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Project Labor Agreement

Project Labor Agreement is a engineering topic covered in the lgStudy science library. This page brings together a partial reference excerpt, illustrations, worked examples, real-world applications and a short study plan, so you can understand Project Labor Agreement rather than just read about it. In short: A Project Labor Agreement (PLA), also known as a Community Workforce Agreement, is a pre-hire collective bargaining agreement with one or more labor unions that establishes the terms and conditions of employment for a specific construction project. Before any workers are hired on the project, construction unions have bargaining rights to determine the wage rates and benefits of all employees working on the particula…

Key takeaways

  • Project Labor Agreement belongs to engineering; place it in that map before memorising details.
  • Learn the definition first, then one example that makes the definition concrete.
  • Connect Project Labor Agreement to a quantity you can measure, compute or draw — that is where exam questions come from.
  • Reproduce the core statement of Project Labor Agreement from memory before moving on to harder problems.

Reference excerpt

A Project Labor Agreement (PLA), also known as a Community Workforce Agreement, is a pre-hire collective bargaining agreement with one or more labor unions that establishes the terms and conditions of employment for a specific construction project. Before any workers are hired on the project, construction unions have bargaining rights to determine the wage rates and benefits of all employees working on the particular project and to agree to the provisions of the agreement. The terms of the agreement apply to all contractors and subcontractors who successfully bid on the project, and supersedes 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. The agreement may include provisions to prevent any strikes, lockouts, or other work stoppages for the length of the project. PLAs typically require that employees hired for the project are referred through union hiring halls, that nonunion workers pay union dues for the length of the project, and that the contractor follow union rules on pensions, work conditions and dispute resolution. PLAs are authorized under the National Labor Relations Act (NLRA), 29 U.S.C. §§ 151–169. Sections 8(e) and (f) of the NLRA, 29 U.S.C. §§ 158(e) and (f) make special exceptions from other requirements of the NLRA in order to permit employers to enter into pre-hire agreements with labor unions in the construction industry. The agreements have been in use in the United States since the 1930s, and first became the subject of debate in the 1980s, for their use on publicly funded projects. In these instances, government entities made signing PLAs a condition of working on taxpayer funded projects. This type of PLA, known as a government-mandated PLA, is distinct from a PLA voluntarily entered into by contractors on public or private work—as is permitted by the NLRA—as well as a PLA mandated by a private entity on a privately funded construction project. Presidential executive orders issued since 1992 have affected the use of government-mandated PLAs for federal construction projects. Executive Order 13502, issued by President Barack Obama in February 2009, encouraged federal agencies to consider mandating PLAs on a case-by-case basis for federal contracts of $25 million or more. President Joe Biden's Executive Order 14063, which revoked Obama's executive order, requires PLAs on federal construction contracts of $35 million or more. The use of PLAs is opposed by a number of groups, who argue that the agreements discriminate against non-union contractors and do not improve efficiency or reduce costs of construction projects. Studies of PLAs have mixed results, with some studies concluding that PLAs have a favorable impact, while others find that the agreements can increase costs, and may negatively impact non-union contractors and workers. State‑level building‑trades organizations, such as the Affiliated Construction Trades of Ohio (ACT Ohio), actively promote the use of project labor agreements on public and private construction projects. ACT Ohio argues that PLAs keep construction work and wages local, spur economic development, and ensure timely project completion.

History

Early use The earliest uses of Project Labor Agreements in the U.S. date back to several dam projects in the 1930s, including the Grand Coulee Dam in Washington, the Shasta Dam in California and the Hoover Dam in Nevada. Modern PLAs particularly developed from those used in construction carried out during World War II, a period when skilled labor was in demand, construction unions controlled 87% of the national market and government spending on construction had increased significantly over a short period of time. These early PLAs focused on establishing standard rates of pay and preventing work stoppages. PLA projects that followed included Cape Canaveral in the 1960s, Disney World from 1967 to 1971 and the Trans-Alaska Pipeline from 1973 to 1977. During this period and subsequently, the unionized share of the construction industry precipitously declined as construction users sought more open competition. By the 1980s, nonunion contractors claimed in excess of 80% of the construction work, in a wide variety of trades, with some variation in different parts of the country.

… excerpt ends here. Continue reading the full article.

Worked examples

Example 1 — a first encounter with Project Labor Agreement

Start with the simplest possible case. Write down what Project Labor Agreement claims or describes in one sentence, then invent the smallest concrete situation in which that sentence is true. In engineering, the smallest case is usually a single object, a single equation or a single measurement. Check that every symbol or term in your sentence has a meaning in that case.

Example 2 — changing one variable

Take the situation from Example 1 and change exactly one quantity: double it, halve it, or set it to zero. Predict what should happen to Project Labor Agreement before you calculate. Comparing your prediction with the result is the fastest way to find out whether you understand the idea or only the words.

Example 3 — an exam-style question

Typical questions about Project Labor Agreement ask you to (a) state it precisely, (b) apply it to given data, and (c) explain a limitation. Practise writing all three answers in under five minutes; the third part is what separates a full-mark answer from an average one.

Applications of Project Labor Agreement

In research
Project Labor Agreement appears in engineering research whenever the underlying quantities have to be modelled precisely. Papers usually cite it as a starting assumption and then explore where it breaks down.
In technology and industry
Engineering practice reuses Project Labor Agreement in design rules, simulations and safety margins. Knowing the idea lets you read a specification sheet and understand why the numbers look the way they do.
In the classroom
Project Labor Agreement is common in secondary-school and first-year university syllabi. It links to neighbouring topics Building, Building engineering, Construction documents, so understanding it makes those chapters shorter.
In everyday life
Look for Project Labor Agreement outside the textbook — in sport, cooking, traffic, electronics or the sky above you. An example you found yourself is remembered far longer than one you were given.

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How to study Project Labor Agreement in 20 minutes

  1. Read the reference excerpt below once, without taking notes.
  2. Close the page and write down what Project Labor Agreement means in your own words.
  3. Compare your version with the excerpt and mark what you missed.
  4. Work through the three examples above with pen and paper.
  5. Explain Project Labor Agreement out loud to somebody else — or to Teacher Smith in the lgStudy chat.

Frequently asked questions

What is Project Labor Agreement in simple terms?

A Project Labor Agreement (PLA), also known as a Community Workforce Agreement, is a pre-hire collective bargaining agreement with one or more labor unions that establishes the terms and conditions of employment for a specific construction project. Before any workers are hired on the project, const…

Why does Project Labor Agreement matter?

Because it connects several engineering ideas at once: it gives you a definition you can apply, a quantity you can calculate, and a way to check whether a result is plausible.

How should I study Project Labor Agreement?

Read the excerpt, restate it from memory, then work through the examples and applications listed on this page. The five-step study plan above takes about twenty minutes.

What does this page cover?

It gives you a compact reference excerpt plus original lgStudy explanations, examples, applications and study material on Project Labor Agreement.

Tags

  • Building
  • Building engineering
  • Construction documents
  • Labor relations in the United States

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