The construction industry in the state of California was hit particularly hard by the recession, which has impacted economic development as well as the state’s unemployment rate. As the nation and California continue to work toward economic recovery, conditions can only improve through the employment of Project Labor Agreements (PLAs), which are pre-hire agreements designed to facilitate complex construction projects. Getting our economy working again means getting construction workers back on their feet.
Private companies in California already commonly use PLAs because they recognize the economic benefits associated with them. In addition, by encouraging marketplace competition, contractors are able to compete in a fair bidding process. Construction jobs benefit households by increasing incomes, health benefits, and opportunities for workers to turn their lives around. And with higher incomes and financially independent workers in construction, our communities across the state in turn also benefit, as money is put back into local economies through PLA local hiring goals.
Regaining a vibrant and dynamic economy not only requires quality jobs as part of workforce development but also skilled and adaptable labor. Construction apprentice programs developed by PLAs allow for middle-class career paths and efficient workers who can meet the demands of the 21st century. These apprentice partnerships ensure that workers will be employed while they receive classroom training. The UCLA Center for Labor Research and Education reports in a study that “the programs ensure a win-win partnership between new workers, who can become highly skilled employees in high-wage careers, and employers, who can hire from a pool of highly qualified workers.”
UCLA’s study, entitled “Construction Careers in Our Communities,” profiles the enhanced careers of workers in the construction industry, thanks to PLAs and the benefits of local hire goals and apprenticeship programs. For instance, workers who formally earned meager wages were able to find economic stability, afford housing, pay bills, and overall contribute to the economy. The study concludes that local hiring provisions are successful not only because they increase local hires but also increase the number of new local workers in construction.
Ultimately, local workers funneled into apprenticeship programs sponsored by building trades and construction projects addresses shortages of skilled labor due to the focus on local hiring and training efforts.
View the full report here.