This bill mandates that public entities in New Jersey must include a project labor agreement for all public works projects with an estimated cost of $3 million or more. Previously, public entities had the discretion to decide on a project-by-project basis whether to include such agreements, but only for projects estimated to cost $5 million or more. The bill aims to standardize the inclusion of project labor agreements, which are intended to promote labor stability and ensure the efficient completion of public works projects.
The bill also clarifies the definitions of key terms such as "public entity," "public works project," and "project labor agreement." It emphasizes that the inclusion of a project labor agreement should not be seen as an undue restriction on competition, provided that it is reasonably related to the satisfactory performance of the project. Additionally, the Commissioner of Labor is tasked with assisting in the negotiation of these agreements and reviewing them to ensure compliance with the law.
Statutes affected: Introduced: 52:38-2, 52:38-3