PROJECT LABOR AGREEMENTS 

MYTHS AND FACTS – THE REAL TRUTH ABOUT PLAs


MYTH: PLAs Save Money
FACT:  Numerous academic studies, including one done right here in New York State, show that PLAs cost more per square foot for construction projects – as much as 20% more.

MYTH:  All Workers Benefit
FACT: Seventy percent (70%) of construction workers in New York State are not members of a union and will be shut out from working on PLA projects or will be forced to pay union dues and fees, sit on the union bench and follow union work rules for their craft.  This forces workers into union representation even though they have freely chosen NOT to belong to a union.

MYTH:  PLAs Assure Use of Local Workers
FACT:  In New York State, unions represent only 30% of the construction workforce.  PLAs mandate union workers on the jobsite over their nonunion counterparts, thus precluding local nonunion workers from working on the project.  And as union membership in construction continues its decline, local unions may not be able to provide an adequate labor supply for a specific project. A PLA allows them to fill this labor shortage by recruiting non-local union members to work on local projects, while the local nonunion workers must sit on the sidelines, stripped of any opportunity to work on the project.


MYTH: Minorities Benefit
FACT:  Associations representing small, disadvantaged, minority- and women-owned businesses such as the National Black Chamber of Commerce and the National Association of Women Business Owners are publicly opposed to PLAs.  Local minority workers are shut out of PLA projects because they are overwhelmingly under-represented in the union membership.

MYTH:  Complex Projects Need PLAs
FACT:  Many large projects, like the rebuilt Wilson Bridge in Washington, DC, the Pentagon renovation after 9/11, Camden Yards in Baltimore, MD, and other large projects are built on time and within budget, without a PLA.  Adversely, Boston’s Big Dig – years behind schedule and millions of dollars over budget (and in need of major repairs now because of leaking tunnels) was built with a PLA.

MYTH:  Worksite Harmony
FACT:  PLAs do NOT prevent strikes.  As recently as June 2006, the Laborers Union Local 6 engaged in a work stoppage on an $850 million project in Chicago, IL, despite a PLA in effect on the project. 

MYTH:  Wages Are Better
FACT:  Prevailing wages apply regardless of a PLA. A PLA actually hurts workers who don’t belong to a union because the worker has to pay union dues and fees out of their prevailing wage.

MYTH: Safer Work
FACT:  OSHA statistics show that union workers historically have a higher rate of fatalities than nonunion workers.  There is NO evidence to prove that workers are safer under a PLA.

MYTH:  More Training
FACT:  PLAs limit access to training.  PLAs prohibit apprentices who are not enrolled in a union program from working and learning on-the-job.  Penalizing workers who participate in training programs outside of union programs is unfair and contributes to the ongoing shortage of skilled workers in the industry.

MYTH:  Anyone Can Bid
FACT:  Most construction companies that are not signatory to a union do not bid PLA projects because they are forced to relinquish management of their own workforce to a third party (the union).  They are forced to either terminate their employees or force their workers to go to the union hall for a worksite referral with no guarantee that their workers will be assigned back to them.

MYTH:  Anyone Can Work
FACT:  As long as workers and contractors relinquish all control to a third party (the union), they can work.  PLAs are a tool to regain lost market share for union contractors and capture more workers into the union with mandated union rules and payment of union fees and dues over the course of a PLA project.
Say "No" to Project Labor Agreements

Free and open competition is conducive to production, economic growth and efficient use of limited resources. It is in the public interest, especially when public contracts and tax dollars are concerned, that all qualified and capable contractors and workers are fairly considered.

Union affiliation should not be one of the determining factors in awarding construction contracts. Free and open competition is the only way to protect public and private interests, stretch scarce construction dollars and maximize product quality.

Put freedom to work and support open competition for all construction jobs. Say "No" to PLAs.

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