UA32PAC Position Paper On "Project Labor Agreements"


The Basics

In the private sector, owners, contractors and local building trades often negotiate Project Labor Agreements (PLA’s) to ensure that major construction projects are completed on time and under budget.

 

PLA’s have become so successful in accomplishing these goals in the private sector that a few years ago they were tried in the public sector. The U.S. Supreme Court, in a 9-0 decision, after a challenge in the courts to a public agency by the Associated Building Contractors (ABC), affirmed that if cost savings can be realized by the use of these agreements, it is in the publics best interest and therefore legal to enter into  such agreements.

 

PLA’s define and insure wages, conditions and craft jurisdictions for the several labor interests and insure quality and continuity throughout the various trades for the contractors.  PLA’s are signed to guarantee labor stability for both the contractor and the project owners.

 

The major opponent’s of these agreements continues to be non-union contractors, primarily represented by the ABC. The ABC contractors are so vehemently opposed to employees forming unions that they have formed their own union to fight their employees.

 

The ABC has continued to lose in the courts over the issue of PLA’s and has vowed to take their fight to the legislature at every level to outlaw the use of these agreements.

 

The ABC feels that the “living wages” that are part of PLA agreements, are excessive and not necessary.

   

Legislative History

q       1996- Washington State’s then Governor Mike Lowry, signed an Executive Order which read in part “project labor agreements are of great potential economic benefit for appropriate and time sensitive major construction projects which will extend for a substantial period or time, involve a substantial number of contractors, trade and craft workers and have a substantial dollar value.”

 

q       1997- President Clinton issued an Executive Order that authorized the federal executive departments and agencies to determine on a project by project basis, whether to implement PLA’s for federally funded construction projects.  President Clinton’s rational for issuing a policy encouraging project labor agreements was;  “the continuing high demand for public capitol investment, competing budget pressures and limited government resources”.

 

Where Local 32 Stands

PLA’s have proven successful in complex multibillion-dollar projects like the Boston Harbor cleanup, the Eastside Reservoir in California, and the San Francisco Airport renovation. Closer to home, they are have been used at Safeco Field, the Port of Seattle, the Central Waterfront Project, and the new Seahawks Stadium.

 

Taxpayers objectively watching out for the quality of return for every tax dollar spent recognize an unequivocal success when it arrives and PLA’s are a blueprint to that kind of success.

 

Local 32 believes in the success that PLA’s have brought to our members. Local 32 will continue to support the use of these agreements as long as the process for negotiating these agreements remains open and true to the purpose of providing good contractual language (wages, hours, and conditions) for our members whom work on those projects.



This Position Paper was produced by the Political Action Committee of UA Local 32.
Send all Questions and/or Comments to Wayne Stedman, UA32PAC Chair by clicking on this link.