HISTORY OF ABC 
Founded in 1950 in Baltimore, the Associated Builders & Contractors, Inc., is general contractors, subcontractors, and suppliers with a main objective - to promote the merit shop construction industry.

Early in ABC’s history, union pressures caused tension in labor relations. Union rights, supported legislatively by Congress and Federal courts, had been positively affirmed and non-union companies were limited by Federal and State laws.

Among those laws were “prevailing statutes” such as the Federal Davis-Bacon Act. In Maryland, the legislature enacted such a law and ABC challenged and validated it in court. This had a stimulating effect on open shop operations and provided the first big opening for business development, which was to become one of the most important ABC activities.

In the 1950's, ABC continued to defend its beliefs through legal initiatives and was responsible for several landmark cases, which clarified the rights of open shop contractors.

During this time, ABC was primarily a Maryland organization with over 500 members. It achieved a respectable status in the legislative field, becoming the most prominent mouthpiece for the industry. It was not until 1959, however, that ABC first stepped outside Maryland to start a chapter in Lancaster, Penn.

The motive for ABC's growth undoubtedly came from its labor relations activities. Meanwhile, along with the legislative activity and the achievement of relative labor peace, ABC established member services such as plans rooms, education meetings and social events with the opportunity for business contacts.

It became apparent that the term "open shop" to identify ABC's business practices was a handicap since the phrase implied only “non-union” in highly unionized areas. This was especially true in Philadelphia where a fledgling chapter was under constant attack. As a result, the phrase "merit shop" was coined to indicate ABC’s beliefs.

The slogan became "quality construction, produced on time, within budget." Important elements in ABC’s progress were the establishment of apprenticeship programs. Certification agencies everywhere were firmly in control of the building trade unions and resisted efforts to establish merit shop programs. Only persevering political action resulted in gaining certification, a battle that continues today.

The association established the ABC Security Plan, intended to offer smaller firms, group hospitalization insurance. This was a common union benefit and virtually unknown in the merit shop. Information services were increasingly offered on government relations, insurance, and membership relations tools such as member directories, news bulletins on industry developments and an association magazine. The creation of annual conventions gave members a chance to network with merit shop firms from other parts of the country.

The growth of ABC during the 1970's was phenomenal as merit shops offered progressively valid competition to the building trade unions and their restrictive jobsite practices dating back to the Depression when job preservation and "union security" were their basic goals.

Today there are thousands of member companies, many of who are unaware of the difficulties of reaching the present prominent position. Important innovations include: ABC's ConTren education program; legislative coalitions in Congress and other state legislatures; the Construction Buyer's Service, bringing millions of business dollars to ABC members; and management education programs with a safety emphasis.

ABC believes that the merit shop depends upon sensible, practical legislation that permits a firm to operate with a minimum of restraints. What the Congress has given, they can take away, and so the legislative base needs constant strengthening if the business philosophy expressed in 1950 is to continue today.


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