Day Labor in Las Vegas, Employer Indiscretions in Sin City

Acknowledgements This report was commissioned by the National Day Laborer Organizing Network and the ¡Arriba! Las Vegas Worker Center. This report would not have been possible without the diligent data-collection efforts of the survey team: Janet Favela, Cal Soto, Francisco Pacheco, Omar Leon, Adam Bradlow, Ana Raya, Sonia Gutierrez, Omar Henriquez, Pablo Alvarado, Paloma Guerrero and Lin Soriano. Thanks also to Matthew Spurlock and Pablo Alvarado for comments on an earlier draft of this report. Photo credits and thank you to Liliana Trejo Vanegas for the images in this report. This report was designed by Pablo Alvarado. About the authors Nik Theodore is a Professor of Urban Planning and Policy at the University of Illinois at Chicago, Senior Associate at the UIC Great Cities Institute, and Associate Dean for Research and Faculty Affairs in the College of Urban Planning and Public Affairs. His current research focuses on economic restructuring and labor standards, and he has been a lead researcher on projects examining conditions in low-wage labor markets, including day labor, domestic work, temporary staffing, and the state of workplace protections in low-wage industries. Contact: [email protected] Bliss Requa-Trautz is the Director of the ¡Arriba! Las Vegas Worker Center. The mission of the Las Vegas Worker Center is to organize, educate, and empower worker and migrant communities to take action to defend their rights. Towards this aim, LVWC unites day laborers and other low-wage and migrant workers to fight for inclusion, dignity, and win justice for all. Bliss is a community organizer with more than ten years of experience around issues of worker and migrant rights. She completed a series of in depth interviews for this report. Contact: [email protected] Great Cities Institute University of Illinois at Chicago 412 South Peoria Street, Suite 400 Chicago, Illinois 60607- 7067 https://greatcities. uic.edu 1 Foreword by Ruben J. Garcia Associate Dean for Faculty Development & Research. Professor of Law - University of Nevada, Las Vegas The West’s paradoxical approach to workers continues in present day Nevada. On the one hand, the culture of rugged individualism has given us “right to work” laws, but the organizing skills and politically engaged unionism of the Culinary Workers UNITE HERE Local 226 has led to increases in wages and benefits in the hospitality industry in Las egas.V And although the state bears geographic proximity to California, the differences in the enforcement mechanism between the two states could not be more stark. This Report, “Day Labor in Las Vegas, Employer Indiscretions in Sin City,” has some important lessons for national policymakers about the “gig economy,” but not the one involving apps or platforms. This gig economy is the analog version of workers and employers reaching arrangements and transactions for cash. As legislators and scholars study the issues involved in the future of work, questions persist about the effectiveness of employment regimes for marginalized workers in the new economy. This Report is the beginning of a sustained conversation about the ways in which the law can work better for the protection of workers such as the ones described in the report. Particularly in this era of anti-immigration sentiment throughout the culture, the question becomes whether state systems can effectively enforce the laws that they already have on the books. Of course, there are many facets of the Las Vegas economy that lend themselves to day or casual labor. First the importance of the construction economy and home building in the booming years of the last two decades meant that much work took place in the informal economy with many violations going underreported and unenforced. The research in this report will also facilitate the focus of the nongovernmental organizations like the Las Vegas Workers Center. The infrastructure of Southern Nevada community groups is strong, and private sector union density is higher than in many other states. The Workers Center will be a welcome addition to serve the large numbers of nonunion workers in the Valley. Hopefully, this report also translates into policy solutions when the Nevada Legislature meets in 2019. The federal minimum wage remains at $7.25, and so the Nevada minimum wage is $7.25 if the employer provides health insurance, and $8.25 if the employer does not. The stagnation of the minimum wage for nearly ten years has exacerbated income inequality in Nevada as in many other states, which will continue until there is wage growth throughout the economy. The problem of wage theft will persist as long as jobs are attractive to vulnerable populations. The Nevada Legislature and other lawmakers can toughen penalties for wage theft against immigrants as well. This Report also sits at the intersection of dysfunctional politics of immigration. Until the logjams in the federal government are broken, and better solutions in immigration policy are reached, the problems outlined in this report are likely to persist. It is only through the sustained work of civil society groups throughout the country that we are likely to see marginal improvements. 