Back Home About Us Contact Us
Town Charters
Seniors
Federal Budget
Ethics
Hall of Shame
Education
Unions
Binding Arbitration
State - Budget
Local - Budget
Prevailing Wage
Jobs
Health Care
Referendum
Eminent Domain
Group Homes
Consortium
TABOR
Editorials
Tax Talk
Press Releases
Find Representatives
Web Sites
Media
CT Taxpayer Groups
 
Unions
February 3, 2012

February 3, 2012

 

From The Federation of Connecticut

Taxpayer Organizations, Inc. 
Contact Susan Kniep, President

Website: http://ctact.org/
Email:
fctopresident@aol.com

Telephone: 860-841-8032

 

CT high court upholds contractor’s anti-union challenge

 

The Federation extends its appreciation and congratulations to Electrical Contractors, Inc, a Member of Associated Builders and Contractors (CT ABC)

 

Their success could ultimately lessen the impact of contractor costs on state and municipal budgets and taxpayers, while providing a greater opportunity for those seeking employment. 

 

The State and the 169 municipalities throughout Connecticut should consider the advice of Lelah Campo, President of CT ABC, who in her Press Release below suggests that “While the ECI case remains in the court system, CT ABC strongly advises all public owners to refrain from signing a PLA for a public construction project in CT.  The Supreme Court’s recent ruling raises serious questions regarding the legality of PLA’s and similar workforce agreements”. 

 

According to the Hartford Business Journal article below, “The justices said Electrical Contractors is correct in claiming that PLAs are discriminatory and perpetuate fraud, corruption and favoritism, and that Electrical Contractors could challenge PLAs on the grounds of the Connecticut Antitrust Act”.

 

We offer below the Press Release from CT ABC, Lelah Campo’s 2009 Hartford Courant Op Ed,  and the recent news article from the Hartford Business Journal. 

 

***************************

 

News Release From

Contact: Lelah Campo, President, CT ABC

Phone: 860 529 5886, Email: Lelah@ctabc.org

 

CT Supreme Court Allows Challenge to Project Labor Agreement

 

 

 

 January 30, 2012 Rocky Hill, Connecticut: Associated Builders and Contractors of Connecticut (CT ABC) has learned that the CT Supreme Court agreed with plaintiff  and longtime CT ABC member Electrical Contractors, Inc. (ECI) and has permitted ECI to challenge  a project labor agreement (PLA) involving the construction of two public schools  in Hartford.

 

On January 10, 2012, in a 6 to 1 decision, the state's high court ruled that ECI had standing to challenge the pre-bid specifications requiring the successful bidder on two state financed school construction projects in Hartford to be performed under the terms of a PLA.  In essence, this decision, ECI vs. Department of Education (SC 18525), upholds ECI's refusal to sign and be bound by a PLA.   It also means that ECI does having standing, the right to prosecute its claim, that the PLA was in violation of Connecticut’s public bidding statutes as well as the CT Antitrust Act.

 

The opinion in this case, which was first initiated in 2009, was officially issued by the Supreme Court on Jan. 17, 2012.  Through the case’s journey through the state court system, CT ABC was a strong supporter of ECI’s legal effort.  The case now has been remanded to the trial court where the state’s Antitrust Act also will be reviewed as to whether ECI can be awarded monetary damages due to the City’s implementation of the PLA.

 

            While the ECI case remains in the court system, CT ABC strongly advises all public owners to refrain from signing a PLA for a public construction project in CT.  The Supreme Court’s recent ruling raises serious questions regarding the legality of PLA’s and similar workforce agreements.

 

Associated Builders and Contractors (ABC) is a national association with 77 chapters representing more than 23,000 merit shop construction and construction-related firms with nearly two million employees. Associated Builders and Contractors of Connecticut (CT ABC), a Chapter of the national Associated Builders and Contractors, is a membership organization comprised Merit Shop member-firms in Connecticut. Merit Shop contractors represent 80% of the construction labor in Connecticut.  For more information about CT ABC, please call (860) 529-5886 or go online to www.ctabc.org.

 

***************************

 

CT high court upholds contractor’s anti-union challenge

By Brad Kane  bkane@HartfordBusiness.com  Feb 2, 2012

http://www.hartfordbusiness.com/news22474.html

 

The Connecticut Supreme Court has upheld a Hartford electrical contractor's challenge of the state's requirements that union workers be used on public construction projects, possibly hastening an end to such requirements, authorities say.

 

Electrical Contractors Inc. successfully bid on two Hartford school construction projects, but the company challenged the inclusion of a project labor agreement (PLA) on each project, saying it should not be forced to use union labor on the jobs.

 

In ruling on Electrical Contractors' lawsuit against PLAs, the lower court dismissed the case, saying the plaintiff lacked standing to challenge the city and state's union requirements.

 

The company appealed to the state Supreme Court in 2009.

 

In its Jan. 17 decision, the high court ruled 6-1 that Electrical Contractors could challenge, and ordered the case back to the lower court to determine whether the plaintiff and its workers should receive monetary awards for being subject to the PLA.

 

The justices said Electrical Contractors is correct in claiming that PLAs are discriminatory and perpetuate fraud, corruption and favoritism, and that Electrical Contractors could challenge PLAs on the grounds of the Connecticut Antitrust Act.

 

Citing the high court's strong wording, the Connecticut Associated Builders & Contractors Inc. said Electrical Contractors or another contractor may be successful in eliminating these union requirements from all jobs.

"The decision seems to believe that all PLAs are illegal," said Connecticut ABC President Lelah Campo.

 

Campo said even if Electrical Contractors isn't successful in winning monetary claims from the lower court, Connecticut ABC plans to submit more legal challenges in the future to directly have PLAs ruled illegal.

"For the most part, it shuts out open shops, which are 83 percent of the industry," Campo said. "When you shut out 83 percent of the industry, of course it drives up the cost."

 

Connecticut ABC is issuing notices to all owners of public projects that their PLAs could one day be illegal. Campo particularly called out the $839-million renovation of the University of Connecticut Health Center as part of the Bioscience Connecticut project, which will have a PLA.

 

Unions say Connecticut ABC is making much ado out of nothing.

 

The Supreme Court decision only granted Electrical Contractors standing to challenge PLAs and did not outright rule PLAs are illegal, said Charles LeConche, business manager of the Connecticut Laborers' District Council.

"The ruling means nothing. It means they have standing," LeConche said.

 

LeConche said the Supreme Court justices were mostly appointed by Republican governors, so the decision wasn't a surprise to the unions.

 

The case and PLA challenge still has to play out in the lower courts. It could take six months or a year before the lower court hears Electrical Contractors arguments on the case again.

 

"I wish them luck, but they are not going to win," LeConche said. "The future will dictate what the final ruling will be."

 

 

Open Government Projects To Nonunion Labor

By Lelah Campo, President of the Associated Builders and Contractors of Connecticut in Rocky Hill.
Lelah Campo - ABC - May 2009