Hayen v. County of Ogle

463 N.E.2d 124, 101 Ill. 2d 413, 78 Ill. Dec. 946, 27 Wage & Hour Cas. (BNA) 89, 1984 Ill. LEXIS 271
CourtIllinois Supreme Court
DecidedApril 19, 1984
Docket58833
StatusPublished
Cited by37 cases

This text of 463 N.E.2d 124 (Hayen v. County of Ogle) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hayen v. County of Ogle, 463 N.E.2d 124, 101 Ill. 2d 413, 78 Ill. Dec. 946, 27 Wage & Hour Cas. (BNA) 89, 1984 Ill. LEXIS 271 (Ill. 1984).

Opinion

JUSTICE SIMON

delivered the opinion of the court:

In this case we are called upon to decide whether “An Act regulating wages of *** workers employed in any public works ***” (the Prevailing Wage Act) (Ill. Rev. Stat. 1981, ch. 48, pars. 39s — 1 to 39s — 12) is constitutional to the extent that it requires contractors building public works in this State to pay their employees the wage rates prevailing in the locality where the work is performed, but at the same time limits the calculation of the prevailing rate to wages paid “on public works.” Ill. Rev. Stat. 1981, ch. 48, par. 39s — 2.

The Prevailing Wage Act provides that “[n]ot less than the general prevailing rate of hourly wages for work of a similar character on public works in the locality in which the work is performed *** shall be paid to all *** workers *** employed by or on behalf of any public body engaged in the construction of public works ***.” (Emphasis added.) (Ill. Rev. Stat. 1981, ch. 48, par. 39s — 3.) The Act requires every public body undertaking public works either to ascertain the general prevailing rate of hourly wages for each craft or class of work in the locality in which the work is to be performed or to request the Illinois Department of Labor to do so. (Ill. Rev. Stat. 1981, ch. 48, par. 39s — 4.) The public body must require by contract, ordinance or resolution that all contractors on the project pay their employees these prevailing rates. Civil and criminal sanctions are provided against public bodies or contractors who violate their obligations under the Act. Ill. Rev. Stat. 1981, ch. 48, pars. 39s — 6, 39s — 11.

The Prevailing Wage Act defines the prevailing rate of wages as “the hourly cash wages plus fringe benefits for health and welfare, insurance, vacations and pensions paid generally, in the locality in which the work is being performed, to employees engaged in work of a similar character on public works.” (Emphasis added.) (Ill. Rev. Stat. 1981, ch. 48, par. 39s — 2.) A 1961 amendment to the Act added the phrase “on public works,” and this language has been correctly interpreted by the appellate court as excluding wages paid on private construction work from the calculation of the prevailing wage rate, thereby limiting the calculation of that rate to wages generally paid on public works in the locality where the work is to be performed. (See Hayen v. County of Ogle (1983), 116 Ill. App. 3d 80, 81-82; Anderson v. County of Jo Daviess (1980), 81 Ill. App. 3d 354, 357-58.) No other interpretation of the statute can give effect to the legislature’s decision to add the phrase “on public works” to the Act.

The Ogle County board, however, has adopted a resolution that ascertained the prevailing wages in that county for various crafts and classes of work which it admits are based on averages of the wages for each craft or class prevailing generally in the county, including those paid in private construction work as well as those paid on public works. After the adoption of this resolution, plaintiffs, Herbert Hayen, Dean Frey and Werner Vogel — business representatives of labor unions whose members work on public construction projects in Ogle County — filed objections with the board. A hearing was held at which Mr. Vogel testified that, to his knowledge, no nonunion contractor had performed substantial hours on public works construction in Ogle County in recent memory and consequently plasterers and cement finishers on recent public works projects in that county had been paid union scale wages. Other witnesses made similar observations for other crafts and classes of work. It was also established at the hearing that the prevailing wage rate for Ogle County as ascertained by the Illinois Department of Labor was the same as the union scale wage for each craft or class of work. The board, however, had information that union scale was nearly 40% above what some nonunion contractors were paying for private construction work in Ogle County, although it apparently never ascertained the volume, if any, of this nonunion work. The board overruled the plaintiffs’ objections and adopted prevailing wage rates reflecting an average of wages paid on public and private construction projects in Ogle County.

The plaintiffs filed an action in the circuit court of Ogle County seeking review of the board’s administrative determination. The plaintiffs argued that the board had failed to follow the Prevailing Wage Act because it included wages paid on private construction projects in its calculation of the prevailing wage rate. Several nonunion construction contractors were allowed to intervene in the action, and they joined the county in arguing that the act is arbitrary and irrational, in violation of the due process and equal protection clauses of the State and Federal constitutions to the extent that it excludes wages paid on private construction projects from the calculation of the prevailing wage rate. They also raised other constitutional objections to the Act. The circuit court upheld the constitutionality of the Act, reversed the county’s determination of the prevailing wage rate for Ogle County, and directed the county to ascertain the prevailing wage rate by reference only to wages paid on public works. The appellate court affirmed the circuit court’s decision with one justice dissenting. (116 Ill. App. 3d 80, 86.) We granted leave to appeal (87 Ill. 2d R 316).

The plaintiffs first contend that the county of Ogle has no standing to contest the constitutionality of a State statute under the due process clause. (Cf. Village of Riverwoods v. Department of Transportation (1979), 77 Ill. 2d 130, 136 (“a municipal corporation is not entitled to the protection of the due process clause against the State”); Franciscan Hospital v. Town of Canoe Creek (1979), 79 Ill. App. 3d 490, 497; City of Atlanta v. Spence (1978), 242 Ga. 194, 195, 249 S.E.2d 554, 556.) The county maintains that, although it might not have standing to bring this action on its own behalf, it does have standing under the doctrine of parens patriae to bring it on behalf of its residents and taxpayers. (See Alfred L. Snapp & Son, Inc. v. Puerto Rico (1982), 485 U.S. 592, 73 L. Ed. 2d 995, 102 S. Ct. 3260.) Because the issue of the county’s standing was not raised below, and because the contractors have standing to raise the constitutional question, we decline to decide this important issue of constitutional law.

The contractors’ principal constitutional objection to the Prevailing Wage Act is that, in requiring that they pay their employees a prevailing wage rate based solely on wages paid on public works projects, the Act is arbitrary and irrational and violates the substantive protection of the due process clause of the State and Federal constitutions (Ill. Const. 1970, art I, sec. 2; U.S. Const., amend XIV, sec. 1). “It is by now well established that legislative acts adjusting the burdens and benefits of economic life come to the Court with a presumption of constitutionality, and that the burden is on one complaining of a due process violation to establish that the legislature has acted in an arbitrary and irrational way.” (Usery v. Turner Elkhorn Mining Co. (1976), 428 U.S. 1, 15, 49 L. Ed. 2d 752, 766, 96 S. Ct. 2882, 2892.) A law does not violate due process if it bears a rational relation to a legitimate legislative purpose and is neither arbitrary nor discriminatory.

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Bluebook (online)
463 N.E.2d 124, 101 Ill. 2d 413, 78 Ill. Dec. 946, 27 Wage & Hour Cas. (BNA) 89, 1984 Ill. LEXIS 271, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hayen-v-county-of-ogle-ill-1984.