Gov. Maura Healey paid a visit to MGM Springfield to sign an executive order promoting project labor agreements by state agencies for larger public works projects across the state.
Reminder Publishing photo by Ryan Feyre
SPRINGFIELD — Gov. Maura Healey officially signed an executive order on March 11 to promote the use of project labor agreements by state agencies for large public works projects.
The governor signed the order surrounded by state officials and labor leaders at MGM Springfield during the Massachusetts Building Trades’ 106th annual convention.
According to Healey, the order requires executive department agencies to review public works construction projects with estimated construction costs over $35 million to determine if a PLA is in the best interest of the projects, workers and community.
That analysis, according to Healey’s terms, will take into account factors such as: scope, complexity, proposed schedule, site conditions and the size and nature of the construction workforce required.
“A reason why I like a PLA is because national studies show that PLAs save money,” Healey said at MGM. “They save money for investors, which in public construction means they save money for taxpayers. That’s a good thing.”
According to the governor’s office, a PLA is a collective bargaining agreement that is executed between contractors and labor organizations that establishes the terms and conditions of employment for all contractors, subcontractors and craft labor employees performing work on a specific construction project.
Healey’s office stated that PLAs help deliver high quality jobs for a diverse workforce and maintain competitive costs and project timelines. A 2022 study from Independent Project Analysis, Inc. showed that PLAs also lower construction costs.
During her visit to MGM, Healey said that, with the help of state Sens. Adam Gomez (D-Springfield) and Jake Oliveira (D-Ludlow), the Legislature established a PLA in partnership with the Massachusetts Building Trades to aid the construction of a new Holyoke Veterans Home after the tragedies that occurred at the current one.
She said that although that period is a dark one in the state’s history, that PLA has allowed the construction of a new state-of-the-art, state-run veterans’ home to be “on budget” and “ahead of schedule.”
“The state committed to making Holyoke a world-class facility befitting of our veterans and those who served,” Healey said. “And flash forward years later with a PLA, the result is a project of high quality that’s on budget and ahead of schedule.”
According to previous Reminder Publishing reporting, the new Veterans Home will house more than 230 long-term care patients and staff will be increased by over 30%. Construction started in August 2023, and the projected is slated to finish in 2026.
William Darnley, a 26-year member of Laborers Local 596 in Holyoke and labor steward for the Soldiers’ Home project, said that the project’s PLA has allowed him to work with a diverse group of local laborers from “all walks of life.”
“I’d like to thank Gov. Healey for continuing our ability to have these project labor agreements,” Darnley said. “I feel that having all union with good pay, good benefits, a straight system of rules that we all know how to how to work together through, benefits the community and the workers themselves.”
During her visit to MGM, Healey noted that PLAs have also a produced a reliable budget and reliable timelines for other large projects like TD Garden and Gillette Stadium.
“We know that it’s really important that these projects are set up for success. This means ensuring that contractors have a trained and ready workforce to turn to and a plan for meeting deadlines, staying within budget and keeping everyone safe,” Healey said. “In many cases, PLAs can help make that happen, while promoting good job opportunities for workers of all backgrounds, including veterans, women and minorities.”
The new executive order does not require a PLA for any given project, according to Healey. Instead, it requires the review of larger projects that use a lot of state taxpayer dollars to see if a PLA is necessary.
According to the governor’s office, the order does not limit any project to only union labor. Bids would be enlisted from union and non-union companies, opening opportunities for contractors to partner with a wide network of subcontractors to meet workforce needs.
Before signing, Healey noted that the executive order is timely because there are many critical construction projects underway around the state, including housing, roads, bridges and other infrastructure needs.
“PLAs are going to be an important part of our success,” Healey said.
