A construction industry organization has ranked New York 50th out of 51 when it comes to providing a healthy construction environment. The Merit Shop Scorecard is put together by the group Associated Builders and Contractors. The Empire State Chapter President Brian Sampson says the F grade is based on state laws, policies and practices that stifles the industry and raises construction costs.
“Unfortunately, this isn't a surprise to anybody that works in the industry," Sampson said. "New York is a notorious high regulation, high tech state, and they're just gonna continue that trend until they either run us off a cliff or determine they want to take a different path.”
Sampson says two issues need to be addressed. One is called the Project Labor Agreement or PLA where there’s an agreement with labor unions that says non-union workers cannot work on a project. He says 80 percent of the construction workers in Central New York are not in a union.
“What happens is you eliminate all that competition, which naturally drives up the price of your projects when competition isn't there," Sampson said. "And local workers don't get the opportunity to work on those projects, so you’ll see some out of region and out of state license plates.”
Sampson says the I-81 construction project is an example of this. He says prevailing wage mandates, which are also negotiated by unions, are 18 to 22 percent higher than the market in Central New York can support. He says those two things are lethal for local companies not affiliated with unions. Sampson says the industry is trying to abolish them, with little success. He adds New York’s inability to address rising construction costs is also hurting local workers.
Here's ABC's 2024 Merit Shop Scorecard Rankings:
- Overall rank: F
- Project labor agreement policy: F
- Prevailing wage mandates: F
- Right-to-work laws: F
- Public-private partnerships: F
- Construction job growth: D
- Workforce development incentives: B
- Career and technical education: D