• CSC20logograyorangenoyear
  • CSC 2022
      • About
        • About the Conference
        • Floor Plan / Sponsor List
        • Sponsors
        • FAQ
        • Contact Us
        • Health & Safety
      • Hotel & Travel
        • Hotel Accommodations
        • Travel Information
      • Attend
        • Why Attend?
        • Registration & Pricing
        • Conference Schedule
        • Speakers
        • Become a Speaker
        • MCLE Accreditation
      • Sponsor
        • Why Sponsor?
        • Sponsor / Inquire
        • Sponsor Resource Center
        • Sponsorship & Advertising
  • News
    • Latest News
  • Subscribe
    • Newsletter Signup
    • Show Updates
  • .
  • CSC 2022
    • About
      • About the Conference
      • Floor Plan / Sponsor List
      • Sponsors
      • FAQ
      • Contact Us
      • Health & Safety
    • Attend
      • Why Attend?
      • Registration & Pricing
      • Conference Schedule
      • Speakers
      • Become a Speaker
      • MCLE Accreditation
    • Sponsor
      • Why Sponsor?
      • Sponsor / Inquire
      • Sponsor Resource Center
      • Sponsorship & Advertising
    • Hotel & Travel
      • Hotel Accommodations
      • Travel Information
  • News
    • Latest News
  • Subscribe
    • Newsletter Signup
    • Show Updates

December 6 – 8, 2022 |
MGM Grand, Las Vegas

Sign Up Sponsor / Inquire
Q
POPULAR SEARCHES
News + Features
News + Features
News + Features
News + Features
News + Features
News + Features

Latest News

February 15, 2022

EDITORIAL: Biden Order Will Inflate Construction Costs

Latest News
February 15, 2022

EDITORIAL: Biden Order Will Inflate Construction Costs

by Stephen E. Sandherr

ARLINGTON, VA – It is hard to explain why the President would choose to impose government mandated project labor agreements to solve a problem that doesn’t exist. Construction workers are among some of the highest paid workers in the economy, earning ten percent more than the average worker in the U.S. Their pay rates have continued to climb 5.1 percent as labor shortages have made this a workers’ market.

Government-mandated project labor agreements (PLAs) undermine the collective bargaining process by imposing a separate agreement in a specific region that applies only to a limited number of construction firms and unions. These imposed PLAs undercut the benefits of the collective bargaining agreements that were negotiated in good faith between employers and labor unions and will likely prompt many firms to think twice about participating in the bargaining process in the future.

Stephen Sandherrr

Imposing project labor agreements also discriminates against the more than 85 percent of construction workers who choose not to belong to a union. That is because open shop firms that are subjected to a project labor agreement are required to pay both their employees’ benefits and those of the unions involved in the agreement. Since few firms can be competitive while paying two sets of benefits, the order effectively locks out most workers from participating in federal construction projects.

Limiting the number of firms that can compete for federal construction projects and imposing agreements that are often more costly than existing collective bargaining arrangements will inflate the cost of construction projects at a time when firms are already struggling with labor shortages and skyrocketing materials prices. It also undermines the bipartisan spirit of the new infrastructure bill.

Career civil servants also do not see the benefits of imposing these kinds of agreements. A recent analysis of federal construction procurement decisions by the Department of Defense during the Obama administration that we obtained via a Freedom of Information Act request – during a time when federal officials were being pressured by a similar executive order – found that in 99.4 percent of construction projects where a PLA could have been imposed, nonpartisan federal officials found no benefit to taxpayers from imposing one.

Excluding the vast majority of construction workers, inflating the cost of federal construction, and working against the interests of taxpayers is bad politics and even worse policy—which is why we will explore every possible avenue as we push back against this needless and economically damaging new executive order.

Stephen E. Sandherr is CEO of the Associated General Contractors of America, Arlington, Va.

SHARE

Share on Email
Share on Linkedin
Share on Facebook
Share on Pinterest
Share on Twitter
← Previous Article Next Article →
Latest News Latest NewsNews

Biden Vows To Speed Environmental Reviews

WASHINGTON, D.C. – A new press release from the White House outlines a plan to release a new Permitting Action Plan to strengthen and accelerate Federal permitting and environmental reviews.

Latest News Latest NewsNews

AGC Urges End To Tariffs

ARLINGTON, VA - Prices of materials and services for nonresidential construction leaped nearly 21 percent from year-ago levels, according to an analysis by the Associated General Contractors of America of government data.

Latest News Latest NewsNews

Biden Vows To Speed Environmental Reviews

WASHINGTON, D.C. – A new press release from the White House outlines a plan to release a new Permitting Action Plan to strengthen and accelerate Federal permitting and environmental reviews.

Latest News Latest NewsNews

Pandemic Lessons Loom

LAS VEGAS – Everyone hopes the pandemic is a once-in-a-century event, but contract language never sleeps. Construction attorneys, contractors, and governments can learn from pandemic issues in a variety of ways.

Latest News Latest NewsNews

AGC Calls For Tariff Relief

AGC urged the Biden administration to relieve major cost pressures by removing remaining tariffs.

Latest News Latest NewsNews

Industry News: $125K Fine; White House Budget; Giordano Appointed

NEW YORK – New York Attorney General Letitia James announced via press release that her office secured $125,000 from a contractor who skirted diversity requirements.

Latest News Latest NewsNews

Pete Fowler Construction Services – A Problem Solver

SAN CLEMENTE, CA – After 25 years in the consulting business, the employees at Pete Fowler Construction Services (PFCS) have seen a lot. While much has changed since the San Clemente-based consulting firm opened its doors in 1997, some things r
Latest News Latest NewsNews

Supply Chain Delays: What Claim Issues Are You Seeing?

In many industries, the “supply chain” mantra is familiar and persistent. This month we continue the topic with a focus on claims specifically related to delays.

SHOW INFORMATION

SIGN UP

Register now for the opportunity to connect with thousands of atttendees and vendors

Sign Up
Sponsor / Inquire
FOLLOW US ON
  • Follow
  • Follow
  • Follow
© 2022 Emerald X, LLC. All Rights Reserved.

ABOUT    CAREERS    AUTHORIZED SERVICE PROVIDERS   TERMS OF USE   PRIVACY POLICY