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Work and Climate Change Report

Global Just Transition case studies from a trade union viewpoint

By Elizabeth Perry - Work and Climate Change Report, January 14, 2021

Just Transition: Putting planet, people and jobs first” is the theme of a special issue of Equal Times, published in December 2020. The compilation of articles provides a trade union point of view to describe the just transition experiences in Bangladesh, Tunisia, Argentina, and Senegal, as well as the more frequently cited experiences in Spain and Scotland. The complete Special Issue is here , and was supported financially by the Friedrich-Ebert-Stiftung.

Although Spain’s 2018 agreement regarding coal transition is well known, this article is a welcome English-language text, translated from the original Spanish version written by Spanish journalist María José Carmona. Another useful English text on the topic is The Just Transition Strategy within the Strategic Energy and Climate Framework, translated and published by the Spanish government in 2019. And an earlier report from the Central Confederation of Finnish Trade Unions (SAK) provides brief summaries of Spanish and other Just Transition frameworks, in A Fair Climate Policy for Workers: Implementing a just transition in various European countries and Canada (2019). It covers Germany, Spain, France, The Netherlands, Norway, Scotland, and Canada in a brief 32 pages.

A Just and fair transition from fossil fuels in Australia

By Elizabeth Perry - Work and Climate Change Report, January 13, 2021

In a new report published in December by the Centre for Future Work at the Australia Institute, author Jim Stanford argues that Australia’s labour market could transition away from fossil fuel jobs without involuntary layoffs or severe disruption to communities—if governments plan a fair transition which includes: a clear, long-term timeline, measures to facilitate inter-industry mobility and voluntary severance as fossil fuels are phased-out, and generous retraining and diversification policies. Fossil fuel jobs, though only 1% of jobs in Australia, have higher than average compensation, so in order to be attractive, alternative jobs must have decent compensation, stable hours and tenure, and collective representation.  Employment aspects of the transition from fossil fuels in Australia echoes a recent New York Times article about the career disappointment of young oil and gas workers, with this: 

“Far from being ‘supportive’ of fossil fuel workers by attempting to disrupt and delay appropriate climate transitions, in fact is does them a great disservice to pretend that these industries have a long-term viable future. It seems a cruel hoax to encourage young workers to begin their careers in industries with an inevitably short time horizon. It would be more compassionate and honest to give fossil fuel workers (both current and prospective) fair notice of the changes coming, and support them in building careers in occupations and industries that are ultimately more promising.”

 Author Jim Stanford, formerly with Canada’s Unifor union, now splits his time between Canada and Sydney, where he is director of the Australia Institute’s Centre for Future Work. He and the Centre are profiled in “The People’s Economist” in the Australian magazine In the Black. This research was commissioned by Australian health care industry super fund HESTA.

What we all need: Reasons for climate optimism in 2021

By Elizabeth Perry - Work and Climate Change Report, January 8, 2021

As always at the New Year, we head into 2021 with many reviews of the year gone by – notably The New York Times interactive “Climate Change Year in Review” , “The Climate Emergency: 2020 in Review” in Scientific American , “The Best Environmental Journalism of 2020” from Unearthed by Greenpeace International. From a Canadian perspective, “20 Ideas from 2020” from British Columbia-focused The Tyee includes Climate Change and Green Recovery; Indigenous Rights, decolonization and racism; and social and income inequality in its review .

Offering some much-needed hope for the future: “6 reasons why 2020 wasn’t as bad for climate change as you think” from Grist in the U.S.; “Climate Action Is Embedding Into How the World Works” from Bloomberg Green, and a December 2020 report by Climate Action Tracker – not normally a hopeful source – which states that global warming by 2100 could be as low as 2.1°C,which they judge as “within striking distance” of the Paris Agreement’s 1.5°C goal. This assessment is based on the net zero pledges announced as of November 2020 (most importantly China, but including South Africa, Japan, South Korea, Canada, with the assumption of the USA under Biden).

From The Conversation Canada, “2020 was a terrible year for climate disasters but there’s reason for hope in 2021” , written by Matthew Hoffmann of the University of Toronto. Hoffman cites an October article in The Atlantic when he states that “climate despair is the new climate denial, dulling the sense of urgency and blunting the momentum for action”. He, like others, seems to be urging us forward with hope.

Colorado Office of Just Transition defers actions for worker protection in new Final Action Plan

By Elizabeth Perry - Work and Climate Change Report, January 7, 2021

In 2019, the State of Colorado established the first state-level Office of Just Transition (OJT) through House Bill 19-1314 . As required by that legislation, the OJT submitted its final Just Transition Action Plan on December 31, 2020, based largely on the Draft Plan submitted by its Just Transition Advisory Committee (JTAC) in August 2020. (The structure, mandate, and documentation from the consultation process are accessible here; an excellent summary is provided by the State press release here .

