic incentive packages, such as the ones Austin has offered to Apple and the developer of a downtown Marriott hotel now under construction, and is considering offering to National Instruments. Read more » about Wage Requirements for Incentives Under Fire at the Capitol

Last week Construction Citizen told you about a University of Texas study called Build A Better Texas which reported on the working conditions for construction workers in this state. At the press conference in Austin, I caught up with Emily Timm, policy analyst for the Workers Defense Project and Construction Citizen blogger, and asked her to comment on how this study might effect positive change for workers in Texas.

In the video below, Timm states:

“This study by the University of Texas is critically important for calling attention to the dangerous working conditions and legal violations that occur in the Texas construction industry. Read more » about Timm Calls On Texas Legislature to Take Action

Leaders from business and workers’ advocates sat down recently in Washington to talk about the road ahead when it comes to creating a sustainable workforce in the construction industry. Following a 90 minute panel at the Aspen Institute, Mike Holland, Division President for Marek Brothers Systems in Houston, and Emily Timm, Policy Analyst with Workers Defense in Austin, agreed they can combine their efforts for the good of both industry and workers.

Holland believes the profession of construction craft work has to be elevated. “It just hit me when were having the conversation: as a former craft worker and a proud employer, it's a sad state of affairs,” Holland said. “[Employers] need to treat their construction craft employees the same way they would treat any other employee.” Read more » about The Road Ahead for Construction Craft Work [VIDEO]

Pages

Featured Topics

Featured News