(I’m thinking this qualifies as pt 2 of my buy local comments. Thanks for posting it! – promoted by JulieWaters)
I just read Julie Waters’ posting on Green Mountain Daily entitled “How Vermont can improve its infrastructure and economy part 1: locality, locality, locality,” and wanted to bring everyone up to speed with some similar issues. State government should definitely lead by example, even going beyond food to include other services that the State contracts out for. Citizens have been pushing State leaders to introduce responsible contracting legislation during the upcoming session. A legislative-level Workers Comp Misclassification and Fraud Enforcement Task Force, chaired by Rep. Warren Kitzmiller, is currently meeting monthly. Too often, public money supports contractors that cheat the system, whether it be by paying sub par wages, offering no health insurance or retirement benefits, misclassifying and miscoding employees, ignoring safety and environmental best practices or rampantly using independent contractors to reduce financial burdens.
Three examples I’m aware of:
— There is currently a $10 million construction project at Lyndon State College; several of the contractors working on that job are based in New Hampshire, including general contractor H.P. Cummings. Of course, LSC is located near the Vermont-New Hampshire border. But, when dealing with State agencies and public institutions, preference should be given to responsible Vermont contractors that employ predominately Vermonters. There are many Vermont construction laborers/contractors looking for gainful employment, so I hate to see state college work going to our friends from New Hampshire in this time or dire need.
— The University of Vermont recently broke ground on James M. Jeffords Hall, a project that involves $3 million secured by Sen. Patrick Leahy. UVM is an affiliate of the State of Vermont and receives public money each year. It has come to light that a questionable drywall subcontractor from New Hampshire, Kal-Vin Construction, is slotted for this job. Kal-Vin is the same outfit that allegedly employed undocumented workers on the Lowe’s project in Essex; the same ownership group was also just nailed by the U.S. Department of Labor in New Hampshire for repeated violations of the Fair Labor Standards Act’s minimum wage, overtime and recordkeeping provisions. Both UVM and the general contractor, DEW Construction, have not verified that Kal-Vin will be working on Jeffords Hall; however, it has been confirmed from several competitors who also bid the job that this is the case. Apparently, Kal-Vin worked on the University Heights residence halls at UVM, too.
(Please contact UVM President Daniel Fogel and demand that his administration look into this troubling situation and, if necessary, remove seemingly irresponsible contractors from campus. CONTACT INFO: 802-656-7878 or Daniel.Fogel@uvm.edu.)
— The State of Vermont recently awarded a delivery service contract to FedEx. Contrary to popular belief, most people who work for FedEx’s Ground and Home Delivery subsidiaries are not FedEx employees. Before starting work, these drivers sign “Operating Agreements” that identify them as independent contractors. FedEx’s “independent contractors” shoulder many expenses that an employer typically covers, including truck maintenance, workers’ compensation, unemployment insurance and other payroll withholding responsibilities. There have been several court cases surrounding employment practices by FedEx. FedEx has also exhibited blatantly anti-union, anti-worker tactics. For more background info, please see this synopsis of the FedEx debacle:
http://www.americanrightsatwor…
It is inappropriate for public dollars to support businesses whose ethics are in question. Unfortunately, we’re seeing it happen at the federal and state levels, as well as at our public colleges and universities. Whether purchasing food, construction or shipping services, it is crucial that public institutions buy responsibly – period. We definitely need broader support from all political perspectives to make it happen. With the current recession, the time for action is now. In addition, this is an important discussion to have if a federal economic bailout comes to fruition, so we can be assured that the massive amounts of money expected to be doled out go to ethical businesses that actually want to improve the lives of American workers.