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Facing Fossil Fuels’ Future: Challenges and Opportunities for Workers in Canada’s Energy and Labour Transitions

By Teika Newton and Jamie Kirkpatrick - Climate Action Network and BlueGreen Canada, September 2021

Canada has a climate plan but it does not lay out a plan for the future of oil and gas extraction that aligns with the goal to limit global warming to 1.5°C, leaving workers and communities with an uncertain future. The Canada Energy Regulator warns that the future of oil sands extraction, which makes up 62 percent of Canada’s oil output, is uncertain due to the projected drop in the future oil demand as the global pace of decarbonization increases.

Meanwhile, a study backed by the UN Environment Programme further states that global oil and gas output would have to decline by over one third by 2030 and over one half by 2040 to achieve the goal of limiting warming to 1.5°C. In early 2021, the International Energy Agency, one of the world’s foremost authorities on global energy forecasting, published a landmark report, Net Zero by 2050, in which the agency declared that oil and gas output should be constrained to existing operations in order to meet the 1.5°C temperature goals articulated in the Paris Agreement. Constraining Canadian oil and gas output to existing fields approximates a similar rate of phaseout to that proposed by the UNEP-backed report.

he Canadian oil and gas industry, including upstream activities, pipelines, and services, provides approximately 405,000 jobs - 167,000 direct jobs and 238,000 jobs across supply chains. In response to oil price crises, industry’s solution to protect profits has historically been to slash jobs while maintaining output. As a result the number of jobs per barrel of output has already fallen by 20% since 2000.

While oil and gas jobs have significantly better compensation and training provisions than most sectors in the economy, these jobs are also somewhat more precarious and have higher health and safety risks. Union density is higher but is also falling at a more rapid rate than in oth-er industries.8 Finally, automation is projected to threaten between 33%-53% of Canadian oil and gas jobs by 2040.

Read the text (PDF).

Relief Programs for Displaced Oil and Gas Workers: Elements of an Equitable Transition for California’s Fossil Fuel Workers

By Robert Pollin, Jeannette Wicks-Lim, Shouvik Chakraborty, Caitlin Kline and Gregor Semieniuk - Political Economy Research Institute, August 2021

California’s oil and gas jobs currently offer significant compensation and benefits, providing workers in these jobs with security for themselves and their families. As California moves to meet its existing climate commitments—to cut greenhouse gas emissions by 50% by 2030 and to reach net zero emissions by 2045—the oil and gas industries will contract, and it is critical to invest in a strong, ongoing relief program to take care of displaced workers, their families and their communities.

An excerpt and fact sheet from A Program For Economic Recovery And Clean Energy Transition In California, by Robert Pollin, Jeannette Wicks-Lim, Shouvik Chakraborty, Caitlin Kline and Gregor Semieniuk.

Read the text (PDF).

LNS Executive Director Testifies Before House Committee on Oversight and Reform, Expresses Support of the Justice40 Initiative

By Judy Asman - Labor Network for Sustainability, July 21, 2021

‘The Goal of Creating Good Jobs and Protecting Our Environment Are Not Incompatible,’ Recommends Ways to Protect Workers Amid a Shift to a Green Economy.

On Wednesday morning, July 21, 2021, Executive Director of the Labor Network for Sustainability, Michael Leon Guerrero, joined fellow environmental justice leaders and activists to testify in support of the Biden-Harris Justice40 Initiative at a hearing with the House Committee on Oversight and Reform. Led by Rep. Carolyn B. Maloney, the Committee highlighted its role in advancing the Justice40 Initiative–including ensuring a whole-of-government response, strong federal data collection, and a voice for state and local partners–to direct 40 percent of the benefits of climate and clean infrastructure investments to the hardest hit communities.

An environmental justice organizer for much of his career, Leon Guerrero opened by saying, “I will speak to you today to affirm, as the title of this hearing suggests, that Environmental Justice is central to the American Jobs Plan, and in particular to affirm the importance of addressing the needs of workers and communities as we transition to a climate safe economy. Let me first say that the goals of creating good jobs and protecting our environment are not incompatible.”

