Advantages And Disadvantages Of Project Labor Agreements

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A PLA usually includes labour dispute resolution procedures. For example, if there is a disagreement between management and unions over the interpretation of the ALP, the dispute may go to mediation and then conciliation. THE AEPs generally contain a provision that unions do not agree on a strike and contractors agree not to block workers. Qualitative research has been conducted on other aspects of ATPs. For example, a group of researchers interviewed about 40 people with PTAs to identify the pros and cons of agreements. The results of such a small sample may not be representative of all LSAs. Nevertheless, the researchers concluded that « the interviewees seemed the most convinced that the main advantage of a PLA was to ensure the completion of a project in a timely manner. Pl`s, in particular, guarantee a continuous influx of skilled workers. 25 One respondent said, « Anything that goes beyond five to eight million dollars, we will go into a project employment contract because we think it is a more effective management tool…. Basically, it`s the work pool, the labour supply and the quality of the processing. However, respondents also criticized PTPAs. The main criticism was that THE AEPs can increase the bargaining power of construction unions. According to the study, construction unions can make higher demands in areas where a large proportion of jobs are covered by the PLA in negotiations on new union contracts.

If one union succeeds, other unions may make similar claims.26 The Federal Task Force on MOYENNES CLASSES encourages the use of ATPs as an instrument to help workers and their families enter the middle class, especially those who are unemployed or under-employed. A LLP may include training provisions, including the creation of apprenticeship programs and career opportunities for workers in low-income communities. Continuing education and experience can lead to higher wages. The PLA provides the structure of cooperation with local staff services and the implementation and monitoring of the results of the training provisions in the agreements. A study by the National University System Institute for Policy Research examined the impact of AEDs on the cost of school construction in California. The study collected information on 551 school construction projects, including 65 projects using a PLA. The projects were built between 1996 and 2008 and were valued at $5 million or more. The study concluded that projects built with a PLA cost between 13% and 15% more per square metre than projects that were not built with a PLA. But 47 of the 67 projects built with a PLA were in the Los Angeles school district, where construction costs were higher. The overlapping construction costs and use of a LP have made it more difficult to determine the unique contribution of APEs to construction costs22 If projects using AEPs differ from projects they do not use, it may be difficult to isolate the economic impact of AEPs. Opponents and supporters of the PLA are divided on the economic impact of the PLA. Supporters say the agreements provide for wages, benefits, overtime, working hours, working conditions and working rules for work on major construction projects.

They argue that THE AEPs provide contractors with a reliable and uninterrupted supply of workers at predictable wage and benefit costs, and argue that a LLP facilitates the management of a large project, which ensures that it is completed on time and on budget. Supporters also say the AEPs help train workers, improve worker safety and ensure compliance with labour, health and safety laws. Another common criticism is that, despite advances in planning and negotiations, THE PLA does not save money. Critics say the working conditions required by the AEPs significantly increase project costs, which are then absorbed by the project proponent. In short, the

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