Author: agcnews

Government- Mandated Project Labor Agreements & Local Hire Requirements Buried within the U.S. Department of Treasury interim final rule (IFR) on how the $350 billion in state, local, and territorial government funding provided through the American Rescue Plan Act (ARPA) can be spent, is language hinting the Department’s preference for “strong labor standards.” The IFR specifically highlights that water, sewer and broadband investments eligible for these funds are encouraged to use “project labor agreements and community benefits agreements that offer wages at or above the prevailing rate and include local hire provisions.” Projects receiving funding from ARPA will be required…

Construction employment was unchanged from March to April as nonresidential contractors and homebuilders alike struggled to obtain materials and find enough workers, according to an analysis by AGC of government data released today. Association officials said the industry’s recovery was being hampered by problems getting stable prices and reliable deliveries of key materials, while the pandemic and federal policies were making it harder for firms to find workers to hire. “Contractors are experiencing unprecedented intensity and range of cost increases, supply-chain disruptions, and worker shortages that have kept firms from increasing their workforces,” said Ken Simonson, the association’s chief economist.…

The U.S. Department of Labor (DOL) Wage and Hour Division (WHD) finalized its recent proposal to officially withdraw a Trump administration final rule clarifying the standard for employee versus independent contractor status under the Fair Labor Standards Act (FLSA). The withdrawal is effective immediately without any replacement or new guidance and employers are advised to rely on past court decisions and WHD guidance to determine whether those workers are employees under the FLSA or independent contractors. AGC has long called for federal clarification of the independent contractor status and preservation of legitimate independent contractor relationships, such as those that have historically existed in the…

Would Provide $35 Billion in the Nation’s Water Infrastructure On April 29, the U.S. Senate overwhelmingly passed (89-2) the bipartisan Drinking Water and Wastewater Infrastructure Act of 2021 (S.914). The act authorizes more than $35 billion for the Environment Protection Agency’s (EPA) grant programs and revolving loan funds for water and wastewater infrastructure targeting upgrading aging systems, climate change resiliency, implementing new technologies and aiding marginalized communities. Action now moves to the House of Representatives, where AGC will continue to press for robust investment in water infrastructure. For more information, click “Learn More.” The legislation reauthorizes the Drinking Water State Revolving Fund…

On April 30, AGC and its coalition partners met with the White House Office of Management and Budget (OMB) to raise concerns about and question the need for a federal Occupational Safety and Health Administration (OSHA) COVID-19 emergency temporary standard (ETS) 14 months into the pandemic. AGC highlighted the conflicting messages delivered by the administration. On the one hand, the administration continues to highlight the significant decline in case rates, hospitalizations, and great progress towards ending the pandemic through vaccination efforts. On the other hand, OSHA remains determined to issue an ETS to address what it calls grave dangers posed…

The U.S. Environmental Protection Agency is working on a new rule related to hexabromocyclododecane (HBCD), a flame retardant chemical that was used from the 1980s until 2017 as an additive to polystyrene to make insulation boards for construction. An EPA risk assessment showed that there is a potential for worker exposure to HBCD particles. EPA has asked AGC to identify small business construction representatives who can advise a panel of government lawmakers on their respective technical and financial abilities to meet clean-up or handling requirements that may be put in place regarding HBCD insulation board. If you are a small…

Construction Officials Say New Infrastructure Investments, Tariff Relief for Key Construction Materials are Needed to Help Contractors Cope with Continued Economic Impacts of the Pandemic Nonresidential construction spending fell to a two-year low in March as contractors struggled with slumping demand for most project types and growing shortages of materials, transport, and workers, according to an analysis of new federal construction spending data by the Associated General Contractors of America. Officials with the association said project cancellations and widespread supply chain problems are hindering the industry’s recovery. “Every major category of private nonresidential projects has declined over the past year, while…

After delaying the opening of the 2019 EEO-1 Component 1 Data Collections on May 8, 2020, in light of the COVID-19 public health emergency, the U.S. Equal Employment Opportunity Commission (EEOC) has announced that the 2019 and 2020 EEO-1 Component 1 data collection is now open. The EEO-1 is an annual survey that requires all private employers with 100 or more employees and federal government contractors or first-tier subcontractors with 50 or more employees and a contract/subcontract of $50,000 or more to file the EEO-1 report. The deadline for submitting 2019 and 2020 EEO-1 Component 1 data will be Monday, July 19,…

$15 on Federal Contracts Beginning in 2022 On Apr. 21, President Biden issued an Executive Order (EO) requiring federal contractors to pay a $15 minimum wage to employees working on federal contracts. The increase builds on a 2014 EO signed by President Barack Obama that previously raised the minimum wage for federal contractors to $10.10, indexed to inflation. President Biden’s E.O. orders all agencies by January 30, 2022, to incorporate a $15 minimum wage in new contract solicitations, and by March 30, 2022, all agencies will need to implement the $15 minimum wage into new contracts. The E.O. indexes the minimum wage to inflation…

Would Increase Taxes on Individuals, on Capital Gains & at Death On April 28, President Biden released his $2 trillion American Families Plan to expand federal spending on childcare, community college and paid leave programs. The plan, as outlined in a White House fact sheet, would be financed with a slew of new taxes and increased enforcement through the Internal Revenue Service (IRS). Workforce Development A brief outline of the labor and education proposals include two years of free community college, an expansion of Pell Grant funding and other educational programs. It is unclear how these initiatives could help with the…