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Ending the mandatory use of project labor agreements will save taxpayer dollars

Greg R. Lawson May 04, 2016

Ohio needs many different labor reforms. Ending the mandatory use of labor agreements (PLAs) in public projects will save Ohio taxpayers money.  PLAs pick winners and losers. Among those losers are the millions of Ohio taxpayers, businesses, and non-union employees that continue to pay more for less.

Estimates show that projects with PLAs can increase construction costs by as much as 15% – providing Ohio with less bang for the buck. PLAs make taxpayers pay more for public projects such as roads, infrastructure, and repairs that could be done better, faster, and more efficiently.

new policy brief based on a Buckeye Institute report explains how PLAs:

  • Increase costs for taxpayers;
  • Decrease competition among contractors on public projects by adding burdensome red-tape and requirements;
  • Force non-union workers on PLA projects to pay for union benefits they will likely never see.