by Harry Zimbler, Editor

Region – With more than $830 million worth of prison construction in the works for the state of Pennsylvania, representing six new prisons, the debate about PLA’s is on.

PLA’s – or Project Labor Agreements – stipulate the terms and conditions of a labor contract. At the same time, they are supposed to control costs and prevent strikes from happening.

PLA proponents argue that these agreements allow the state government to limit its risk in the middle of a large public construction project, while eliminating the need to negotiate contracts with each subcontractor hired for the job.

It is the stipulation that union labor is used on the project that seems to stir the most controversy. Proponents argue that non-union firms may bid on the project. Opponents counter that the PLA is a huge disincentive to non-union companies, and essentially excludes them from the process.

State Representative Scott Conklin (D-77), sees no problem with Project Labor Agreements and the fact that the Governor wants to implement them for prison construction.

“Still, we would welcome a formal discussion with representatives of Associated Builders and Contractors and the Chamber of Business and Industry of Centre County to discuss their concerns. We are here to represent the people of Centre County. We are always open to dialogue that could lead to common ground,” stated Tor Michaels, Conklin’s chief of staff.  “If it is the case that Centre County would not get jobs, we would do all we can to help a local business get work here.”

“PLAs discriminate,” said Dave Remick, president of the ABC. “Entering into a PLA significantly reduces the number of construction companies considering to bid and work on the project. More than 80 percent of the construction workforce in Pennsylvania is not signatory to a union.”

The CBICC opposes PLAs, according to Dan Abruzzo, vice president for government affairs.

“The use of PLAs will knock out non-union companies that would like to bid on the work,” he said. “Companies will have to contribute to the union whether they have union employees or not.  In Centre County, we have 750 commercial construction companies that are within an 80-mile radius. There are 21,000 workers who are employed by those companies almost all are non-union.”

A new 2,000-bed prison is planned for the Rockview area, which makes the PLA decision an urgent issue, Abruzzo suggested.

“We are trying to create jobs in and near Centre County,” Abruzzo said. “With PLA’s in place, union contractors will come in from Philadelphia or Pittsburgh. That will take paychecks out of this county and region.”

Both Remick and Abruzzo agree that the taxpayer will suffer because PLAs do not encourage a competitive bidding process.

“Non-union companies are not going to want to bid on jobs that require them to hire from the union hall,” Abruzzo said.

Remick agreed. “Local merit shop contractors who are not signatory to a union have performed hundreds of millions of dollars of work on time and on budget with no Project Labor Agreements in place. They put local people to work. Why is the state doing a labor study when merit shop contractors already perform 80 percent of the construction work here in Pennsylvania?”

According to Remick, PLA’s will lead to higher costs for the taxpayers.

“Things are happening so fast, it’s going to be difficult to stop,” said Abruzzo. “This flies in the face of what we are trying to do here in Centre County. It won’t help Centre County’s workers or economy. Based on my experiences in the industry, there won’t be many contractors who can do the work, unless they convert to union employees.”