Sunday, February 09, 2003
Copyright © Las Vegas Review-Journal

LETTERS: Labor agreement has nothing to do with wage costs

To the editor:

I wish I could say that I was shocked by the factual inaccuracies in both Hubble Smith's recent article ("Project labor agreement scrutinized," Jan. 25) and the Review-Journal's subsequent editorial ("Labor pains," Jan. 28), regarding the project labor agreement recently adopted by the Department of Aviation. Unfortunately, in my 23 years of experience, I have often seen the media ignore facts in a gleeful rush to criticize local government.

Both articles argued that a project labor agreement (PLA) -- a contract between the project owner and a union -- would drive up project costs due to union wage requirements. This is a flawed conclusion, based on erroneous information.

The fact is, public agencies are required by state statute (NRS 338.020) to pay prevailing wage on any public works construction project of more than $100,000 -- regardless of whether a PLA is involved. Union scale is always paid to union contractors. Prevailing wage only becomes a factor when nonunion contractors are involved.

There are many reasons to disagree with the use of project labor agreements -- but salary and its effect on project cost is not one of them. Warren Hardy of Associated Builders and Contractors, a vocal opponent of the PLA, knows this. When he and I spoke earlier this week, he expressed his dismay at the portrayal of the issue by the Review-Journal, particularly the statement attributed to him that PLAs "drive up labor costs ... 40 percent."

What is perhaps most surprising is that the Review-Journal has covered this story in the past, and at least attempted to portray the facts behind this complicated issue. It is disappointing that the newspaper did not even bother to consult its own history and research on the subject. In its haste to slam this issue, the Review-Journal has chosen to ignore the facts.

I do not deny that strong arguments can be made both for and against project labor agreements. I ask only that the correct information be cited when making those arguments.

RANDALL H. WALKER

LAS VEGAS

The writer is Clark County director of aviation.