The Associated Builders and Contractors (ABC) construction industry trade association has criticised the Senate Democrats’ proposed new Inflation Reduction Act, claiming it will worsen inflation rather than curb it.
The measures planned in the legislation include raising US$739bn and authorising US$370bn in spending on energy and climate change, and US$300bn in deficit reduction.
Kristen Swearingen, the ABC’s vice president of legislative & political affairs, said: “While the Democrats’ reconciliation proposal has undergone changes over the recent days, the package unfortunately would still impose anti-growth tax policies that fail to address the rate of inflation, supply chain snarls and workforce shortages disrupting the economy and construction industry.”
“Most critically, this bill penalises employers that believe in fair and open competition and pay wages based on experience, quality and market rates, and also limits opportunities for the millions of construction workers who choose not to join a union,” said Swearingen.
The bill provides US$250bn in incentives for clean energy projects, but Swearingen said 83% of the value of these credits lies in projects ABC members will be largely prevented or discouraged from participating in due to these labour restrictions.
The ABC has sent a letter to Congress highlighting concerns in the bill, urging lawmakers to “reject the harmful policies included in the budget reconciliation package and work together to address the ongoing needs of our economy and hardworking Americans.”
The ABC is a national construction industry trade association established in 1950 that represents more than 21,000 members.
