Delaware Law Dabbles With Project Labor Agreement Schemes Harmful to Local Construction Industry
Delaware Governor John Carney signed into law S.B. 35, an appropriations bill in part authorizing Delaware’s office of management and budget and transportation department to require “community workforce agreements” (a project labor agreement euphemism) pursuant to procurement pilot programs governing a maximum of six projects, subject to requirements for annual reporting on various project delivery outcomes.
The data may inform a reprise of ill-considered PLA legislation that garnered overwhelming construction industry opposition in 2016, precipitating its defeat.
SB 35 further authorized the Delaware agencies to administer additional procurement pilots facilitating enhanced participation from minority-owned businesses, a goal the community workforce agreement requirements will undermine. As Rep. Ruth Briggs King (who represents a 20% Latino and 12% Black district in the Delaware House) noted, community workforce agreements would harm businesses in her neighborhood, little to none of whose workers belong to belong to unions.
Commenting on the legislation’s authorization of his agency’s determination what percentage of their current workforce bidders on covered projects would be allowed to retain, Delaware OMB Director Cerron Cole explained, “we just want to make sure the worksites are reflective of the state, and that includes both union and non-union participation and workers from the neighborhood.”
The problem for Mr. Cole and for Delaware is that community workforce agreements are likely to exclude from covered work the overwhelming majority of Delaware construction workers, nearly 93% of whom choose not to belong to a union. Instead of creating opportunities for workers in the Delaware community, PLAs are expected to result in jobs for union members from Philly and other states.
ABC of Delaware will continue its fervent advocacy for fair, open, and representative competition that advances public interests in efficient procurement.
ABC of Delaware will monitor agencies’ reporting pursuant to SB 35 and remain prepared to expose and oppose any expansion of discriminatory union-favoritism in Delaware public purchasing.