Developers agree to PLAs on area data center projects

The Labor Tribune reports that data center developers in Missouri are increasingly opting for Project Labor Agreements (PLAs) for their construction projects. This trend has been observed for at least three major data center proposals located in St. Louis, Festus, and Montgomery City. Jeff Aboussie, representing the St. Louis Building & Construction Trades Council and the Operating Engineers, highlighted that these agreements ensure workers receive market-competitive wages, promote investment in apprenticeship programs, and prevent costly strikes and lockouts, thereby coordinating workflow among different crafts. Specific developers and contractors who have committed to PLAs include ARCO for the St. Louis Midtown project (valued at approximately $3 billion), CRG for the $6 billion Festus proposal, and PARIC Corp. for the Amazon data center in Montgomery City, which has a minimum capital investment projected at $8.5 billion. Work on the Montgomery City site began in March, with virtual and in-person hearings held for the St. Louis and Festus projects, respectively. Aboussie anticipates this pattern of PLA adoption will continue with future data center developments in the region, potentially creating jobs for 1,500 to 2,000 tradespeople per project and providing substantial employee benefits.