PLAYA—Labor Unions Flex Muscle at Playa Vista Residential Project

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Moving to assert its unlikely leverage as an investor in the project, Carpenters Local Union 209 has turned the heat up on contractors at Playa Vista’s Phase I in an effort to secure union jobs.

While the Los Angeles/Orange Counties Building and Construction Trades Council and a unit of the AFL-CIO signed a project labor agreement allowing developers to solicit bids from union and nonunion contractors, some contractors are facing what they say is intense pressure to hire union members.

John Wimsatt, a concrete subcontractor working for Fairfield Residential LLC, said carpenters have been harassing his workers and subcontractors at The Tides at Playa Vista, a 215-unit apartment project. The root of the conflict, Wimsatt said, is the carpenters’ claim of a right to work because they have invested millions from their pension fund in the project.

Carpenters officials did not return calls.

Randy Johnson, senior vice president at Playa Capital LLC, the primary developer, said a handful of trade groups have invested in the project, but it’s impossible to tell how much because they did so as partners in an investment entity called Playa Pacific Partners.

Playa Vista is a 1,087-acre mixed-used development in West Los Angeles, near Marina del Rey and Playa del Rey. Phase I includes 3,200 residential units and 3.2 million square feet of commercial space.

It is not Wimsatt’s first run-in with labor. But this time, he said things have gotten so bad that he’s negotiating with master developer Fairfield Residential to get paid and get out. “I see the writing on the wall,” Wimsatt said.

Johnson said Playa Capital sells development sites to builders with the project labor agreement attached and has employees to ensure that builders adhere to the letter of the agreement. Any conflicts among builders, contractors and unions must be resolved by the parties, Johnson said, adding that he had not heard of any incidents of confrontation or intimidation.

Wayne Johnson, senior area manager for Fairfield, said since the issue heated up, the developer has directed Wimsatt to hire union workers to avoid trouble.

“We weren’t aware he was a targeted company,” Johnson said. “The minute the problem arose, I just thought it was better (to hire union workers) than do battle. That’s just inviting trouble.”

Johnson said Fairfield has not been targeted directly for any union opposition. “After 40 years of business I found it’s better to negotiate with these people than fight the issues,” he said. “We have no issues with the union.”

Duane Bradley, project manager for Shea Homes, which is building the 80-condominium Paraiso project, said the carpenters pressured Shea not to hire a nonunion contractor to do concrete work in the project’s subterranean garage.

He said the firm had been picketed on other jobs by unions, and that there were nonunion contractors on its bid list, none were picked.

Wimsatt’s attorney, Steven Atkinson of Cerritos-based law firm Atkinson, Andelson, Loya, Ruud & Romo, said laborers and plasterers unions also have made noise about nonunion contractors working at Playa Vista, but that the carpenters had been the most active opponents because of the extent of their investment.

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