Any Questions?
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How Do I Know I’m Getting the Best for My Construction Project?
Having the best available workforce and most reputable contractors on any project will aid in its success. By law, the public bodies are required to use the lowest “responsible” contractor, in theory protecting the public’s interest. Too often the word “responsible” is not adequately defined or enforced. This is why the construction industry has seen a growing use of Project Labor Agreements on both public and large-scale private projects.
Project Labor Agreement
A Project Labor Agreement (PLA) is a pre-hire collective bargaining agreement. The terms of the agreement apply to all contractors and subcontractors who successfully bid on the project, and supersede any existing collective bargaining agreements. PLAs are used on both public and private projects, and their specific provisions may be tailored by the signatory parties to meet the needs of a particular project. PLAs can be added as legislative and executive actions.
Benefits of Using A PLA:
1. Provide uniform wages, benefits, overtime pay, hours, working conditions, and work rules
2. Provide contractors with a reliable and uninterrupted supply of qualified workers at predictable costs
3. Ensure that a project will be completed on time and on budget
4. Ensure no labor strife by prohibiting strikes and lockouts and including binding procedures to resolve labor disputes
5. Make large projects easier to manage by placing unions under one contract, the PLA
6. May include provisions for recruitment and training programs for women, minorities & veterans
7. Reduces misclassification of workers and the related underpayment of payroll taxes, workers' compensation, and other requirements
8. A larger percentage of construction wages stays in state
9. Improves worker safety by requiring contractors and workers to comply with project safety rules
If you are interested in learning more about Project Labor Agreements for your municipality, board of education, or private project, please feel free to contact us. We would be happy to discuss the benefits for your community and project.