PORTLAND, Ore. (KOIN) – Oregon Governor Tina Kotek signed an Executive Order on Wednesday mandating projecting labor agreements for state-funded construction projects, the Governor's Office announced.
Executive Order 24-31 aims to improve timeliness, lower costs, invest in high-skilled workers and boost the quality of state construction projects through project labor agreements, or PLAs, the governor’s office said.
“Oregon will soon embark on multiple large scale infrastructure projects across the state. With these projects, we have a generational opportunity to lift up Oregon workers and reinforce public trust in our ability to do big things, and do them well,” Gov. Kotek said. “With the broad use of PLAs across state projects, Oregonians will know that public dollars are spent efficiently and benefit the communities in which they’re spent.”
The executive order requires project labor agreements to be negotiated and executed on state-funded projects where onsite labor costs account for 15% or more of the total construction, reconstruction, or renovation costs.
Some projects are exempt from the executive order, including projects that are shorter in duration or projects where construction lacks the complexity to make a PLA beneficial.
Other exemptions include projects that are currently in development, along with maintenance, emergency repair, or minor projects for existing facilities.
The governor’s office explained that any PLA that is negotiated under the order must guarantee against strikes or lockouts and will create mutually binding protocols for resolving labor disputes without delay.
Additionally, Kotek’s order requires state agencies to set goals and track the use of Certification Office for Business Inclusion and Diversity certified firms in order to advance gender and racial equality.
The Governor’s Office will also conduct biannual reviews to assess how the state is following the order and will provide recommendations if needed.
Statewide labor organizations, including the Oregon AFL-CIO and the Oregon State Building and Construction Trades Council, lauded the executive order.
“This is a huge win for Oregon, and for Oregon’s skilled trades workers,” said Robert Camarillo, executive secretary of the Oregon State Building and Construction Trades Council. “By standardizing fair wages, benefits, and working conditions, PLAs create an environment where all workers, especially those from disinvested communities, can thrive. Union apprenticeship programs have a proven track record of recruiting and graduating more women and workers from impacted communities compared to non-union programs. This executive order solidifies Governor Kotek's commitment to improving Oregon's infrastructure while continuing to build Oregon's skilled workforce. We are grateful for the Governor’s leadership in furthering our mission to build a diverse workforce that reflects the rich diversity of our state."
"Project Labor Agreements are a proven tool to protect workers and ensure high-quality jobs. Governor Kotek’s executive order represents a significant step forward in supporting fair wages, safety, and training opportunities for Oregon’s construction workforce,” added Oregon AFL-CIO President Graham Trainor. “The Oregon AFL-CIO is committed to building a fair and just economy for all working people, and the actions taken by our governor through this executive order is a significant step in that direction.”