Project Labor Agreements (PLAs) provide owners and managers with a tool for creating a stable, uniform labor management foundation for methodically planning and scheduling a project. The agreements reduce the uncertainties inherent in large-scale construction projects by establishing all terms and expectations up front and creating a framework for cooperation among all groups working on the project. By adopting a labor-management model that fosters jobsite efficiencies and ensures an uninterrupted supply of qualified workers, PLAs keep a project on schedule, avoiding costly delays. They also allow parties to more accurately predict labor costs and production timetables, which means more accurate bidding and lower overall costs. PLAs also offer direct cost savings through streamlined safety procedures, avoiding the need to renegotiate agreements during the course of the project, setting work schedules to keep costs low, and using expedited dispute resolution procedures .
By providing facility owners with a unique and exceptionally reliable source of skilled, trained manpower in all applicable trades, PLAs promote safe, timely, cost-effective construction delivered to the highest quality standards.
Moreover, due to the projected increased demand for skilled labor in the North American construction industry, PLAs help address long-term needs of project owners by providing a highly effective strategy for recruiting and training the next generation of skilled construction workers, thus assisting the industry’s critical need for future workforce planning and development. This experience, as well as those in major metropolitan areas across the nation, point to clear lessons in how CWAs can make construction projects better for government, workers, contractors and communities.
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