2 Introduction: From Boomtown to Bust and Back Again Las Vegas is back. A decade ago the city Though rarely acknowledged, informal day- was seen as the epicenter of the 2007-09 labor markets are a key source of temporary Great Recession; its housing market had workers who are employed on a just-in-time crashed, it led the nation with nearly one basis for various construction, landscaping, in ten homes in foreclosure, many major and moving jobs. Day laborers are hired by construction projects were scuttled, and the construction contractors, private households, effects of plummeting consumer spending landscaping companies, and other rippled through every sector of the local businesses to perform a range of short-term, economy. According to the Department of manual-labor jobs. These jobs may last a few Employment, Training and Rehabilitation, hours or a few days, though some projects Nevada was “the hardest-hit state during the can span several weeks or longer. The Great Recession, with employment impacts conditions of work also vary, with some day arriving later and lingering longer than in the laborers earning decent wages for physically U.S. as a whole.” 1 Even after the recession demanding work. Too often, however, had officially ended, the Las Vegas-Paradise workers’ rights are violated, wages are not metropolitan area continued to shed jobs, paid, and day laborers are unduly exposed to with the unemployment rate climbing to 14.1 worksite hazards. percent in September 2010. 2 This report presents the findings from a Eight years have passed since the end of the survey of 188 day laborers seeking work Great Recession and it finally can be said that at informal hiring sites in Las Vegas, the Las Vegas economy has recovered. By documenting violations of labor standards, mid 2017 the unemployment rate had fallen to including widespread wage theft and 4.8 percent, housing markets had stabilized, health and safety problems on the job. and several major construction projects The next section briefly describes the were underway. There is even talk of labor survey methodology. It is followed by an shortages in the construction sector. Bob examination of Potts, research director for the Governor’s employment Office of Economic Development, recently and wages, warned that labor supplies are insufficient to the problem of meet the demand for projects already in the wage theft, on- pipeline, with an estimated shortage of 10,000 the-job injuries construction workers in southern Nevada. 3 and illnesses suffered by day The construction sector is Nevada’s second laborers, and fastest growing industry, and it has been the difficulties central to the revitalization of the Las Vegas day laborers economy. 4 Whether impending labor experience shortages will dampen growth remains to with local law be seen, but industry leaders and labor enforcement unions are doing what they can to attract authorities. highly skilled craft workers to the region. Other workers also are being drawn into the economic recovery of the construction sector. 3 Methodology To document the employment conditions of day laborers in Las Vegas, the National Day Laborer Organizing Network implemented an in-person survey using a standardized survey instrument. The survey focused on workers’ employment, wages, and on-the-job injuries. To determine employment rates and hourly wages by occupation, respondents were asked a series of questions for each day in the previous workweek: (1) did the worker look for employment at the hiring site? (2) was a job secured? (3) if a job was secured, what was the occupation, total pay, and total hours worked? This information was used to compute hourly wage and unemployment rates. The research team used a time-location methodology in an effort to survey each day laborer who was looking for work at a hiring site on the day the survey was administered. In total, 188 surveys were collected. 5 Surveys were conducted in English and Spanish during the early morning hours at informal hiring sites. Each survey took approximately 15 minutes to complete. Respondents received a $10 incentive for their participation. Members of the ¡Arriba! Las Vegas Worker Center roleplay a radio interview during a media training. 4 Employment and Wages Day laborers are employed by construction contractors, landscaping companies, and other businesses, as well as by private households. In Las Vegas, they are hired on an as-needed basis for a range of manual-labor jobs, primarily those related to construction, landscaping, and moving. They are paid in cash and in most instances the terms of employment are hastily arranged at one of the 18 informal hiring sites in the city. These hiring sites are located along busy thoroughfares and outside building supply stores, nurseries, and truck-rental facilities.

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