Biden is expected to sign an executive order guaranteeing the rights of 200,000 construction workers.
RWASHINGTON, Feb. 3 (CSU) – According to the administration, on Friday, US President Joe Biden will sign an executive order requiring “project labor agreements” in federal construction projects worth more than $35 million, potentially benefiting workers and unions who negotiate these contracts while also shortening construction times.
The move would affect $262 billion in government construction contracts and nearly 200,000 employment, according to the White House, which confirmed news originally published by Reuters late Thursday.
Collective bargaining agreements between construction trade unions and contractors that control remuneration, working conditions, and dispute resolution on individual projects are known as project labor agreements. In the past, Democratic presidents have favored such deals over legislating the enormous federal contracting budget, while Republican administrations have opposed them.
Biden signed a $1 trillion infrastructure plan that would improve the country’s highways, ports, and bridges, and the order will take effect immediately.
Federal agencies will allocate a major amount of the funding to state and local governments. The new executive order, according to a senior administration official, exempts projects financed by non-federal monies, which will make up the vast bulk of the projects covered by the Act. It will, however, apply to billions of dollars in additional government expenditure on waterways, military bases, and other areas.
Biden, accompanied by Vice President Kamala Harris and Labor Secretary Marty Walsh, will sign the new executive order at Ironworkers Local 5 in Upper Marlboro, Maryland, on Friday, according to the White House.
Due to a shortage of available goods and labor, as well as the cancellation of entire projects, the construction industry in the United States has been one of the hardest hit by the COVID-19 pandemic.
After years of continuous decline, Biden has promised to strengthen unions and expand membership in the United States, as well as raise hourly wages in construction, health care, and other fields.
According to a draft seen by Reuters, “contractors that pay lower salaries or recruit less skilled workers would need to boost their standards to compete with other high-wage, high-quality enterprises.” Biden took unilateral action earlier this year requiring government contractors to pay a $15 per hour minimum wage in new or extended contracts.
Some contractors praised Biden’s decision.
According to Daniel Hogan, chief executive of the Association of Union Constructors, which represents 1800 contractor organizations, “this simplifies the bargaining process and allows employers access to a highly qualified pool of craftworkers.”
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