AGC of California Labor Relations Team Negotiates Historic 11 Master Labor Agreements


BY PATRICK BAKER A


midst unprecedented economic challenges, the AGC of California Labor Relations department has


been extremely busy at the bargaining table in 2022, successfully negotiating 11 labor agreements throughout the state – a historic number. “In more than 40 years, I’ve never ex-


perienced so many tables negotiating at one time!” says Rocky Miller, Cox, Castle & Nicholson, LLP. Tese efforts were bol- stered by the department’s team of Union Contractor Council craft committees, made up of dozens of dedicated AGC members along with staff and legal counsel. Labor relations issues surrounding the


COVID-19 pandemic, now well into its third year, have been the dominant and unprecedented hurdle that our indus- try has faced alongside our labor part- ners. AGC Labor Relations has assisted our signatory members in addressing regulatory compliance, staffing concerns


and the well-being of our families and co-workers’ mental health challenges.


Inflation-Driven Impacts Just as these monumental issues asso- ciated with the global pandemic have gradually begun to subside, the con- struction sector has been unexpectedly hit by the sudden and extreme effect of soaring inflation – strongly impacting labor, fuel and material cost escalation and bringing additional uncertainty to our industry and all who work in it. Tese inflationary-driven impacts have without exception become the most pressing concern expressed by everyone at the bargaining table, including both labor and management representatives. While the economic environment


is currently uncertain, having nearly all the basic trades’ wage packages set for three or four years out removes one critical piece of uncertainty. Against the


AGC contractors have emerged from the negotiation rounds with stronger relationships with our bargaining partners, and we are now prepared to continue to forge even stronger relations as we work together on behalf of a robust construction industry with a tremendous amount of work in the pipeline.


backdrop of historically high inflation, the annual wage increases also settled higher than recent history. Te average annual increase negotiated by AGC-CA and its industry partners came in at 4.7% for each year of the agreements (ranging from 3.9% to 5.0%) and we hope that the rate


CALIFORNIA CONSTRUCTOR SEPTEMBER-OCTOBER 2022


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