LV contractors worry boom may be winding down

A union contractors association, preparing for labor talks with carpenters, is warning the Las Vegas building boom could begin to slow down in the next few years.

"We always have to be optimistic," Jack Schaefer, president of the Nevada Contractors Association, said of upcoming talks with the Carpenters Union.

The union's contract expires at midnight June 30 and various associations representing contractors are negotiating with the union.

Schaefer said his organization's optimism also has a tone of caution. Southern Nevada's casino, housing and school construction boom of recent years has made for good times for both contractors and laborers.

But some firms are worried about how long the boom times will last.

"The general concern in construction is always that it's feast or famine. We don't know how many mega-projects can be built, how many schools can be built," Schaefer said. "There's some concern about what's going to happen in the next year and a half."

Privately, some contractors say they fear a hike in interest rates could hurt them if they are locked into wage increases over a number of years.

Negotiations with the NCA will need to proceed quickly. Schaefer said the first round of talks for his organization is scheduled for Friday, less than two weeks before the contract's expiration. Typically, there is a 60-day window for negotiations, he said.

The NCA represents about 100 construction and construction-related companies.

Marc Furman of the Carpenter's Union said negotiations are ongoing.

"We certainly hope to conclude those negotiations without a work disruption to the industry," Furman said.

Sources say the union is seeking a $5 per hour raise over each of the next three years. Furman declined to comment on that amount. The current contract package amounts to about $29 per hour in wages and benefits.

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