Geospatial Analysis of Construction Labor Wage Rates in the United States of America
AIR FORCE INSTITUTE OF TECHNOLOGY WRIGHT-PATTERSON AFB OH GRADUATE SCHOOL OF ENGINEERING AND MANAGEMENT
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The United States government spends millions of dollars on construction every year. Each construction project paid for by the government is subject to the requirements of the Davis-Bacon Act DBA. The DBA is a federal law that sets minimum wages, called prevailing wages, for construction workers. This research used the geographic information system ArcGISTM to compare wages based on DBA requirements to wages earned by construction workers on non-federal projects not subject to DBA requirements. The research studied wages of eight different construction trades at all active military installations in the United States and compared the two wages to determine if there was a significant difference, and if so, what it was. It also determined the existence of any spatial relationships between the wage differences. The research also applied its findings to the U.S. Air Forces construction budget for Fiscal Year 2012 to determine the amount spend based on DBA requirements. The research found that DBA wages are statistically higher for seven of the eight trades, which differs based on the trade, and confirmed the existence of several spatial relationships. The research concluded that the Air Force spent over 60 million in Fiscal Year 2012 based solely on DBA requirements.
- Economics and Cost Analysis
- Statistics and Probability