The Laborers Joint Grievance Committee did not meet in February. The next meeting is scheduled for March 27, 2018, at the Laborers Burr Ridge office.

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1 February 28, 2018 Serving the Construction Industry Since 1971 Grievances and Arbitrations i Chicago Regional Council of Carpenters Arbitrations MARBA received no arbitration requests this month. Laborers Joint Grievance Committee The Laborers Joint Grievance Committee did not meet in February. The next meeting is scheduled for March 27, 2018, at the Laborers Burr Ridge office. Operating Engineers Joint Grievance Committee The Operating Engineers Joint Grievance Committee was not scheduled to meet in February. The next meeting is scheduled for March 14, 2018, at the MARBA office beginning at 8:30 a.m. There are currently five (5) grievances on the docket. Teamsters Joint Grievance Committee The Teamsters Joint Grievance Committee did not meet in February. The next meeting is scheduled for March 29, 2018, at a location to be determined. Collective Bargaining/Labor Issues Laborers Agreements Posted on MARBA Website The MARBA and Laborers District Council collective bargaining agreements are posted on the MARBA website, along with all the other MARBA agreements except for the Bricklayers agreement. The Bricklayers agreement will be posted soon Bargaining Right Assignments Due Soon As a reminder, the MARBA agreement with Local 701 (Automobile Mechanics) expires May 31, Bargaining rights assignments are due back to the MARBA associations by March 2, If you have any questions about the bargaining rights assignment forms, please contact your association or the MARBA office. Wage Increases Rising Across All Sectors According to Bloomberg BNA, collectively bargained wages are rising across all sectors with manufacturing seeing a large spike (2.4% up from 1.8% in the previous biweekly

2 2 period). Wage increases for the past two weeks (67 CBAs) are averaging 2.9%. This is the same for the previous two weeks but up from 2.7% during this same time period last year. Industry News O Hare Expansion Project Close to Finalization; Or Is It? Earlier this week, it was announced that Mayor Rahm Emanuel and his administration was close to signing a massive $8.5 billion-dollar expansion project at O Hare Airport. According to the administration, Terminal 2 would be demolished to make way for a new, modern terminal. Terminals 1, 3, and 5 would also be renovated. Two new concourses would be conducted that would be connected via an underground tunnel. The project would increase the terminal square footage of O Hare from 4.2 million square feet to 7.3 million square feet (an increase of 72%). The number of gates would grow from 185 to 220. The project would be funded by increased fees which would be borrowed against by the City s Aviation Department. The City stated no taxpayer dollars would be spent on the renovations. An anticipated start date for the project has not been finalized but the goal would be to complete the project by The project would include $3.6 billion dollars in road work in the area surrounding O Hare, including a new Tollway to connect I-90 and I-294. Speculation was the Mayor may introduce the project at today s City Hall meeting. ii However, in a late development, American Airlines indicated they were opposed to the proposed deal. American alleged a last-minute provision interested into the agreement benefitted their rival United. According to American, United would receive extra gates should the deal go through giving them a competitive advantage over American. American said it could not support the agreement should this provision remain. Hyperloop Groups Look to Connect Chicago to Cleveland A recently formed group, the Great Lakes Hyperloop consortium, announced it is hoping to establish a Chicago to Cleveland Hyperloop within the next three to five years. A hyperloop would use cutting edge technology (passive magnetic levitation technology) to propel capsules along a closed tunnel in a partial vacuum at close to the speed of sound. A Chicago to Cleveland connection would take approximately twenty-eight (28) minutes to complete according to the consortium. Also, according to figures released by the consortium, nearly 55,000 people would ride the pods daily. The Chicago to Cleveland route is one of several routes that has sprouted up recently. Other companies are promoting a Chicago-Columbus- Pittsburgh route, one that involves going through Indianapolis and Cincinnati, among others. The Chicago to Cleveland route mirrors the national interstate route.

