Case Study: Delay Due to Labor Strike on California Highway Expansion (Los Angeles, CA, 2011)

Project Overview
• Name: Los Angeles Highway Expansion
• Location: Los Angeles, California
• Year: 2011
• Project Size: $900 million
• Scope: Addition of lanes and interchange improvements
• Lead Agencies/Contractors: California Department of Transportation (Caltrans) /

Category of the Issue, Problem, or Challenge
• Labor Relations
• Project Delay

Summary of the Issue, Problem, or Challenge
A labor strike halted construction activities for two months, causing significant delay and increased costs.

Root Cause Analysis

• Contract Negotiation Breakdown: Prolonged disputes over wages and working conditions.
• Lack of Contingency Plans: No pre-planned alternative staffing or acceleration measures.
• Communication Gaps: Insufficient dialogue between management and labor representatives.
• Project Schedule Rigidity: Limited flexibility to recover lost time.

Impacts Due to the Issue, Problem, or Challenge

• Delay of approximately 2 months.
• Increased costs from schedule extensions and labor claims.
• Strained labor-management relationships impacting future collaboration.

Corrective Actions Taken

1. Developed labor relations management protocols with regular engagement.
2. Established contingency plans for labor disruptions.
3. Introduced flexible scheduling to allow acceleration post-disruption.
4. Created joint labor-management committees to improve communication.

Lessons Learned

• Strong labor relations management is essential to prevent work stoppages.
• Contingency planning for strikes minimizes delay impacts.
• Ongoing communication fosters collaboration and early issue resolution.

Audit & Prevention: Project Control Questions to Ask on Future Projects to Help Control the Situation

• Are labor relations proactively managed and monitored?
• Are contingency plans in place for labor disruptions?
• Is the project schedule flexible enough to recover lost time?