Project Labor Agreements ("PLAs") are rapidly moving to the forefront of organized labor's initiatives. Described as pre-hire collective bargaining agreements with one or more labor organizations that establish the terms and conditions of employment for a specific public or private construction project, PLAs are often the string that now comes attached to most large-scale federal construction contracts. In fact, in February 2009, President Obama unwound a Bush administration labor rule through the issuance of Executive Order 13502, which encourages government agencies to use PLAs on projects costing at least $25 million. While signing this Order, President Obama signaled his view of labor's role in the economic-recovery process, stating "I do not view the labor movement as part of the problem. To me, it's part of the solution."
Take heed if a PLA comes across your desk. PLAs often require contractors to grant union officials monopoly bargaining privileges over workers; exclusively use union hiring halls; force workers to contribute to union pension plans; and pay above-market prices for labor. Also, don't forget, by agreeing to enter into a PLA, you have now invited the union into your company, making your employees a susceptible target for their insistent organizing tactics. California leads the effort to ban the use of PLAs, as several counties, including Orange and San Diego, have passed laws forbidding their use in constructions projects funded by public monies. Only time (and future elections) will tell the true impact of PLAs.
In addition to PLAs, the NLRB remains a labor weapon of choice for President Obama. On September 30, 2010, the National Labor Relations Board's ("NLRB") Acting General Counsel, Lafe Solomon, announced a plan to expedite the processing of Section 10(j) requests. Section 10(j) requires immediate reinstatement of employees alleging unlawful discharge during an organizing campaign. An injunction is granted upon a mere showing of a reasonable likelihood that the termination was unlawful. In all cases found to have merit by NLRB Regional Directors, the General Counsel's office in Washington, D.C. will analyze the case to decide if an injunction would be appropriate pending litigation of the underlying unfair labor practice case. Solomon's memorandum emphasizes that the goal "is to give all unlawful discharges in organizing cases priority action and a speedy remedy," setting forth an optimal timeline and procedures for processing "nip-in-the-bud discharge cases."
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