3 3 State of the Economy Economic Indicators Unemployment Rate January 2018 U.S. 4.1%*, Illinois 4.9% (45 th ) Labor Participation Rate January 2018 = 62.7%, December 62.7% CPI (All Urban Consumers) January 2018 versus January 2017 = 2.07% CPI Chicago All Items January 2018 versus January 2017 = 1.77% Union Membership 2017 = 10.7% (Private Sector 6.5%), 2016 = 10.7% Rate of Unionized Construction Workers = 14.0% 30 Year Fixed Mortgage January 4.03%, up 0.08% from December 3.95% 15 Year Fixed Mortgage October 3.48%, up 0.09% from September 3.39% Brent Crude Oil Price $ per barrel (as of February 28, 2018) $ per barrel all time high July 2008 $ 2.23 per barrel all time low May 1970 Privately Owned New 7.4% above the revised December rate (+/-1.2%) Housing Building Permits 7.4% above the January 2017 rate (+/- 1.9%) Privately Owned New 9.7% above the revised December rate (+/- 16.8) Housing Starts 7.3% below the January 2017 estimate (+/-15.0%)* DJIA 25, as of February 28, 2018 (11:48 a.m.) 26, as of January 31, 2018 Janik s J.D. An Update on Labor/Construction Legal Issues Aaron Janik Executive Director MARBA ERISA Does Not Preempt Illinois Slayer Statute The 7 th Circuit recently ruled ERISA does not preempt the Illinois slayer statute. A union member was killed by his wife. The pension fund sought a determination as to who the proper beneficiary was; the wife or the member s minor children. The court held the State proved each element of first degree murder, but the court found the wife not guilty by reason of insanity. In ruling that the Illinois slayer statute controlled, precluding the wife from collecting the pension benefits, the Court stated, Congress could not have intended ERISA to allow

4 4 one spouse to recover benefits after intentionally killing the other spouse. The Court further found the statute applies to anyone who intentionally and unjustifiably causes the death of another. In this case, the trial court judge found the state proved this. Thus, the wife was deemed ineligible to collect the benefits. Composite Plan Bill Introduced in House Earlier this month, Representative Roe (R-TN) and Representative Norcross (D-NJ) introduced the Give Retirement Options to Workers Act (GROW Act). The Act would represent a departure from previous legislation in that the Act would focus on multiemployer plans that are healthy and allow them to utilize composite plans. Composite plans are plans that combines features of both a defined benefit (pension) plan and a defined contribution (401(k)) plan. According to the co-sponsors of the Act, the option would limit employer s liabilities and at the same time increase employee s financial security by keeping the pension plans in good shape. Opponents of composite plans argue that the benefits provided under such a plan are not strong enough. It is unclear as to how much traction this Act will receive in the House. There currently are no Senate sponsors. Construction Safety Expo Upcoming Seminars/Events Join ASA Chicago and the Construction Safety Council for their annual safety expo. Date: Monday, March 5, 2018 and Tuesday, March 6, 2018 Time: 9:00 a.m. to 4:00 p.m. Location: Drury Lane Theatre and Conference Center 100 Drury Lane Oakbrook Terrace, IL Cost: $20.00 Expo Admission Price (Tuesday) Contact: Marissa at or info@asachicago.org GLCA Indoor Go-Carting Join the Great Lakes Construction Association for a fun night of networking! Date: Thursday, March 22, 2018 Time: 5:30 p.m. to 9:00 p.m. Location: K1 Speed Buffalo Grove 301 Hastings Dr. Buffalo Grove, IL Cost: $75.00 for Racing, Food, & Networking/$30.00 for Food & Networking Contact: Lorraine at or events@greatlakesca.org

5 5 Calendar March 6 9:00 a.m. Construction Safety Expo (Oakbrook Terrace) March 13 12:00 p.m. MARBA Board Meeting (MARBA Office) March 14 8:30 a.m. Operating Engineers JGC (MARBA Office) March 15 7:30 a.m. Construction Industry Forum (MARBA Office) March 27 9:00 a.m. Laborers JGC (Burr Ridge) March 29 9:00 a.m. Teamsters Joint Grievance Committee (TBD) Did You Know: MLB opens on March 29, 2018, with all 30 teams scheduled to play. This is the earliest opening day in MLB history. The coldest home opener ever was April 23, 2013, when the Colorado Rockies hosted the Atlanta Braves at Coors Field in Denver. The temperature was 23 F. Colorado lost 4-3. i Information for MARBA Matters was obtained from the following sources: BNA Construction Labor Reports, Crain s Chicago Business, Northwest Times of Indiana, Chicago Tribune, and Sun-Times, CDQ, and the BLS, as well as various websites and other publications. ii At time of ing this edition the deal had not been presented to the City Council. OPENING DAY IS MARCH 29, 2018!