In its latest Settlements Report, the AGC-supported Construction Labor Research Council (CLRC) advises that construction-industry collective bargaining agreements settled from January through June of 2023 provide an average increase in wages, fringe benefits and other employer payments for union craft workers in the construction industry had an average increase of 4.4 percent.
CLRC cites the impact of high inflation impacting union craft pay rates more than two other recent factors—the craft labor shortage and COVID-19. The CLRC projects future new settlements to average approximately 4.7 percent by 2025. Measured by dollar amount first-year increases during the first half of 2023 was $2.80, a substantial from 2020 and 2021. CLRC projects first-year increases to average approximately $3.25 in 2025.
The report further breaks down the data by region and by craft for comparison purposes. AGC members can access the full report in the Labor & HR Topical Resources area of AGC’s website under the main category “Collective Bargaining” and subcategory “Collective Bargaining Agreement Data.” (Be sure to first login as an AGC member in the top left corner of the webpage.)
The report is the first of three Settlements Reports planned for publication based 2023 data. CLRC expects to publish the second one in early October for the first three quarters of the year and the third in January 2023 for the full year data.
Collective bargaining chapters are reminded to please send new contract data directly to CLRC promptly upon settlement of collective bargaining negotiations. Chapters and members are also reminded that CLRC offers consulting and custom research services on local matters at a discount to AGC affiliates. This includes market share analysis, union/nonunion wage and fringe benefit comparisons, collective bargaining agreement language cost analysis, workforce/labor analysist and projections, and more.