Obama Issues Executive Order on PLAs

Kegler Brown Construction Newsletter

The president, on February 6th, signed an executive order authorizing federal agencies on projects whose total cost is $25 million or more to implement Project Labor Agreements (PLAs) binding all contractors and subcontractors on the project. The executive order reinstates a former Clinton-administration rule and does not mandate PLAs, but simply authorizes them if the contracting agency believes they advance labor standards, efficiency or other matters.

The stimulus bill was silent with respect to PLAs on projects receiving federal stimulus funding.