- A new executive order from President Donald Trump puts a metaphorical red X across numerous policies from the Biden administration, including promoting the use of project labor agreements. However, the exact outcome is unclear.
- Perhaps most notably for construction, the March 14 order rescinds a September 2024 action from former President Joe Biden that prioritized federal spending for projects that promote and benefit workers, such as collective bargaining agreements, which include PLAs.
- The impact of the order, however, is hard to predict. The executive order directs federal agencies and guides rulemaking, but doesn’t make immediate policy changes, Carol Sigmond, partner at New York City law firm Greenspoon Marder said. The impact should become clearer once the rulemaking and public comment period for deploying a new rule bears out, Sigmond said.
In a March 17 statement calling Trump’s action a “win,” Associated Builders and Contractors acknowledged it is unclear if it will revoke the entirety of the previous administration’s pro-PLA policies in various federal regulations.
Regardless of the specifics, PLAs on federal jobs face serious challenges.