The large association of contractors in NYC are approaching union chiefs and working to compromise on wage and benefits reductions. Umbrella construction employers aim to ‘rank and file’ union affiliates to make management’s argument. Building Trades Employer’s Association contractors believe a need for major adjustments to help boost NYC’s construction business. Union officials view this movement as an extreme and unprecedented scare maneuver that will effect the direction of the negotiation.
Contractors and unions worked to reduce costs and maintain employment, but from 2008 to 2010, over 15,000 construction and management positions lost their jobs. An overwhelming thirty extensive construction contracts must be redrawn by the end of June. These contracts include unions who represent carpenters, painters, operating engineers, concrete workers, steam filters, etc. which are due to expire. BTEA President, Louis Coletti has said that the association will reach out to union members within the next month to discuss general themes because the National Labor Relations Act discourages employers from consulting with union employees.
New York labor expenses in construction have been higher than most cities in the nation. However, construction dramatically decreased during the recession; unionized workers now include 60-65% of New York’s construction workers. If contractors don’t agree with the union, many workers will become non-union employees. Union chiefs argue that they have tried satisfying their employees, they believe contractors could work harder to reduce expenses without reducing wages and benefits. Small developers are now using non unionized employees and are taking larger projects. The cost arrangement has greatly changed.
Negotiations are anticipated this month.
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