A national network of unions and climate and environmental justice organizations working for urgent, science-based climate action, the Labor Network for Sustainability (LNS) strives daily to bridge the labor and climate movements to “secure an ecologically sustainable and economically just future where everyone can make a living on a living planet.”

“We commend President Biden […] for rooting his climate protection strategy in policies that foster job creation, the rights of workers to organize unions, and the ability of communities to achieve environmental justice,” Leon Guerrero added. “We support the Justice 40 Initiative as a strategy to assure that historically marginalized communities of color have equal access to the badly needed investments to rebuild our economy and infrastructure. We also want to express our support for the recommendations of the White House Environmental Justice Advisory Council.”

The Justice40 Initiative is part of the American Jobs Plan and the Build Back Better Agenda, which Leon Guerrero said LNS feels–along with the Protecting the Right to Organize Act (PRO Act), and Justice 40–“set us on the path we need to address the multiple crises we face in health disparities, economic injustice and climate disruption.”

“These are troubling and turbulent times that require bold and creative action […] we are concerned that currently available details on the bipartisan infrastructure bill and the budget reconciliation package so far fall severely short of what is needed to address these crises,” said Leon Guerrero.

He went on to cite “Workers and Communities in Transition: A Report of the Just Transition Listening Project,” released by LNS earlier this year and which analyzes in-depth interviews of more than 100 workers and community leaders in 26 states “who work in a variety of industries including oil refining, auto and textile manufacturing, healthcare, education and agriculture.”

Job Creation for a Clean Jumpstart

By Amanda Novello - Data for Progress, July 2021

Government stimulus is sorely needed: more than a year into the pandemic recession, nearly 10 percent of Black workers are unemployed, and over 6 percent of all workers are unemployed. There are still more than 7 million fewer jobs than there were last June, and nearly 40% of all unemployed workers are long-term unemployed. A majority of those out of work have no college degree. In addition, there are 5 million fewer people in the labor force than pre-pandemic, including 3 million women who left the labor force since last February, and 2 million men.

Decarbonizing the economy in tandem with a full, job centered green recovery, will require many different plans to be executed at all levels of government and society. That’s why, this March, Data for Progress and Evergreen Action released the Clean Jumpstart 2021 report that offers 39 policy priorities for how to carry out our existing commitments, while increasing ambition and creating good jobs that Americans desperately need, in communities that need them most. All components of this plan are popular with likely voters. The Clean Jumpstart 2021 plan represents how a bold climate investment package, like the American Jobs Plan, could tackle the climate crisis and build a clean energy economy.

The Clean Jumpstart 2021 plan would invest a total of $2.3 trillion over four years. Some investments would create jobs more or less immediately, while others will take longer to realize full job-creation effects. Therefore, in this memo, we estimate that the plan would create an average of 2.7 million jobs annually for the first five years. But the job benefits of the plan don’t end there. The policies in Clean Jumpstart would also create up to 960,000 jobs annually for five years following (year 6-10 after investments begin). Approximately 40 percent of all jobs created would be “direct” jobs, or employment working directly toward these policy goals, and the rest would be due to additional work generated along supply chains and in communities due to the multiplied impacts of increased demand.

Read the text (PDF).

A framework of six essential policies for the U.S. to THRIVE

By Elizabeth Perry - Work and Climate Change Report, June 3, 2021

A new report by Jeremy Brecher of the Labor Network for Sustainability (LNS) was released in May. Making “Build Back Better” Better: Aligning Climate, Jobs, and Justice is a cast as a “living document” to provide a framework for discussion by the labour and environmental movements. Common Dreams summarizes it here. Brecher begins by identifying the range of climate-related policy proposals in the U.S.: “There are many valuable plans that have been proposed in addition to Build Back Better. The original Green New Deal resolution sponsored by Sen. Ed Markey and Rep. Alexandria Ocasio-Cortez; the THRIVE (Transform, Heal, and Renew by Investing in a Vibrant Economy) Agenda ; the Evergreen Action Plan; the Sierra Club’s “How to Build Back Better” economic renewal plan; the AFL-CIO’s “Energy Transitions”proposals; the BlueGreen Alliance’s “Solidarity for Climate Action,” and a variety of others. All offer contributions for overall vision and for policy details.” 

