If your construction company works with union labor in Pennsylvania, you've likely encountered the requirement to post a union bond. These bonds are a standard part of doing business with organized labor — but many contractors are unclear on exactly what they are, how much they cost, and how to get one quickly.
What Is a Union Bond?
A union bond (also called a labor union bond or fringe benefit bond) is a type of surety bond that guarantees a contractor will fulfill their obligations under a collective bargaining agreement (CBA). This typically includes paying wages, benefits, and contributions to union funds such as pension, health, and apprenticeship programs.
If a contractor fails to make required payments, the union can make a claim against the bond to recover those funds.
Who Requires Union Bonds in Pennsylvania?
Union bonds are required by the local union as a condition of the collective bargaining agreement. Common trades requiring union bonds in Bucks County and Montgomery County include:
- Carpenters
- Electricians (IBEW)
- Plumbers and pipefitters
- Ironworkers
- Laborers (LIUNA)
How Much Does a Union Bond Cost?
Union bond premiums are typically very affordable — often just 1–3% of the bond amount annually. Bond amounts vary by union and CBA, but commonly range from $5,000 to $50,000. The Stoll Agency works with carriers like Utica National and The Hartford to secure fast approvals at competitive rates.
How Quickly Can I Get a Union Bond?
In most cases, The Stoll Agency can issue a union bond within 24–48 hours. For smaller bond amounts with strong credit, same-day approval is often possible. We handle all the paperwork and coordinate directly with the union on your behalf.
Get Your Union Bond Today
Don't let a missing bond hold up your project. The Stoll Agency has been helping Pennsylvania contractors get bonded quickly and affordably for decades. Contact us today and we'll have your union bond ready in no time.