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Prevailing wage laws have long been criticized as a tool of the labor unions. Too often, say critics, the “prevailing” wages are the same as those negotiated in collective bargaining agreements. This nullifies any competitive advantage of non-union contractors and inflates labor costs on public projects.
Its inception was the result of collective, creative minds who recognized a simple fact of the construction business: Cooperation between union carpenters and contractors would produce stronger, more predictable and ultimately successful results than an antagonistic approach to industry issues.
These are pre-hire agreements between a general contractor or a construction manager and a designated collective bargaining representative for all labor on the project. Labor is not restricted to union members, although non-union labor must be hired through union halls and paid the negotiated rates.
A showdown between the United Auto Workers and Volkswagen at VW’s $1-billion assembly plant in Chattanooga, TN could have profound implications for the future of the union, the plant and labor relations in the U.S. to offer a compromise to the autoworkers union. Now, buoyed by a brisk recovery in the U.S.
Electricians are set for a 7% wage rise from 2024 after a new pay deal was hammered out by electrical contractors and union Unite under the JIB collective agreement. The two-year deal for the industry also includes a 5% uptick in rates from 2025.
Collective Bargaining: One or more unions meeting with representatives from an organization to negotiate labor contracts. Under COBRA, coverage may continue for the following cases: termination of employment, change in working hours, change in dependent status or age limitation, separation, divorce or death.
This means contractors working on eligible projects should expect to pay more in labor and benefits and may have to enroll their workers with a union, even if they’re an open shop. A project labor agreement, or PLA, is a prehire collective bargaining agreement that sets the wages and benefits for all workers on a project.
The RFP appears to be Boeing’s trump card aimed at breaking a long-running dispute with the Machinists union in Everett, WA, Boeing’s long-time production hub and current home to its 777 assembly line. Industry analysts view the RFP as a last-ditch effort to break the deadlock and bring the union back to the bargaining table.
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