Alaska Labor Unions and Glenfarne Sign Agreement to Put Alaska Workers First on 12,000-Job Alaska LNG Project
Alaska Labor Unions and Glenfarne Sign Agreement to Put Alaska Workers First on 12,000-Job Alaska LNG Project
ANCHORAGE, Alaska--(BUSINESS WIRE)--Alaska's Building Trades and 8 Star Alaska, LLC, a subsidiary of Glenfarne Alaska LNG, LLC, have signed a Memorandum of Understanding that prioritizes hiring Alaska workers for construction and related work on the Alaska LNG Project.
“We are committed to building Alaska LNG with a highly skilled Alaska workforce as the first and primary source of construction labor and ensuring that qualified and competitive Alaska workers have access to the many jobs and opportunities it will create.”
Share
The MOU was signed by the presidents of the Building and Construction Trades Council of Southcentral Alaska, the Fairbanks Building and Construction Trades Council, the Alaska Petroleum Joint Crafts Council, and 8 Star Alaska at a ceremony on June 11 at the Alaska Laborers Training School, 17805 Old Glenn Hwy, Chugiak, AK. The Building Trades Councils are made up of 18 separate unions and are affiliated with the Alaska AFL-CIO, which represents 50,000 hardworking men and women. The unions partner with construction contractors from the North Slope to Kodiak.
The agreement reflects the shared commitment to Alaska first. Alaska LNG will generate exceptional opportunities for Alaska workers and contractors in the development of one of the largest energy infrastructure projects in Alaska’s history.
The MOU provides a framework to negotiate Project Labor Agreements covering major construction activities associated with Alaska LNG. It addresses labor stability, workforce availability, and collaboration between the Building Trades and project contractors throughout development and construction.
Alaska LNG is expected to create 12,000 construction jobs, provide reliable, affordable natural gas for Alaskans, generate much-needed revenue for the state, and position Alaska as a competitive global LNG supplier. The project is also estimated to create up to 1,000 long-term jobs in operations. Economic research demonstrates that each direct job in the oil and gas industry supports 15 indirect jobs.
Project Labor Agreements in Alaska get the job done. From the Trans-Alaska Pipeline to major port and energy infrastructure construction, PLAs have a strong record of ensuring there is a reliable source of trained construction workers. By establishing uniform terms of employment and alternative dispute mechanisms, PLAs assist construction contractors with completing projects on time and under budget. PLAs also offer access to state-of-the-art training through joint labor-management apprenticeship programs.
“One of the most important ways our state will benefit from Alaska LNG is through the creation of thousands of good-paying construction jobs – for Alaska workers,” said Bronson Frye, President of the Building and Construction Trades Council of Southcentral Alaska. “Alaska unions are uniquely equipped to handle Alaska LNG’s workforce challenges, including staffing multiple subprojects spanning more than 800 miles and getting the job done in some of the most extreme conditions anywhere in the world.”
“Project Labor Agreements are a critical project management tool,” said Fairbanks Building and Construction Trades Council President Lake Williams. “This MOU ensures that we have a reliable trained union workforce, standardized work rules, predictable labor cost and helps to ensure that the project is delivered on time.”
“Alaska workers proudly recall the legacy of building the Trans-Alaska Pipeline and are bringing that same enthusiasm to the construction of Alaska LNG,” said Alaska Petroleum Joint Crafts Council President Joey Merrick. “The PLA for Alaska LNG will be designed not just for the construction years, but for the generations of Alaska workers that will tell their children and grandchildren about their work on this once-in-a-lifetime project.”
“The support and expertise of Alaska's committed union workforce will be critical for ensuring the success of Alaska LNG,” said Rex Canon, Co-President of 8 Star Alaska. “We are committed to building Alaska LNG with a highly skilled Alaska workforce as the first and primary source of construction labor and ensuring that qualified and competitive Alaska workers have access to the many jobs and opportunities it will create. This agreement demonstrates what is possible when we come together around a positive vision for Alaska's future.”
The MOU covers future project labor agreements associated with Phase One camp construction, camp operations, and logistics, as well as major Phase Two facilities including the LNG export facilities, gas treatment facilities, compressor stations, module installation, transportation logistics, and related site work.
Pipeline installation and construction activities, including pipeline right-of-way work, pipe hauling, gravel processing, access roads, pipe storage yards, and mainline pipeline construction, are anticipated to be governed by a separate project labor agreement currently under development with the pipeline construction trades.
The unions represented under the MOU are:
- Bricklayers Local 1
- Boilermakers Local 502
- Cement Masons Local 528
- Heat & Frost Insulators Local 7
- IBEW Local 1547
- Ironworkers Local 751
- IUEC Local 19
- IUOE Local 302
- Alaska District Council of Laborers
- Western States Regional Council of Carpenters
- Painters (IUPAT) Local 1959
- Plumbers & Steamfitters UA Local 375
- Plumbers & Steamfitters UA Local 367
- Roofers Local 189
- Sheet Metal Workers Local 23
- Sprinkler Fitters Local 669
- Teamster Local 959
- Unite Here Local 878
About Alaska Labor Unions
Alaska AFL-CIO consists of over 50,000 Alaskan workers of affiliated unions representing construction trades, educators, local, state and federal government employees and many more trades and professional occupations across Alaska. Organized labor has been the driving force in Alaska’s development since before statehood providing the best trained workforce for the largest projects in the largest state in the country. Alaska has the highest union density in the country for work that is done with proficiency and with the utmost professionalism to bring Alaska into the future.
About Alaska LNG
Alaska LNG consists of an 807-mile, 42-inch pipeline to deliver natural gas from Alaska’s North Slope to meet Alaska’s domestic needs and produce 20 MTPA of LNG for export. Glenfarne is developing Alaska LNG in two financially independent phases to accelerate project execution. Phase One includes the domestic pipeline to deliver natural gas to Alaskans. Phase Two will add the infrastructure to export LNG. Glenfarne owns 75% of Alaska LNG and the State of Alaska, through the Alaska Gasline Development Corporation, owns 25%.
About Glenfarne Group
Glenfarne Group is a privately held global developer, owner, and operator of energy infrastructure assets. Through its subsidiaries, Glenfarne owns and operates 60 energy assets through three core businesses: Global LNG Solutions, Grid Stability, and Renewables. Glenfarne’s permitted North American LNG portfolio totals 32.8 MTPA of capacity under development in Alaska, Louisiana, and Texas. For more information, please visit www.glenfarne.com.
Contacts
South Central Building Trades President – Bronson Frye, bronson@iupatdc5.org
Glenfarne – Tim Fitzpatrick, tim.fitzpatrick@glenfarnecompanies.com
