(Los Angeles, CA) Today, the Los Angeles Board of Airport Commissioners (BOAC) approved a 10-year extension of the Los Angeles International Airport (LAX) Project Labor Agreement (PLA). The extension ensures that the PLA will be in place continuously for more than 30 years to maintain labor relations policies and procedures for construction contractors and craft employees engaged on all of LAX’s capital projects.
“With the historic extension of the LAX Project Labor Agreement, Los Angeles World Airports is once again setting the standard for excellence in our commitment to workforce development and inclusion,” said Sean Burton, President, BOAC. “From our groundbreaking HireLAX Apprenticeship Readiness Program, to 20 years without a work stoppage, this agreement has been and will continue to be a cornerstone of LAX’s transformation into one of the best airports in the world.”
The PLA’s workforce development system led directly to the creation of the award-winning HireLAX Apprenticeship Readiness Program, a free eight-week course that prepares residents within the Airport Impact Area for opportunities in the construction trade. With a construction career placement rate of 83 percent and the diversity of its 202 graduates, HireLAX is regarded as one of the top pre-apprenticeship programs in the country. The HireLAX program has been on hiatus due to COVID-19, but a new cohort will begin in January.
“We are excited about the 10-year extension of our Project Labor Agreement with Los Angeles World Airports,” said Sean McGarvey, President of North America’s Building Trades Unions. “Throughout two decades, our LAWA PLA has not only strengthened labor-management cooperation and workforce development, but our strong relationship has been maintained without any work stoppages related to labor issues, as billions of dollars of construction projects were completed. This valuable partnership is one of the longest-running and most successful PLAs in the country. With this new extension, we begin writing the next chapter in the success story of our outstanding and enduring partnership together.”
The extension builds on the current success of the PLA, which celebrated its 20th anniversary last year.
“The extension of the PLA is a critical step in delivering not only promised infrastructure, but the promised jobs and business opportunities to support our community,” said Justin Erbacci, Chief Executive Officer, LAWA. “The future of LAX would not be possible without the craft laborers at the heart of this agreement. Thank you to Parsons, Los Angeles/Orange Counties Building and Construction Trades Council Executive Secretary Ron Miller, and the other members of the negotiation team who were integral in making this extension a reality.”
LAX’s $5.5 billion Landside Access Modernization Program (LAMP) has built upon the PLA’s foundation to establish strong workforce contract requirements with its public-private partnership projects – the Automated People Mover (APM) and Consolidated Rent-A-Car (ConRAC) facility. These contracts require the developers to achieve 30 percent local hire. With contractual accountability mechanisms, these two large projects have consistently outperformed the minimum requirement.
“This is a vote of confidence in our workforce,” said Ron Miller, Executive Secretary, Los Angeles/Orange Counties Building and Construction Trades Council. “LAX is the welcome mat for the world to come to LA, and the work we are doing is the springboard to a better future for our local residents.”
Some of the other key elements of the PLA Amendment include:
- Updating or eliminating work rules that may conflict with prevailing wage requirements that were not in place at the time the PLA was originally negotiated.
- Adding specific references to the HireLAX Apprenticeship Readiness Program.
- The 30 percent local hire goal will now be measured by craft hours worked, not headcount, and will continue to be measured by overall project performance.
- The addition of North America's Building Trade Unions-standard language requiring coordination with the veteran hiring program Helmets-to-Hardhats.
LAWA requires rigorous monthly workforce data reporting, beyond what is required in most City contracts, which allow LAWA to track local hire participation by hours worked, as well as by headcount. When tracked by hours worked, both the APM and ConRAC projects further exceed the minimum requirement. Both projects are also required to hire at least 100 first period construction apprentices, with many individuals new to construction recruited and developed through programs such as LAWA’s own HireLAX.
To learn more about the HireLAX Program, click here.