The December Just Transition Action Plan offers discussion and strategy recommendations organized in three sections: communities; workers; and financing. The estimated cost is $100 million, and the time frame calls for actual closures to finish in 2030. (Perhaps the leisurely schedule will be reviewed in light of events: the Denver Post reported on January 4 that Xcel- Energy announced it will close its Hayden coal plant significantly earlier than planned – beginning in 2027). The December Action Plan strategies are dominated by concerns for communities, with six detailed strategies outlined. Recognizing that some communities are more dependent on coal than others, and that average wages are also different across communities, the plan designates four communities as priority Tier One communities, and others as Tier Two communities, as defined in an Appendix. The Hayden plant is located in a Tier One community.

Closure of Australia’s Hazelwood coal-fired station: a case study 3 years after

By Elizabeth Perry - Work and Climate Change Report, December 9, 2020

After the Hazelwood coal fired power station closure: Latrobe Valley regional transition policies and outcomes 2017-2020  is a Working Paper published in November by the Centre for Climate and Energy Policy, Crawford School of Public Policy, in Australia . Although the paper is a detailed case study, the findings are summarized by the authors thus: “Prior to its sudden closure in March 2017, Hazelwood was the most carbon-intensive electricity generator in Australia. The debate over the future of Hazelwood became an icon in the nation’s ongoing political struggle over climate and energy policy. Employment and economic outcomes in the three years since closure indicate promising initial progress in creating the foundations required to facilitate an equitable transition to a more prosperous and sustainable regional economy. The Hazelwood case study provides support for a number of propositions about successful regional energy transition including that well managed, just transitions to a prosperous zero-carbon economy are likely to be strengthened by proactive, well integrated industry policy and regional renewal strategies; respectful and inclusive engagement with workers and communities; and adequately funded, well-coordinated public investment in economic and community strategies, tailored to regional strengths and informed by local experience.”

Corresponding author John Wiseman, along with co-author Frank Jotzo, previously wrote Coal transition in Australia: an overview of issues ( 2018). Jotzo was also a co-author on Closures of coal-fired power stations in Australia: local unemployment effects (2018). Their latest 2020 Working paper offers a thorough list of references to Australia’s Just Transition literature.

Fall Economic Statement paves the way for a Green Recovery: energy efficiency, care economy, electric vehicle infrastructure, and nature-based solutions

By Elizabeth Perry - Work and Climate Change Report, December 7, 2020

On November 30, Canada’s Finance Minister Chrystia Freedland presented the government’s Fall Economic Statement to the House of Commons, Supporting Canadians and Fighting COVID-19. At over 200 pages, it is the fullest statement to date of how the government intends to finance a green recovery from the Covid-19 pandemic, but Canadians must still wait for a full climate change strategy, promised “soon”.

The government press release summarizes the spending for health and economic measures, including, for employers, extension of the Canada Emergency Wage Subsidy Canada, the Emergency Rent Subsidy and Lockdown Support , and new funding for the tourism and hospitality sectors through the new Highly Affected Sectors Credit Availability Program. In Chapter 3, Building Back Better,  the Economic Statement addresses the impacts of Covid-19 on the labour market and employment. It includes promises to create one million jobs, invest in skills training, reduce inequality, attack systemic racism, support families through early learning and child care, support youth, and build a competitive green economy. Most budget allocations will be channeled through existing programs, but new initiatives include “the creation of a task force of diverse experts to help develop “an Action Plan for Women in the Economy”; launch of “Canada’s first-ever Black Entrepreneurship Program”; and a task force on modernizing the Employment Equity Act to promote equity in federally-regulated workplaces. Under the heading, “Better working conditions for the care Economy” comes a pledge: “To support personal support workers, homecare workers and essential workers involved in senior care, the government will work with labour and healthcare unions, among others, to seek solutions to improve retention, recruitment and retirement savings options for low- and modest-income workers, particularly those without existing workplace pension coverage.”

IndustriALL sets out union goals for decent work in the battery supply chain, organizing in Green Tech

By Elizabeth Perry - Work and Climate Change Report, November 20, 2020

IndustriALL Global Union represents workers along the entire battery supply chain, (except in China) through its international affiliates in mining, chemicals, energy, electronics, and the automotive sector. Canada’s Unifor is an affiliate. “Due diligence across the battery supply chain” (November 2020) describes that expanding and complex supply chain, from mining to processing to end-use products for batteries, and outlines the union’s aim to research and map it. IndustriALL’s aim is to “create a social dialogue scheme or platform with key stakeholders to achieve decent work for all throughout the supply chain. IndustriALL is the only global union who can coordinate unions around the world and contribute to the policy to achieve decent work around the battery supply chain. The international trade union movement becomes more important than ever. ” A separate post, “Developing a global trade union battery supply chain strategy” ( November 20) outlines further specifics about the union’s strategy and announces: “IndustriALL has applied for funding for a project starting in January 2021 on the battery supply chain across the industrial sectors. In a pilot project IndustriALL intends to collaborate with companies, NGOs and other associations to find out how such an approach can help to genuinely improve the situation workers along the entire battery supply chain.”

GreenTEch Manifesto for Mechanical Engineering

IndustriALL Global Union convened an online seminar on green technology in the mechanical engineering sector in early November 2020 – summarized here. The seminar was the occasion to launch a GreenTech Manifesto, which defines “Green technology” (GreenTech ) as “ any technology that promotes one or more of the 17 Sustainable Development Goals adopted by the UN summit in 2015, specifically clean water and sanitation, affordable and clean energy, green industry, innovation and infrastructure, responsible consumption and production and climate action.”

