Project Labor Agreement Missouri: What You Need to Know

A project labor agreement, or PLA, is a pre-hire collective bargaining agreement that sets the terms and conditions for employees who will work on a construction project. PLA’s are often used in public sector construction projects to ensure that all employees are treated fairly and have access to benefits and protections.

In Missouri, project labor agreements have been a source of controversy for many years. Some argue that they benefit big labor at the expense of taxpayers, while others argue that they help ensure quality construction and a well-trained workforce. Here’s what you need to know about project labor agreements in Missouri:

What is a Project Labor Agreement?

A project labor agreement is a contract between a construction project owner and a labor union or group of unions. The agreement typically requires that all employees on the project be union members or pay union dues, and it sets out the various terms and conditions of employment, including wages, benefits, working conditions, and dispute resolution procedures.

PLA’s are often used for large construction projects, such as highways, bridges, and public buildings, where the cost and complexity of the project require a highly skilled workforce. The PLA ensures that all workers have access to training and safety programs, as well as competitive wages and benefits.

Benefits of a Project Labor Agreement

Proponents of project labor agreements argue that they provide several benefits for both workers and project owners. For workers, PLA’s ensure that all employees are treated fairly and have access to training and safety programs. Union wages and benefits are typically higher than non-union wages, which means that workers can earn a living wage and provide for their families.

For project owners, PLA’s can help ensure that the project is completed on time, on budget, and to high quality standards. A well-trained, skilled workforce is less likely to make mistakes or have accidents, which can lead to costly delays and rework. PLA’s also help minimize labor disputes and strikes, which can further delay the project and increase costs.

Controversy Surrounding Project Labor Agreements in Missouri

Despite their many benefits, project labor agreements have been controversial in Missouri. Critics argue that PLA’s unfairly benefit union contractors at the expense of non-union contractors and taxpayers. They argue that PLA’s limit competition by requiring all employees to be union members or pay union dues, which can raise construction costs by as much as 18%.

Opponents of PLA’s also argue that they are discriminatory against non-union contractors and their employees. They argue that non-union contractors and workers are effectively shut out of public sector construction projects, even if they are more qualified or can perform the work more efficiently than union contractors.

In Missouri, state lawmakers have attempted to limit or ban the use of PLA’s in public sector construction projects. In 2017, the state passed a law that banned local governments from requiring companies to enter into PLA’s for certain projects. The law also prohibited local governments from using PLA’s to discriminate against non-union contractors.

Conclusion

Project labor agreements are an effective tool for ensuring high-quality, safe construction projects and a well-trained, skilled workforce. While they have been controversial in Missouri and other states, many public sector entities continue to use them for large construction projects. If you are working on a construction project in Missouri, it’s important to understand the pros and cons of project labor agreements and to work with an experienced contractor who can help you navigate the complex legal landscape.