Project Labor Agreements (PLAs): What You Need to Know

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What Are Project Labor Agreements (PLAs)?

A Project Labor Agreement (PLA) is a pre-hire, collective bargaining agreement between a project owner or contractor and labor unions. While often presented under various names such as Community Workforce Agreements or Project Stabilization Agreements, their fundamental purpose remains the same: to mandate union labor for specific construction projects.

The Reality of PLAs: Impact on Competition, Cost, and Workforce

Proponents of PLAs argue they ensure projects are delivered on time and on budget while guaranteeing worker benefits and safety. However, the reality tells a different story:

  • PLAs Stifle Competition – These agreements exclude the vast majority of skilled nonunion workers and contractors, limiting free and fair competition
  • PLAs Increase Costs – With fewer bidders, construction costs rise, burdening taxpayers and reducing available funding for other essential infrastructure projects.
  • PLAs Are Unfair and Discriminatory – They effectively prevent nearly 90% of California’s construction workforce, which chooses to work for merit-based contractors, from participating in PLA-governed projects.
  • PLAs Exacerbate Skilled Labor Shortages – By restricting the use of state and federally approved nonunion apprenticeship programs, PLAs contribute to the construction industry's ongoing workforce crisis.
  • PLAs Harm Local Communities – The inflated costs and exclusionary nature of PLAs limit the number of projects that can be completed, reducing resources for schools, emergency services, and other critical public infrastructure

Fairness and Opportunity


ABC CA’s Commitment to Fairness and Opportunity

At ABC CA, we stand for fairness, competition, and the right of all skilled workers to participate in construction projects—union and nonunion alike. We believe in a transparent and open bidding process that prioritizes quality, efficiency, and economic responsibility over exclusionary policies that serve only a select few.

Fairness and Opportunity


Join the Fight Against PLAs

ABC CA actively advocates for the elimination of government-mandated PLAs, not out of opposition to unions, but in support of free enterprise and fair competition. The construction industry thrives when all qualified contractors—regardless of union affiliation—can bid on and build public and private projects.