Associated Builders and Contractors Vice President Ben Brubeck joined “Varney & Co.” Monday to discuss Biden’s executive order for project labor agreements on federal construction contracts greater than $35 million, arguing the president’s policy will “increase costs” and “discourage competition.”
BEN BRUBECK: President Biden signed an executive order that requires something called project labor agreements on federal construction contracts greater than $35 million, and project labor agreements result in increased costs and discourage competition for more than 87 percent of the construction industry.
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So the result of this executive order is it’s going to steer contracts to unionized contractors and union labor at the expense of taxpayers. And we know that project labor agreements increase the cost of construction between 12 percent and 20 percent. So that means we’ll get fewer roads, schools, bridges and utilities that were funded through the infrastructure bill or earlier this year. So this is a real lose–lose policy for taxpayers and the construction industry.
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Our members are furious with the administration over this, and they hope that they’ll reconsider the policy and the policy will be replaced with something that will support fair and open competition that will encourage all Americans and all construction companies to compete for this taxpayer-funded construction work.
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