The Beacon Hill Institute, a Boston-based economic policy think tank released a study analyzing President Obama's Executive Order 13502, which excludes any non-union company from construction bids above $25 million. The study's findings claim the executive order will be a boon for unionized companies to gain government contracts, but at the cost of finding companies that could have submitted much lower bids.
The Beacon Hill Institute, a Boston-based economic policy think tank released a study analyzing President Obama's Executive Order 13502, which excludes any non-union company from construction bids above $25 million. The study's findings claim the executive order will be a boon for unionized companies to gain government contracts, but at the cost of finding companies that could have submitted much lower bids.
Total federal construction contracts nearly $15billion. According to the study, when factoring all extra costs of unionized labor, (deadline delays, cost over-runs) that the extra cost to U.S. taxpayers could range from $1.6 billion to $2.6 billion.
Beacon Hill Institute sent out a press release summarizing the study.
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