5National Right to Work Newsletter – March 2006

The Missouri Legislature seemspoised early this month to enactlegislation that would ban union-only"project labor agreements," or PLA's, ontaxpayer-financed public works thatreceive all or most of their funding fromthe state.

This compromise measure is a signboth of increasing Right to Work strengthin the "Show Me" State, and of theconsiderable obstacles Right to Workadvocates continue to face.

Counties, cities, and school districtscould continue to cut PLA deals in caseswhere more than half of their tax fundingcomes from local sources, but wouldhave to conduct public hearings beforeimposing a so-called PLA.

National Right to Work Committeeleaders, who had called on Missourilegislators early this year to enact a totalban on state and local taxpayer-fundedPLA's, have a mixed reaction to the new"Missouri Compromise" pending in thestate Senate.Workers and Small FirmsAre Harmed by PLA's

"It's been said that when both partiesare dissatisfied with the outcome, youhave a genuine compromise," saidCommittee Vice President DougStafford.

"By that definition, the deal cut inJefferson City last month is certainly acompromise.

"Construction union bosses arefurious that their special privileges maybe pared back. Independent-mindedemployees, small firms and taxpayers aredisappointed that a Big Labor filibusterprevented the Senate from banningtaxpayer-funded PLA's flat-out.

"Inadequate as it is, however,S.B.849, the amended PLA bill that nowis poised to pass the Senate, represents astep in the right direction."

PLA's typically force nonunioncompanies who wish to bid on taxpayer-funded public works to impose unionmonopoly bargaining and forced union"agency fees" on their long-termemployees and hire many employeesthrough discriminatory union hiringhalls.

Independent workers, including thosewho already have their own health andretirement plans, are forced to contribute

project thus range from $1.88 million fora 100,000 square-foot structure to $5.6million for a 300,000 square-footstructure.

"The Committee is prepared, ifnecessary, to mobilize its members inMissouri to ensure that S.B.849 isapproved by the state Senate and Houseand signed by Gov. Matt Blunt [R]," saidMr. Stafford.

"But Committee members will alsocontinue to push for total bans on stateand local-taxpayer funded PLA's inMissouri and in other states."Committee Officer VowsTo Redouble Efforts to Ban Union-Only PLA's

"Freedom-loving Americans' efforts tostop the misuse of taxpayers' money forPLA's are gaining momentum. The factthat even a partial PLA ban stands on theverge of enactment in Missouri, a non-Right to Work state where Big Labor hashistorically wielded massive clout, is agood sign," Mr. Stafford continued.

"But we still have a long way to go.That's why the National Committee isdetermined to step up its assistance forlegislative and gubernatorial candidatesurvey programs in key states this year.

"With National Committee members'help, states like Missouri, Iowa,Kentucky and Delaware can pass fullPLA bans in the near future."

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to Big Labor-manipulated benefit funds."The bogus excuse for such flagrant

discrimination against independentworkers is that PLA's promote 'laborpeace' and thus control taxpayer costs forpublic works," said Mr. Stafford.'Labor Peace' Excuse ForPLA's Is Belied by YearsOf Bitter Experience

"But the history of PLA's is that theypromote union-boss featherbedding andcost overruns for which taxpayersusually have to pick up the tab," Mr.Stafford added.

"The most notorious example isBoston's 'Big Dig,' which was finallycompleted in 2004, six years late and $12billion over budget, then promptlyexperienced 400 leaks in its tunnel wallas well as a wide array of other costly-to-repair damage.

"PLA's on smaller, simpler projectsalso routinely go wrong."

Mr. Stafford cited a meticulous 2003study of school PLA's conducted byBoston's Beacon Hill Institute.

It found that school PLA's in theGreater Boston Area add an estimated$18.83 (in 2001 dollars) per square footto the bid cost of construction -- a mark-up of almost 14%, which is, of course,taken out of taxpayers' pockets.

The potential taxpayer savings for notentering a PLA on a school construction

'Missouri Compromise' Would Ban Some PLA'sTaxpayer-Funded Schemes Corral Construction Workers Into Unions

Like the original "MissouriCompromise," coauthored by Americanstatesman Henry Clay, the compromise

on taxpayer-funded, union-only PLA'sforged in Missouri's Capitol last monthhas left both sides dissatisfied.

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