Unions seek labor agreement for $4.2B chip plant

[Omaha Steve]

http://www.bizjournals.com/albany/stories/2009/03/16/daily56.html

Friday, March 20, 2009, 2:56pm EDT

The Business Review (Albany) - by Michael DeMasi

Construction unions and some state senators are pressuring Gov. David Paterson to insist on a Project Labor Agreement for the $4.2 billion chip fab to be built in Malta, N.Y.

A project labor agreement, or PLA, ensures labor peace on a job site Unions agree not to strike or stage a work slowdown in exchange for a company hiring a certain percentage of unionized workers and making other concessions.

Since state taxpayers are providing $1.2 billion in incentives to build the computer chip fabrication plant, labor unions and some legislators say the construction jobs should to go local workers who are paid prevailing wages.

A spokesman for GlobalFoundries said the company was talking to the trade unions and was confident the chip fab would proceed. But he also cautioned any start-up delays could put the project at risk.

“We have a narrow window of time in which to complete this complex project in order to successfully bring products to market,” Travis Bullard said. “It is critical that complete this project on schedule and within budget.”

Eight members of the Senate Labor Committee sent a letter to Paterson on March 18 saying they were disappointed the governor had failed to insist on a PLA in his dealings with company officials.

FULL story at link.