Do PLAs raise the cost of construction by establishing a wage level?
The establishment of a wage level is only one part of a PLA. Wages only represent a fraction of the overall cost of construction. Many other factors are as important to the overall cost of a project, including efficiency and quality of construction. Delays create one of the largest single cost items in construction. While PLAs cannot entirely eliminate delays in construction, an ironclad no-strike, no-work stoppage agreement can eliminate any delays attributable to labor. This is no small matter, considering that during the term of many large construction projects, several area collective bargaining agreements could expire, and strikes could potentially stop construction in a given area for weeks at a time. It is also no small matter when one considers the fact that most large construction projects have a mixture of union and nonunion workers, and there are potential sources of friction that can lead to picketing activity, etc., which could have a delaying effect. PLAs offer an opportu