Mayor Cherelle L. Parker on Tuesday signed an order directing Philadelphia city agencies to draft labor agreements before selecting contractors for taxpayer-funded projects, a move that has long been championed by unions that represent construction workers.

The executive order directs city agencies to consider enacting Project Labor Agreements for publicly funded projects. The collectively bargained pacts, commonly called PLAs, usually set pay standards, require local hiring, and outline how future labor disputes should be resolved.

They also can effectively guarantee that city contractors use union labor. During a news conference Tuesday, Parker was flanked by dozens of union leaders, including Ryan Boyer, the head of the Philadelphia Building Trades & Construction Council. Boyer is one of Parker’s most important political allies, and the construction unions are credited with providing her a critical boost in the competitive 2023 mayoral campaign.

Parker on Tuesday insisted that the goal was not to ice out contractors who don’t use union labor from bidding for city projects.

“The city of Philadelphia is unapologetic about making sure that when we work on public works contracts ...any contractor interested in working and competing, you have the ability to do so,” she said.

The executive order includes language that says contractors have the right to select nonunion bidders. The state Supreme Court in 2019 ruled that a PennDot PLA requiring union labor violated Pennsylvania’s competitive bidding law.