The U.S. Department of Labor announced a final rule to rescind a Trump administration rule, “Joint Employer Status under the Fair Labor Standards Act” that took effect in March 2020. The rescinded rule included a description of joint employment the Biden administration believes is contrary to statutory language and Congressional intent. The U.S. District Court for the Southern District of New York vacated most of the rule in 2020.

On July 28, the Senate agreed, 67-32, to begin debate on a $1.2 trillion bipartisan infrastructure package. Ahead of the vote, the bipartisan group of senators announced it had resolved all major issues on the package. As a result of this initial vote, the Senate will consider the package over the coming days and, perhaps, weeks. However, an actual legislative bill detailing what is in the package has yet-to-be released or formally introduced as of July 29. When a bill is introduced in the Senate and, if passed, the bill will head to the House of Representatives for consideration. A 57-page summary of the bipartisan infrastructure package notes how it includes funding for a host of traditional, physical infrastructure. AGC appreciates and has fought for the significant levels of investment in the package and awaits actual legislative text before considering a formal association endorsement.

Construction employment declined or stagnated in 101 metro areas between February 2020, the last month before the pandemic, and last month, according to an analysis by the Associated General Contractors of America of government employment data released today. Association officials said that labor shortages and supply chain problems were keeping many firms from adding workers in many parts of the country.

Unveiling will be livestreamed on the association’s Facebook page, facebook.com/agcofa

Paul McLaughlin, Manager of Continuous Improvement for the Butz Family of Companies, which includes GBCA member Shoemaker Construction Co., has been a member of GBCA’s Construction Leadership Council Steering Committee since 2020. Representing the CLC, he has also served on GBCA’s Government Affairs and Education Committees. While he was introduced to the construction trades from his family, it was during his freshman year at Drexel University that he cemented his pursuit of a career in construction. Upon learning that Construction Management was a major and after sitting in on a class, he immediately changed his major. Now in the industry, he values seeing the tangible results: The most rewarding thing for him is being able to see a project materialize from design through to a finished product.
On June 22, AGC along with over 100 other trade associations voiced their strong opposition to any attempts to roll back the 20 percent deduction for pass through businesses—S-corps, partnerships, limited liability companies—enacted in the Trump tax cuts under Section 199A of the federal tax code. Despite the opposition, Chairman Ron Wyden announced on July 20 that he would move forward with a bill to phase out Section 199A. AGC will oppose this bill that will increase taxes on small business construction companies.

The U.S. Department of Labor has announced a Notice of Proposed Rulemaking to establish standards and procedures to implement and enforce Executive Order 14026, “Increasing the Minimum Wage for Federal Contractors,” signed by President Biden on April 27, 2021.

On July 16, AGC submitted regulatory comments on the U.S. Treasury Department's interim final rule governing how state, local, territorial and Tribal governments can spend $350 billion from a COVID-relief fund established under President Biden's $1.9 trillion COVID-19 relief law: the American Rescue Plan Act. AGC’s regulatory comments urge the Department to, among other things: (1) confirm and expand eligibility for all forms of infrastructure and building construction investments and related revenue streams; and (2) drop any reporting requirements encouraging government-mandated project labor agreements, local hiring requirements and the expansion of prevailing wage laws beyond the status quo. And, in a victory for AGC and the construction industry, the Department provided new guidance clarifying that losses of revenues from gas taxes and vehicle licensing fees incurred during the COVID-19 pandemic are eligible to be replenished using these recovery funds. AGC will continue to monitor the distribution of these recovery funds.

According to the latest Contractor Compensation Quarterly (CCQ) published by PAS, Inc., contractors are projecting 2021 construction staff wages to increase an average of 3.23%, as reported by over 300 companies in the 38th edition of the Construction / Construction Management Staff Salary Survey. For pay increase comparison, according to the WorldatWork, across all industries exempt professionals saw 2020 actual increases of 2.9% and they are projecting 2021 increases of 2.9%. For construction WorldatWork reported a 3.4% increase in 2020 and are projecting 3.3% for 2021.

AGC’s National Construction Industry Workforce Summit to Take Place on Oct. 13 Registration is now open for the 2021 Construction HR and Training Professionals Conference to be held October 14-15, 2021, in St. Louis, Missouri.