The main benefits of using a Project Labor Agreement (PLA) for a construction project include:
- Standardization of Employment Terms: PLAs standardize wages, benefits, and working conditions across all contractors working on a project, helping to prevent disputes and ensure uniformity.
- Dispute Resolution Mechanisms: PLAs establish uniform mechanisms for resolving disputes, which can protect against delays caused by labor issues.
- Schedule Protection: By preventing strikes and lockouts, PLAs help maintain project schedules and reduce the risk of delays.
- Cost Control: While some argue that PLAs increase costs, evidence suggests they can lead to efficient project completion and cost savings through better labor management.
- Workforce Development and Community Engagement: PLAs can prioritize hiring workers from disadvantaged communities and support workforce development by integrating apprenticeship programs.
- Enhanced Safety and Health Protections: PLAs often include provisions that ensure a safer working environment and better health protections for workers.
Overall, PLAs can contribute to more structured, efficient, and predictable construction projects, especially in large-scale federal or public projects. However, the adoption of PLA requirements, such as those mandated by Executive Order 14063, remains contentious, with some arguing that they reduce competition and increase costs.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/what-are-the-main-benefits-of-using-a-pla-for-a-construction-project/
