Monday, November 2, 2015

GMCS REGIONAL CONSTRUCTION INDUSTRY UPDATE – November, 2015



Welcome to the November, 2015 GMCS REGIONAL CONSTRUCTION INDUSTRY UPDATE. 

GMCS is focused on facilitating communication and collaboration amongst our construction employer associations, constructors, facility owners, building trades and governmental bodies with an emphasis on creating a centralized, focused community that actively promotes labor harmony, industry advancement, contractor opportunities and workforce development.


Is your firm looking to fill key positions within your organization?  With over 25 years of industry contacts & experience within the Philadelphia metropolitan region and developed industry relationships to work from, GMCS has become a powerful recruiting organization in this region’s construction industry marketplace.  Our goal is to provide our clients and candidates with superior quality recruitment services while maintaining the highest degree of integrity, confidentiality and professionalism.  Go here to find out more about our Employer and Candidate Services.  GMCS maintains an active network of experienced industry professional candidates that are currently exploring their next career opportunity.  GMCS actively markets these candidates to both regional and national firms as well as partnering recruitment agencies throughout the country.  Interested candidates and employers should contact Wayne Gregory today at wegregory@gregorymcs.com to discuss the best GMCS employment and recruitment solution for you.

We currently have several excellent candidates that are interested in making a move within the regional marketplace.  GMCS is making those candidates available to interested employers at no cost.  Interested firms should contact Wayne Gregory @ wegregory@gregorymcs.com for more information. 

Sponsorship and marketing opportunities are available to industry stakeholders and contractors; interested firms should contact Wayne Gregory @ wegregory@gregorymcs.com for more information. 

Interested firms should contact Wayne Gregory @ wegregory@gregorymcs.com for more information. 

Builders Exchange's longtime leader leaving to focus on work-force development:

Mary Tebeau is arguably one of the best industry/association executives that this area has ever seen.  She led her organization like a true leader, always advancing the member’s agenda while never stepping into their spotlight.   She was tireless in her efforts to support the organization, grow its membership and to enhance its value, both to the membership and the industry as an inclusive whole.  Like me, she is a servant leader that not on believed in collaboration, but embraced it.

Read more here….

Johnny Doc to head building trades council:

John Dougherty, leader of the politically powerful Electricians union in Philadelphia, expanded his sphere of influence Wednesday with a new title.

Dougherty was selected to succeed Pat Gillespie as head of the Philadelphia Building and Construction Trades Council, which represents nearly 40 unions in Philadelphia and the suburbs.

Read more here…

PROFILE: John J. Dougherty:

Elections are a busy time for John J. "Johnny Doc" Dougherty, who, along with his union, is backing his brother Kevin Dougherty's campaign for a seat on Pennsylvania's Supreme Court.

Read more here…

2 Dietz & Watson employees drive into union picket line

UNION PROTESTERS who were working a picket line yesterday outside of Dietz & Watson's Northeast Philadelphia plant twice found themselves having to dodge the fenders of company employees.

Police said two members of the Millwrights Local 1906 were struck by a GMC truck that was driven through a picket line by a Dietz & Watson official about 8 a.m.

Read more here….

Five Practical Issues Browning-Ferris Creates for Employers:

National Labor Relations Board’s decision in Browning-Ferris Industries of California, Inc., 362 NLRB No. 186 (Aug. 27, 2015), will have significant and far-reaching effects as it greatly expands the scope of relationships in which the Board can and will find entities to be joint employers. While the full ramifications of the Board’s decision remain to be seen, here are five issues, which are discussed thoroughly by Members Miscimarra and Johnson in their dissent, that employers will likely face as a result of Browning-Ferris:

Read more here…

Philadelphia Carpenters union dispute creates headaches for Democrats:

The The Democratic National Committee ran smack into lingering labor strife this week during a visit to Philadelphia to plan July's presidential convention.

DNC officials pulled up to the Convention Center late Wednesday afternoon in two purple Philadelphia Phlash buses to find a picket line of protesters from the Metropolitan Regional Council of Carpenters.

They came. They saw. They drove away.

The DNC delegation decided against crossing the picket line.

Read more here…

DMI: Dodge Momentum Index Jumps in September:

The Dodge Momentum Index moved 5.8% higher in September to 133.5 (2000=100) from its August reading of 126.2. The Momentum Index is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. The impetus behind September’s gain was a 12.0% increase from the previous month in institutional building planning. State and local budgets, which finance many projects in the institutional category, continue to recover from their recessionary weakness. With this support, planning for new institutional buildings has trended upward over the past year, although in a saw-tooth pattern. Commercial construction, on the other hand, is at a more mature stage of its recovery and planning has been relatively more stable. Planning in the commercial category increased 1.8% in September.

Read more here…

Post Brothers makes big move into University City:

Liberty Post Brothers has quietly amassed 550 apartments in a total of seven properties in University City as part of a strategy to establish a large footprint in that Philadelphia neighborhood.

The Philadelphia company has ambitions to spend upwards of $250 million acquiring multifamily properties over the next couple of years in University City.

