Labor force migration associated with nuclear power plant construction

Construction of a nuclear power plant requires a large and rather specialized work force. While nuclear power plants are typically constructed in relatively rural surroundings, often they are located within commuting distance of large urban areas. In most cases adequate numbers of workers, expecially workers with more specialized skills, are not available in the immediate area. To the the extent that the local labor market is unable to provide sufficient numbers of workers, the site attracts workers from the regional and national labor markets. However, the extent of inmigration associated with large construction projects varies considerably from site to site, depending upon the nature of the region in which the site is located. This issue was addressed by examining worker survey data from several nuclear power plant construction sites to determine the proportion of workers who moved to the area to work at the various sites. The major objectives of the study were (1) to identify the extent of variation in migrant proportions across sites and across various worker groups, and (2) to identify the factors underlying the observed variation in craft-specific migrant proportions across sites. Data from 28 surveys conducted at 13 nuclear power plant construction sites were included in the analysis. Considerable variation in migrant proportions, overall and for various worker groups, was observed across sites. However, systematic differences among various worker groups were also observed. Migrant proportions were considerably higher among nonconstruction workers than among construction workers. Similarly, significant differences were observed when nonconstruction workers were subdivided into management and clerical groups and when construction workers were grouped by relative scarcity of labor. The data were then examined within a multivariate analysis framework to identify the factors underlying the observed variation in migrant proportions across crafts and sites. This involved the specification and estimation of a model in which craft-specific migrant proportions were expressed as a function of the following factors: (1) income potential associated with employment at the site; (2) Craft-specific labor force requirements; (3) local availability of labor; (4) competing demand for labor in the region; and (5) various regional characteristics. The estimated equations explained 71 and 86 percent of the observed variation in migrant proportions among the construction and nonconstruction groups, respectively. Among nonconstruction workers most of the variation in migrant proportions was explained by the large difference between the management and clerical groups. However, other variables reflecting the local availability of labor, competing demand for labor in the region and regional attractiveness were also found to be important. Among construction workers, both hourly and overtime wage rates were positively related to migrant proportions. With respect to labor requirements, expected duration and continuity of employment and expected growth of employment opportunities at the site at the time of the survey were important in explaining migrant proportions across crafts and sites. Competing demand for labor at other power plant projects within 50 miles of the site and distance from the nearest union hiring hall served as reasonably good proxy measures for the demand and supply of labor. Finally, several regional characteristic variables, which were included as a reflection of the attractiveness of an area to inmigrating workers were found to be important considerations underlying construction worker relocation decisions.