The Truth About Project Labor Agreements

Michigan Gov. Rick Snyder signed S.B.165 on July 19 and it is already having an impact for taxpayers and the vast majority of the construction workforce that chooses not to join a labor union.

This week, Wayne State University cancelled an RFP for the renovation of a softball locker room that contained a requirement that all contractors on the job agree to a wasteful and discriminatory project labor agreement (PLA) with Big Labor.  Our expectation is that an RFP for this project will be re-issued without a PLA mandate, which will give everyone in the construction industry equal opportunity to compete for this project and create much needed jobs in the city of Detroit.

This is one of several PLA requirements that have been revisited or outright removed in Michigan since the enactment of S.B. 165.

Here at TheTruthAboutPLAs.com, we couldn’t be happier with the implementation of this new Act so far.  Local government entities and public universities are respecting the will of the people and choosing to withdraw their PLA requirements without a distracting legal fight.  This ensures that all contractors and their employees have the opportunity to compete for taxpayer funded construction, regardless of whether they are willing to give in to Big Labor’s demands.

We continue to urge all public entities in Michigan, including cities, towns, school districts and public colleges and universities, to comply with this new law.  It is not only good public policy, but also will ensure that construction projects can go forward and create jobs for Michiganders without litigation and other costly delays.