52.222-33 Notice of Requirement for Project Labor Agreement
Source: FAR 52.222-33 on acquisition.gov
Contractors bidding on large-scale federal construction projects must negotiate or join a project labor agreement and ensure all subcontractors do the same, submitting proof as required by the solicitation.
Overview
FAR 52.222-33, Notice of Requirement for Project Labor Agreement, notifies offerors of the obligation to negotiate or become a party to a project labor agreement (PLA) for large-scale federal construction projects. This provision requires both prime contractors and their subcontractors to adhere to the PLA for the duration of the contract. The PLA must include provisions for labor stability, dispute resolution, and compliance with all applicable laws and regulations. Offerors are generally required to submit a copy of the executed PLA with their offer, though alternates allow for submission at different stages (e.g., prior to award or after award) depending on the solicitation. The provision ensures labor-management cooperation and prevents disruptions such as strikes or lockouts during the project. Alternate versions of the clause adjust the timing and conditions for PLA submission and requirements based on agency needs.
Key Rules
- PLA Requirement
- Offerors and their subcontractors must negotiate or become parties to a project labor agreement for the contract term.
- PLA Content
- The PLA must bind all parties, guarantee labor stability, provide dispute resolution, and comply with all laws and agency requirements.
- Submission of PLA
- The standard provision requires submission of the PLA with the offer; alternates may require submission at other stages.
- No Price Adjustment
- The PLA does not alter contract terms or allow for price adjustments by the government.
Responsibilities
- Contracting Officers: Ensure inclusion of the provision, review and verify PLA submission, and enforce compliance.
- Contractors: Negotiate or join a PLA, require subcontractor participation, and submit the PLA as specified.
- Agencies: May set timing for PLA submission and monitor compliance with labor requirements.
Practical Implications
- This provision aims to ensure labor stability and cooperation on large federal construction projects, reducing the risk of work stoppages.
- Contractors must plan for PLA negotiation and execution early in the proposal process to meet submission deadlines.
- Failure to comply can result in ineligibility for award or contract termination.
As prescribed in 22.505(a)(1), insert the following provision:
Notice of Requirement for Project Labor Agreement (Jan 2024)
(a) Definitions. As used in this provision, the following terms are defined in clause 52.222-34, Project Labor Agreement, of this solicitation “construction,” “labor organization,” “large-scale construction project,” and “project labor agreement.”
(b) Offerors shall—
(1) Negotiate or become a party to a project labor agreement with one or more labor organizations for the term of the resulting construction contract; and
(2) Require its subcontractors to become a party to the resulting project labor agreement.
(c) The project labor agreement reached pursuant to this provision shall-
(1) Bind the Offeror and subcontractors engaged in construction on the construction project to comply with the project labor agreement;
(2) Allow the Offeror and all subcontractors to compete for contracts and subcontracts without regard to whether they are otherwise parties to collective bargaining agreements;
(3) Contain guarantees against strikes, lockouts, and similar job disruptions;
(4) Set forth effective, prompt, and mutually binding procedures for resolving labor disputes arising during the term of the project labor agreement;
(5) Provide other mechanisms for labor-management cooperation on matters of mutual interest and concern, including productivity, quality of work, safety, and health; and
(6) Fully conform to all statutes, regulations, Executive orders, and agency requirements.
(d) Any project labor agreement reached pursuant to this provision does not change the terms of the resulting contract or provide for any price adjustment by the Government.
(e) The Offeror shall submit to the Contracting Officer a copy of the project labor agreement with its offer.
(End of Provision)
Alternate I (Jan 2024). As prescribed in 22.505 (a)(2), substitute the following paragraphs (b) and (e) for paragraphs (b) and (e) of the basic provision.
(b) The apparent successful offeror shall—
(1) Negotiate or become a party to a project labor agreement with one or more labor organizations for the term of the resulting construction contract; and
(2) Require its subcontractors to become a party to the resulting project labor agreement.
(e) The apparent successful offeror shall submit to the Contracting Officer a copy of the project labor agreement prior to contract award.
Alternate II (Jan 2024). As prescribed in 22.505 (a)(3), substitute the following paragraph (b) in lieu of paragraphs (b) through (e) of the basic provision:
(b) If awarded the contract, the Offeror shall—
(1) Negotiate or become a party to a project labor agreement with one or more labor organizations for the term of the resulting construction contract; and
(2) Require its subcontractors to become a party to the resulting project labor agreement.
Alternate III (Jan 2024). As prescribed in 22.505 (a)(4), substitute the following paragraph (b) in lieu of paragraphs (b) through (e) of the basic provision:
(b)(1) If awarded the contract, the Offeror may be required by the agency to negotiate or become a party to a project labor agreement with one or more labor organizations for the term of the order. The Contracting Officer will require that an executed copy of the project labor agreement be submitted to the agency—
(i) With the order offer;
(ii) Prior to award of the order; or
(iii) After award of the order.
(2) The Offeror shall require its subcontractors to become a party to the resulting project labor agreement for the term of the order.