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New Study Confirms Benefits of Project Labor Agreements


A new study commissioned by the School of Industrial and Labor Relations at Cornell University once again affirms the fact that Project Labor Agreements (PLAs) do not discriminate against employers and workers; do not limit the pool of bidders; and do not raise construction costs.

The study, Project Labor Agreements in New York State: In the Public Interest, was authored by Fred B Kotler, the Associate Director of the Construction Industry Program at the Cornell School of Industrial and Labor Relations, and reviewed the background and legal standards for the appropriate use of PLAs on public works projects in New York City and State. It also tests, and rejects, the validity of the claims made by opponents of PLAs – focusing on the studies conducted in recent years by the Beacon Hill Institute.

In its conclusions, the study states, in part, “A key point here is that there is no evidence to support claims that project labor agreements either limit the pool of bidders or drive up actual construction costs. Such claims by opponents are based on inadequate data and faulty methodology. PLAs – in New York City and State and elsewhere – have instead proven very successful at saving costs while respecting fair labor standards.”

Mark H. Ayers, President of the Building and Construction Trades Department, AFL-CIO, concurred, “As we have known for some time – and which this study re-affirms – is that Project Labor Agreements are a valuable tool for ensuring a quality return on construction investments.”

CLICK HERE TO DOWNLOAD A COPY OF THE STUDY

 

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