On Feb. 26, the Oregon House narrowly passed House Bill 4154B, which would provide construction workers with additional wage theft protections in certain circumstances, according to www.ktvz.com.
The legislation would require a general contractor to pay the wages or benefits owed to a worker by a delinquent subcontractor if a specific set of conditions is met: A claim has been filed with the Oregon Bureau of Labor and Industries (BOLI) for wages, overtime pay or benefits; a claim has been investigated and found to be valid; BOLI has determined the wages or benefits are not able to be collected from the subcontractor; and the general contractor has not already fully paid the subcontractor any amounts owed under the contract for the project in question.
If a general contractor has fully paid the subcontractor, he or she is not liable for unpaid wages and benefits of the subcontractor.
"The goal of this bill is to protect wages for workers in the construction industry by adding accountability for general contractors in certain specific situations," says Rep. Julie Fahey (D-West Eugene, Junction City, Bethel), who championed the bill. "When workers aren't paid what they have earned, it hurts workers and their families. It also hurts our local economies and reduces tax revenue."
According to BOLI, between 2015 and 2017, there were more than 500 wage claims for the construction industry in Oregon. During fiscal year 2016-17, BOLI collected more than $600,000 in unpaid wages for workers.
"My hope is that this bill will both make it easier for workers to be paid what they are owed and that it will incentivize general contractors to hire responsible subcontractors," Fahey says. "I believe we have an obligation to ensure that we are protecting the working men and women who continue to build our state. This bill is a small step forward toward that goal."
The legislation passed 31-26 in the House and now goes to the Oregon Senate for consideration.
