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Project Labor Agreement (PLA)
Negotiated labor agreements, designed to provide a uniform labor policy for all construction workers involved in the building of a specific project, or series of projects. As part of the stabilization of wages, benefits, and working conditions, the workers agree to use the PLA’s specific dispute resolution process and forego strikes and other work actions.
The primary goal of the PLA is to save the owner of a project significant amounts of money by dramatically reducing the risk of delay and cost overruns due to labor disputes. The reduction of risk also results in lower financing and insurance costs for the project.