Biden mandates Plas on Large Federal Contracts
Zachary Phillips
Dive Brief :
■ The Biden administration announced on Monday a final rule implementing an executive order that will require project labor agreements on federal construction projects costing $ 35 million or more . It will likely result in PLAs being required on a majority of large federal jobs .
■ President Joe Biden first enacted the rule change in February 2022 , but it will not go into effect until 30 days after it is published in the Federal Register on Friday , due to formal rule change processes by the Federal Acquisition
Regulatory Council . The executive order ’ s implementation replaces an Obama-era rule that encouraged PLAs on federal jobs , but did not mandate the practice .
■ As a result , the White House estimated as many as 200,000 workers on federal construction jobs could see boosted “ wages , benefits and safety protections regardless of union membership .”
Dive Insight :
Part of the goal of the executive order , according to the White House fact sheet , is to increase efficiency by having all
6 DITCHMEN • DECEMBER 2023