New Project Labor Agreement Law Gives NJ Construction Workers Better Benefits

The Union County Board of Commissioners approved lowering the threshold for project labor agreement requirements from $5 million to $3 million. The change implements a state law mandate passed earlier in 2026. Union County Life reports on the policy update.

Project labor agreements are pre-hire collective bargaining agreements between project owners and labor unions. They set forth employment terms and conditions for construction projects, including wages, benefits, work schedules, and safety standards.

Under the previous $5 million threshold, only larger county construction projects required labor agreements. Lowering the threshold to $3 million will extend union worker protections and benefits to a broader range of county public construction projects.

Union County Board of Commissioners Chairman Joseph Bodek stated: "This change expands opportunities for our local skilled trades, strengthens labor standards and ensures more county projects are built by the highly trained workforce that residents expect and deserve."

According to Union County Counsel Bruce Bergen, lowering the threshold will ensure the benefits to laborers and the county are extended to more county projects.

Project labor agreements do not affect the bidding process for county projects and are not expected to affect state aid or money the county receives from capital bond ordinances.

Under state law (NJSA 52:38-1 et. seq.), project labor agreements promote harmonious and productive work environments for public works projects and guarantee that projects are carried out in an orderly and timely manner without strikes, lockouts, or slowdowns. The agreements also allow public agencies to predict actual project costs more accurately and aim to lower costs for repairs and maintenance over the lifetime of completed projects.

William Mullen, president of the New Jersey Building and Construction Trades Council, said: "Lowering the project labor agreement threshold to $3 million is a smart investment in Union County's workforce and taxpayers, and we commend the commissioners for their leadership and commitment to delivering high-quality public infrastructure projects for residents."

Stay informed about Union County government actions, policies, and construction projects on Union County Life.

FAQ

Q: What is a project labor agreement?
A: A project labor agreement is a pre-hire collective bargaining agreement between a project owner and labor unions. It sets forth employment terms and conditions for construction projects, including wages, benefits, work schedules, and safety standards. They help maintain job stability and ensure projects stay on schedule.

Q: What changed in Union County's policy?
A: Union County lowered the threshold for project labor agreement requirements from $5 million to $3 million. This means more county public construction projects will now be required to use labor agreements.

Q: Why did Union County lower the threshold?
A: The change implements a state law mandate passed in 2026. According to Union County officials, lowering the threshold expands opportunities for local union workers, strengthens labor standards, and ensures county projects are built by highly trained workers.

Q: How will this affect the bidding process for county projects?
A: Project labor agreements do not affect the bidding process for county projects. Contractors can still submit competitive bids.

Q: Will this affect county funding?
A: Project labor agreements are not expected to affect state aid or money the county receives from capital bond ordinances.

Q: What benefits do project labor agreements provide?
A: Project labor agreements help maintain harmonious work environments, prevent strikes and slowdowns, allow agencies to predict project costs more accurately, and aim to lower maintenance and repair costs over the lifetime of projects.

Q: Where can I find more information about Union County construction projects and policies?
A: Contact the Union County Board of Commissioners at (908) 527-4000 or visit unioncountynj.org. Union County Life covers Union County government news and policies affecting residents.