The contribution of this report from LNS is to frame these policy proposals around “six essential elements” : • Managed decline of fossil fuel burning • Full-spectrum job creation • Fair access to good jobs • Labor rights and standards • Urgent and effective climate protection • No worker or community left behind. The new report links to many of the previous LNS reports which have discussed these elements in more detail.

Labor Network for Sustainability has endorsed the THRIVE Agenda, with its strong emphasis on climate justice. At the end of April, The THRIVE Act was introduced in the U.S. Congress, spearheaded by Representative Debbie Dingell of Michigan and Senator Ed Markey of Massachusetts, and supported by progressive Democrats, environmentalists, and unions. The Rolling Stone summarized the provisions here , stating: “Bold” may be an understatement. While President Biden’s proposed infrastructure plan calls for spending $2 trillion over the next 10 years, the THRIVE Act green-lights the investment of $1 trillion annually. The money would go toward creating an estimated 15 million “family-sustaining” union jobs, rebuilding the nation’s physical and social infrastructure, and cutting carbon emissions in half by 2030.”

The Green New Deal Network has compiled extensive documentation of the economic studies behind the THRIVE Agenda here , based heavily on the work of the Political Economy Research Institute (PERI), led by Robert Pollin.

Making "Build Back Better" Better: Aligning Climate, Jobs, and Justice

By Jeremy Brecher - Common Dreams, June 1, 2021

At the end of March 2021, President Joe Biden laid out his $2 trillion American Jobs Plan–part of his "Build Back Better" infrastructure program–to "reimagine and rebuild a new economy." Congress is expected to spend months debating and revising the plan. The public and many special interests will play a significant role in that process. President Biden has promised to follow up with additional proposals to further address climate policy and social needs.

Many particular interests will seek to benefit from the overall Build Back Better program–and that's good. But as Congress and the public work to shape the ultimate form of that program, we also need to keep our eyes on the ultimate prize: combining climate, jobs, and justice. What policies can integrate the needs of working people, the most oppressed, and our threatened climate and environment?

The Green New Deal reconfigured American politics with its core proposition: fix joblessness and inequality by putting people to work at good jobs fixing the climate. The Biden administration's Build Back Better (BBB) plan has put that idea front and center in American politics. Now we need to specify strategies that will actually achieve all three objectives at once.

There are many valuable plans that have been proposed in addition to Biden's Build Back Better plan. They include the original Green New Deal resolution sponsored by Sen. Ed Markey and Rep. Alexandria Ocasio-Cortez; the THRIVE (Transform, Heal, and Renew by Investing in a Vibrant Economy) Agenda; the Evergreen Action Plan; the Sierra Club's "How to Build Back Better" economic renewal plan; the AFL-CIO's "Energy Transitions" proposals; the BlueGreen Alliance's "Solidarity for Climate Action," and a variety of others. All offer contributions for overall vision and for policy details.

There are six essential elements that must be integrated in order to realize the Build Back Better we need for climate, jobs, and justice:

  • Managed decline of fossil fuel burning
  • Full-spectrum job creation
  • Fair access to good jobs
  • Labor rights and standards
  • Urgent and effective climate protection
  • No worker or community left behind

These strategies can serve as criteria for developing, evaluating, and selecting policies to make Build Back Better all that it could be.

Job creation potential of nature-based solutions to climate change

By Elizabeth Perry - Work and Climate Change Report, May 10, 2021

U.K. think tank Green Alliance commissioned research to measure the economic impact of nature-based investments for a green recovery, and released the results on May 4. The full report, Green Renewal – The Economics of Enhancing the Natural Environment, was written by WPI Economics, and states: “Looking at just three types of enhancement (woodland creation, peatland restoration and urban green infrastructure) we find that an expanded programme of nature restoration could create at least 16,050 jobs in the 20% of constituencies likely to face the most significant employment challenges. We present place-based analysis of the labour market and nature based solutions, which can also be found on an interactive webpage here.” The report emphasizes that nature-based interventions can create jobs in areas that need them the most – stating that two thirds of the most suitable land for planting trees is in constituencies with worse than average labour market challenges.

