Employers and Construction Trade Unions:

How Partnership can Offer Relief from Contracting Headaches.

When construction employers and trade unions work together—it can help control project costs, reduce the risk of labor shortages, improve productivity and safety on the jobsite, and deliver a healthier bottom line. Read on to learn more.

PARTNERING WITH UNIONS HELPS DELIVER A RELIABLE SUPPLY OF SKILLED LABOR – NOW AND IN THE FUTURE

A STRONGER WORKFORCE TRAINING PIPELINE

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Research shows that Minnesota’s union-affiliated apprenticeship programs deliver training outcomes that rival Minnesota’s 4-year public universities, and produce 93% of the state’s skilled trade workers. Managed jointly by employers and unions, these programs are designed to deliver a reliable supply of sufficiently skilled workers, whenever and wherever contractors need them.

FEWER LABOR SHORTAGES

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A recent analysis of contractor survey data from the Association of General Contractors of America found that non-union contractors were 24% more likely to report workforce supply problems, 45% more likely to report project delays due to labor shortages, 75% more likely to report losing workers to other industries, and 93% more likely to classify their workforce training pipeline as “poor” compared to their union counterparts.  (Business Insider: If you want a construction project finished on time without worker shortages, hire a unionized crew, a new report says)

LEARN HOW PARTNERING WITH BUILDING TRADE UNIONS CAN HELP CONTROL CONSTRUCTION COSTS

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For many contractors in Minnesota, unions deliver a more predictable workforce supply, alongside higher levels of workforce productivity. Recent research consistently shows that union construction projects are no more expensive than non-union projects, and one recent study concluded that union jobsites reduce the risk of cost and schedule overruns by 40%.

HELPING CONTRACTORS SAVE MONEY

LOWER WORKFORCE RECRUITMENT AND ONBOARDING COSTS

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When you partner with a union, the cost of recruiting or onboarding new employees is zero. You call the union, which sends out a worker and handles all the paperwork. If the worker is not the right fit for the project, or if the project is completed, you send them back to union hall. You can also choose to retain the worker as an employee, utilizing their skills and experience to help your business innovate and grow.

NO MORE COSTLY BENEFITS PAPERWORK

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When contractors partner with a union, they no longer have to deal with insurance or retirement paperwork for their workers or make changes to those programs when a worker is let go or a job is completed. Instead, contractors pay a minimal negotiated benefits rate to the union, which manages and maintains all benefits programs for the skilled trade workers they supply to the employer.

HIGHER WORKFORCE PRODUCTIVITY

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When you partner with a union, you can be confident that every worker you bring on the jobsite has the skills you need on day one. Union trade workers have completed years of apprenticeship training. Recent research shows that union construction jobsites deliver 15% higher workforce productivity than the non-union alternative.

“We do things with five guys that that are non-union counterparts do with. 7, 8, or 10 guys”
-Mark Ziegler, Amerect Inc.
Award winning, AISC Certified Steel/Precast Erector, Newport, MN

SUPERIOR SAFETY OUTCOMES

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Construction is physically demanding work. Safety problems can impose huge costs on contractors –in litigation, insurance and workers compensation claims, workforce productivity losses, and fixing defective craftmanship. Research in Minnesota shows that union jobsites are 40% less likely to be cited for jobsite safety violations. This results in higher earnings for contractors—not lawyers and insurance companies.

THE VALUE OF UNION PARTNERSHIP

A Partner in the Bid Process:

Contractors who partner with unions increase their chances of winning more projects. Unions advocate for contractors before procurement agencies and work to hold competing contractors accountable to applicable safety and workmanship rules. Unions work to ensure that bids are awarded based on construction competency, efficiency, and merit—so that more honest businesses can flourish. Unions also include a more diverse workforce, which is an important consideration for many entities in awarding contracts.

BETTER FOR LOCAL COMMUNITIES

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When contractors become signatories with a construction trade union, the whole community benefits. Research shows that union construction workers contribute more in taxes and are less reliant on publicly funded welfare programs than comparable non-union workers.

Union Construction is a better bargain for MN Taxpayers:


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Union Construction industry delivers value for MN taxpayers:


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