Puerto Rico Governor Signs Executive Order Increasing Minimum Wage For Construction Workers In Government-Funded Construction Projects

Author:Ms Mariela Rexach
Profession:Littler Mendelson

On July 30, 2018, the governor of Puerto Rico signed Executive Order No. 2018-033, increasing the minimum wage for construction workers, enforcing laws requiring use of locally produced cement, and requiring the use of project labor agreements in government-funded construction projects. More specifically, the Executive Order requires that if any construction project is financed in whole or in part with funds from the Puerto Rico Government, its agencies, instrumentalities or public corporations, the contractor or subcontractor must pay employees hired to work on that project at least $15.00 per hour.

If the government-funded construction contract exceeds $2 million, it must include a project labor agreement covering all contractors and subcontractors, and be included in the proposal and bid. The project labor agreement shall include warranties against strikes, work stoppages and other labor problems, establish efficient processes to avoid and resolve labor disputes that may arise, and provide...

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