Jobs for a Green Recovery is a summary report written by Green Alliance, based on the economic WPI report. It emphasizes the impact of Covid on youth employment, stating that 63% of those newly unemployed in 2020-21 are under 25, argues that nature-based jobs are long-term, skilled and productive, and makes specific recommendations for the British government so that such jobs can become part of the U.K. green recovery. Green Alliance estimates that investments in nature-related jobs have a high cost-benefit ratio, with £4.60 back for every £1 invested in peatland, £2.80 back in woodland, and £1.30 back for salt marsh creation.

Jobs for a Green Recovery includes brief U.K. case studies. An interesting a related Canadian example can be found in the new Seed the North initiative, described in The Tyee here . Seed the North is a small start-up company in Northern B.C., with big ambition to scale up. Currently, the project collects wild seed from Canadian trees, uses innovative technology to encase the seed in bio-char, and then uses drone technology to plant seeds in remote forest areas. The result: increased regeneration of disturbed land, restored soil health, a statistically significant contribution to carbon sequestration, and economic benefits flowing through co-ownership to the local First Nations communities who participate.

Who is hiding $2b in Bay Area transit rescue funds?

By Annie Lloyd and Joty Dhaliwal - East Bay Majority, May 4, 2021

As vaccinations increase and California reopens, local governments and boards will be responsible for their jurisdiction’s recovery from the COVID-19 pandemic. The $1.9 trillion COVID relief spending package President Biden signed into law on March 11 provides a crucial lifeline for this recovery, but there is a hitch: State and local implementation is required to “turn on the money hose” to deliver jobs and vital services to struggling working-class communities of color. 

Before federal dollars can have their intended impacts on the ground, city, county and state governments—and in some cases, obscure unelected boards—must decide how and when to spend those funds. 

In the Bay Area, one of the obscure unelected boards managing the money is the Metropolitan Transportation Commission (MTC). MTC now stands between the $1.7 billion in ARP funding for public transportation in the Bay Area and the local transit agencies it oversees—all of which desperately need the money to restore service and jobs. 

Rather than spending to recover from the crisis, which is the whole point of a stimulus package, MTC’s aim is to hold back as much of the ARP funds as it can for a future “rainy day,” by refusing to allocate the money in time for transit agencies to put it into their budgets for the ‘21-’22 fiscal year. Instead, they intend to allocate most of the funds at the end of July, weeks after the July 1 budget deadline. 

MTC is sinking a unique opportunity to accomplish a true recovery. Instead, they are playing into their own pessimistic outlook for public transit. In fact, MTC’s draft Plan Bay Area 2050 projects that pre-pandemic transit service will not be restored until 2035. 

As riders (including students returning to school) return to transit, they will find continuing low levels of service, long wait times, and overcrowded buses. Those with other options will abandon transit. And unemployed workers who might otherwise have access to a flood of openings for good-paying union jobs as operators and mechanics will be left to drive for Uber and Lyft. 

Ranking G7 Green Recovery Plans and Jobs: Can the UK boost its climate action and green job creation in line with its G7 peers?

By staff - Trades Union Caucus (TUC)May 2021

This report ranks G7 countries’ green recovery and job creation plans. It shows how the UK is lagging behind its G7 peers, and the potential to do much more to expand green jobs and accelerate climate action.

The TUC’s ranking of all G7 countries’ green recovery and jobs investments shows that the UK comes sixth. Only Japan scores worse per person.

The UK’s green recovery plans remain only a tiny fraction of that in other G7 countries, despite the government’s flagship Ten Point Plan for a Green Industrial Revolution which purports to support the UK’s climate targets and establish UK world leadership in some areas of green technology. Scaled by population, the UK green investment plans are only 26% of France’s, 21% of Canada, 13% of Italy’s and 6% of the USA’s.

This means that the UK Prime Minister would need five Ten Point Plans to match Prime Minister Trudeau in Canada, eight Ten Point Plans to match Prime Minister Draghi in Italy, and sixteen Ten Point Plans to match President Biden’s in the US.

Read the text (PDF).

Public Forum on Empowering the Post Pandemic Working Class

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