Read more here…

Labor shortage hurting construction firms' bottom lines: PulteGroup Slides After Builder's Earnings Miss Estimates:

Homebuilders are having a difficult time completing projects because of the labor shortage. That has led to a decline in profits for many of the nation's homebuilders. Construction professionals say the industry must do a better job of attracting and training young people. "There is not a market in the country where we're not experiencing some pressure," said Richard Dugas, PulteGroup's CEO. "There is no question about it."
Read more here…

Construction Employment Rises in 35 States and D.C. Between September '14 and '15; But Only 23 States Add Jobs from August to September:

Construction employment expanded in 35 states and the District of Columbia between September 2014 and September 2015 yet only 23 states added jobs between August and September, according to an analysis released today of Labor Department data by the Associated General Contractors of America. Association officials said the fact as many states lost construction jobs as added them last month was likely due to a combination of labor shortages and uncertainty about a host of federal investment programs.

Read more here…

Hearing set in Ardmore community's battle over Dranoff project:

The Save Ardmore Coalition sued Dranoff Properties in August claiming that $10.1 million the Philadelphia developer received from the state through Pennsylvania’s Redevelopment Assistance Capital Program, or RACP, was a “misappropriation of public funds for improper and inappropriate private use."

The group also questioned why "Dranoff Properties is the only developer in Lower Merion Township - one of the wealthiest townships in Pennsylvania - to demand that taxpayer money subsidize the construction of a luxury apartment development."

Read more here…

Construction company skirted workplace law, DA says:

A Bethlehem construction firm will be charged with violating Pennsylvania's Construction Workplace Misclassification Act and one of its principals will be charged with perjury following a Northampton County investigative grand jury's probe.

Read more here…

ENR Project of the Year and Best Higher Education/Research Project: University of Penn Nanotech Center Raises the Curtain on Research

With the opening of the Krishna P. Singh Center for Nanotechnology, students and the general public are getting a rare glimpse into research practices at the University of Pennsylvania. In designing and building a facility with a very open layout and visible laboratory spaces, the team has created a space that defies conventional thinking about research facilities.

Read more here…

Year-to-Date Collective Bargaining Yields Average First-Year Increase of 2.5%:

The AGC-supported Construction Labor Research Council (CLRC) has released its second report of the year on collective bargaining settlements in the industry.  Settlements reported between January and September 2015 resulted in an average first-year wage-and-benefit increase of 2.5 percent or $1.25.  For newly negotiated multiyear agreements, the average second-year increase was 2.6 percent or $1.32, and the average third-year increase was 2.6 percent or $1.38.  The average first-year increase is higher in both percentage and dollar amount than that of recent years, but the second- and third-year increases are relatively flat, CLRC reports.  CLRC further observes that the most common first-year increase amounts to date in 2015 lie in the $1.21-$1.40 range, which is much higher than those of the prior two years, which lie in the $0.81-$1.00 range.  The percentage of settlements with no increase has significantly declined – from 8 percent in both 2014 and 2013 to just 2 percent so far this year.

Read more here…


New PBGC Projections: Solvency of Multiemployer Program Fund Extended Three Years; Condition of Single-Employer Program Continues to Improve:

The projected insolvency date for the insurance program for multiemployer pension plans, which cover more than 10 million Americans, has been delayed by three years, according to the FY 2014 Projections Report released today by the Pension Benefit Guaranty Corporation. The risk of program insolvency has decreased over the near term due primarily to the new premium revenues anticipated under the Multiemployer Pension Reform Act of 2014 (MPRA).  It is more likely than not that the program's assets will be depleted in 2025, compared with 2022 in last year's report, and the risk of insolvency grows rapidly thereafter.

Read more here…

Development team picked for large site fronting Delaware River:

The Plans call for the construction of a complex that will have 550 apartments and 30,000 square feet of retail space along with public spaces focused around the extension of the Spring Garden Street corridor from Delaware Avenue through to the river’s edge.
A rendering shows how Festival Pier and other nearby parcels could be developed. This is not what is being proposed but an idea that was part of DRWC's master plan.

Read more here…

ABI: Strong Rebound for Architecture Billings Index:

The Architecture Billings Index (ABI) returned to positive territory after a slight dip in August, and has seen growth in six of the nine months of the year so far. As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lead time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the September ABI score was 53.7, up from a mark of 49.1 in August. This score reflects an increase in design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 61.0, down from a reading of 61.8 the previous month.

Read more here…

This e-mail newsletter has been provided complimentary to Associations and industry stakeholders by Wayne Gregory of Gregory Management & Consulting Services (GMCS).  Wayne Gregory has been the recognized regional leader in the areas of Labor & Industry Relations since 2005 and is continuing to serve the industry and its multi-employer Associations under the GMCS brand, Knowledge, Trust, Integrity and a unwavering commitment to Serve the industry.  From Association Management & Executive Leadership services, Owner Representation, Government & Legislative Affairs & Subscription Services and Labor & Industry Relations, let GMCS help your Associations and organizations to forge a new and clear path forward.

We hope that you enjoy the new newsletter format and welcome all comments and suggestions regarding these changes.  You may forward those to Wayne Gregory @ wegregory@gregorymcs.com.

Best wishes to all for a safe, prosperous, healthy & harmonious 2015.

Sincerely,
Gregory Management & Consulting Services
Audubon, PA 19403
On the web: www.gregorymcs.com

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