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Local 79 and L+M strike deal

Construction workers with Laborers Local 79 Union (AP Photo/Julie Jacobson)

Laborers’ Local 79, the union group representing some of the lowest-paid trades on construction sites, such as flaggers and mason tenders, reached an agreement over the summer with builder L+M Development Partners to bring more union workers to the company’s affordable housing portfolio, according to the Wall Street Journal.

  • Dig Deeper: Under the agreement, these workers will be paid in tiers between $30 and $56 an hour, including benefits, which works out to about 35% lower than the union’s rates for nonresidential projects. By contrast, nonunion laborers make about $20 an hour on average.
  • Why it matters: Local 79’s negotiations with L+M predate Covid-19, but the union’s business manager Mike Prohaska said the group is now in discussions with other developers to strike similar arrangements, the Journal noted.
  • Worth Noting: NYC total construction spending in 2020 is forecast to be 8.5% below 2019 levels. The report also projected reduced levels of construction employment through 2022. [WSJ]

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