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Introduction
From our perspective, contractors in Missouri who hire union labor are looking for more than just a qualified workforce—they’re searching for stability, trust, and a way to show they honor every agreement they make. For those working with Operating Engineers Local No. 513, one key step in meeting union expectations is securing the Operating Engineers Local No. 513 - Wage and Fringe Benefits ($35,000) Bond. This bond acts as a financial guarantee to protect the benefits owed to workers under a collective bargaining agreement.
This bond ensures that if a contractor fails to pay the required wages or fringe benefits—including health insurance, pensions, and training fund contributions—the union trust fund can file a claim against the bond to recover the unpaid amounts. The $35,000 bond limit is designed to offer a fair level of protection while keeping bond premiums manageable for the contractor.
While similar to other union benefit bonds—such as the IBEW Local No. 257 - Fringe Benefits Bond—this bond is specific to Operating Engineers Local 513 and has its own conditions and requirements. Understanding how it works makes a difference in compliance, trust-building, and keeping projects on track.
Misconceptions Can Derail Progress
We’ve noticed that many contractors confuse union wage and fringe benefit bonds with performance bonds, license bonds, or workers' comp coverage. But the Operating Engineers Local No. 513 - Wage and Fringe Benefits ($35,000) Bond isn’t designed to cover job performance or general liability. Its focus is limited and clear: protecting the union’s trust funds in case the employer doesn't pay.
This confusion often leads contractors to submit the wrong bond form—or overlook the requirement entirely. In either case, the result is the same: delayed project approvals, friction with the union, and the potential for penalties.
Some assume one union bond fits all, but each organization sets its own rules. For example, the Iron Workers Local No. 396 - Fringe and Wage Benefits Bond has its own unique bond language and amount requirements. Contractors need to submit the exact bond required by Operating Engineers Local 513, not a copy of one issued for another union.
A Reliable Guide for Missouri Contractors
Based on our experience, contractors who work with a knowledgeable surety provider complete their bond requirements faster—and with fewer mistakes. Swiftbonds has helped countless employers across Missouri secure union bonds that meet exact union trust fund criteria.
From verifying the correct bond amount to using the proper bond form and trust fund name, Swiftbonds handles the details that matter. We’ve worked with a wide range of Missouri unions, including issuing bonds for the IBEW Local No. 257 - Fringe Benefits Bond, giving us insight into how these benefit obligations function.
We simplify the bond process so contractors can focus on what they do best: delivering safe, high-quality work.
Steps to Secure the Bond
What we’ve discovered is that getting the Operating Engineers Local No. 513 - Wage and Fringe Benefits ($35,000) Bond is a straightforward process when approached methodically. Here’s how to do it:
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Review your union agreement – Confirm the bond requirement and specific union trust information.
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Gather business details – Have your legal entity name, contact details, and any union payroll obligations ready.
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Submit a bond application – Swiftbonds accepts digital applications and provides quick quotes.
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Get your quote – Based on your business background and risk profile, we’ll send you a bond rate.
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Issue and deliver the bond – Once the bond is finalized, send it directly to the union’s trust fund.
This process is nearly identical for similar benefit bonds, including the Iron Workers Local No. 396 - Fringe and Wage Benefits Bond, making it familiar to many union-based contractors in Missouri.
Compliance Risks and Delays
In our observation, failing to secure the required bond on time can jeopardize project timelines and contractor standing. Without the bond, a contractor may be denied access to union labor, removed from bid lists, or even face legal action for violating the trust agreement.
This bond is a required part of working under a union contract. It’s not optional, and it cannot be replaced with a general liability policy or performance bond. Submitting the wrong bond—even by accident—can result in delayed union approvals and withheld project access.
Delays can hurt your schedule, your cash flow, and your reputation with local labor groups. That’s why Swiftbonds works quickly to make sure contractors meet every requirement the first time.
Missouri Performance Bond Law and Union Obligations
The Operating Engineers Local No. 513 - Wage and Fringe Benefits ($35,000) Bond is a private bond agreement between the contractor and the union’s trust fund. It is not governed by the Missouri Little Miller Act (RSMo § 107.170), which applies to performance and payment bonds for public construction projects.
That said, both types of bonds are legally enforceable and carry serious obligations. Contractors working on public projects must meet the requirements of the Missouri Little Miller Act, including securing a payment bond to protect subcontractors. When working with unions, contractors must meet bonding rules tied to labor agreements—including benefit trust bond submissions like the IBEW Local No. 257 - Fringe Benefits Bond.
Swiftbonds helps Missouri contractors distinguish between public bonding statutes and private union bond responsibilities. Each has its own terms, enforcement methods, and consequences for noncompliance.
Conclusion
We’ve come to appreciate that the Operating Engineers Local No. 513 - Wage and Fringe Benefits ($35,000) Bond is more than just another form. It’s a commitment—a contractor’s promise to uphold the wage and benefit obligations they’ve agreed to with the union.
With Swiftbonds as your guide, the bond process doesn’t have to be complicated. We’ve worked with union contractors across Missouri, helping them stay compliant and ready to work. Whether you need to post this specific bond or something similar—like the Iron Workers Local No. 396 - Fringe and Wage Benefits Bond—we’ll help you complete the process with confidence and accuracy.
When your bond is in place, you’re free to build, bid, and hire union labor knowing you’ve honored every part of the agreement.
Frequently Asked Questions
Who needs the Operating Engineers Local No. 513 - Wage and Fringe Benefits ($35,000) Bond?
We’ve often noticed that any contractor hiring workers through Operating Engineers Local 513 under a union labor agreement is required to post this bond.
What does the bond guarantee?
We’ve often noticed that the bond guarantees payment of wages and fringe benefits—including pension, health care, and training contributions—owed to the union’s trust.
Is this bond the same as the IBEW Local No. 257 - Fringe Benefits Bond?
We’ve often noticed that while the two bonds serve similar purposes, they are not interchangeable. Each union sets its own bond amount, language, and beneficiary requirements.
What happens if I don’t submit this bond on time?
We’ve often noticed that contractors who fail to submit the correct bond may lose union access, face delays in job approvals, or risk legal claims from the union trust.
How do I know which union trust fund to name on the bond?
We’ve often noticed that confusion around trust fund names causes delays. Your labor agreement or the union administrator will specify the correct name. Swiftbonds will verify it during the bond setup process.