At a previous IndustriALL workshop on Mechanical Engineering and GreenTech in December 2018, the President of Austrian trade union PRO-GE and co-chair of the sector, said: “As mechanical engineers and trade unionists, technology is the most important contribution we can make to mitigating climate change. We need hydro, we need wind, we need solar, we need biomass. And we need strong unions to ensure that energy transition is just.”

The new Greentech Manifesto states: “IndustriALL Global Union and its affiliates need to be alert and present so that green jobs become good jobs with appropriate working and living conditions. To this end the participants at this IndustriALL Global Union GreenTech virtual workshop resolve to: § facilitate exchange between affected affiliates in the sector over new trends, especially focusing on GreenTech, digitization and related developments § organize training for trade union organizers and works councils to develop new methods, strategies and services to approach and recruit new employees at green workplaces § involve especially young workers and women in our work § intensify our efforts to increase trade union power in the affected sectors through organizing and recruiting.”

Ørsted and U.S. Building Trades reach a national agreement for workforce planning in Offshore Wind

By Elizabeth Perry - Work and Climate Change Report, November 19, 2020

A November 18  press release from the North America Building Trades Unions (NABTU) and Ørsted Offshore North America  announces a “Landmark MOU for U.S. Offshore Wind Workforce Transition” , which “represents a transformative moment for organized labor and the clean energy industry. This framework sets a model for labor-management cooperation and workforce development in the budding offshore wind industry.”

According to the NABTU  press release, “The partnership will create a national agreement designed to transition U.S. union construction workers into the offshore wind industry in collaboration with the leadership of the 14 U.S. NABTU affiliates and the AFL-CIO.”    The newly-announced MOU is based on the model of an agreement developed by the Rhode Island Building Trades for the Block Island Wind Farm project – the first offshore wind installation in the U.S. which came online in December 2016, and is now operated by Ørsted .

No text of the new agreement is available yet, but the press release specifies:

“As part of this national framework, Ørsted, along with their partners, will work together with the building trades’ unions to identify the skills necessary to accelerate an offshore wind construction workforce. The groups will match those needs against the available workforce, timelines, scopes of work, and certification requirements to fulfill Ørsted’s pipeline of projects down the East Coast, creating expansive job opportunities in a brand-new American industry for years to come and raising economics for a just transition in the renewable sector…..Ørsted and NABTU, along with their affiliates and state and local councils, have agreed to work together on long-term strategic plans for the balanced and sustainable development of Ørsted’s offshore wind projects.”

Costs and job impacts of Green Recovery and Just Transition programs for Ohio, Pennsylvania

By Elizabeth Perry - Work and Climate Change Report, November 2, 2020

Impacts of the Reimagine Appalachia & Clean Energy Transition Programs for Ohio: Job Creation, Economic Recovery, and Long-Term Sustainability was published by the Political Economy Research Institute (PERI) in October, written by Robert Pollin and co-authors Jeannette Wicks-Lim, Shouvik Chakraborty, and Gregor Semieniuk. To achieve a 50 percent reduction relative to 2008 emissions by 2030, the authors propose public and private investment programs, and then estimate the job creation benefits to 2030. “Our annual average job estimates for 2021 – 2030 include: 165,000 jobs per year through $21 billion in spending on energy efficiency and clean renewable energy; 30,000 jobs per year through investing $3.5 billion in manufacturing and public infrastructure. 43,000 jobs per year through investing $3.5 billion in land restoration and agriculture. The total employment creation through clean energy, manufacturing/infrastructure and land restoration/agriculture will total to about 235,000 jobs. “ 

There are almost 50,000 workers currently working in the Ohio fossil fuel and bioenergy industries, with an estimated 1,000 per year who will be displaced through declining fossil fuel demand. As he has before, Pollin advocates for a Just Transition program which includes: Pension guarantees; Retraining; Re-employment for displaced workers through an employment guarantee, with 100 percent wage insurance; Relocation support; and full just transition support for older workers who choose to work past age 65. The report estimates the average costs of supporting approximately 1,000 workers per year in such transition programs will amount to approximately $145 million per year (or $145,000 per worker).

European Journal of Industrial Relations Special Issue on Climate Change and Just Transition

By Elizabeth Perry - Work and Climate Change Report, October 20, 2020

“Trade Unions, Climate Change and Just Transition” is the theme of the December 2020 special issue of the European Journal of Industrial Relations (Volume 26 #4). In the introduction, EJIR editor Guglielmo Meardi acknowledges the paucity of academic industrial relations research on the issues of climate change, and states: “This Special Issue, edited with passion and experience by Linda Clarke and Carla Lipsig-Mummé, helps to fill the void. Its articles map the dilemmas of trade unions with regard to climate change and disentangle the issues raised by the idea of a Just Transition to a carbon-neutral economy. They show evidence of variation and influence in trade union actions on climate change and will certainly inspire more research on the complex problems they present.” 

All article abstracts are available here ; access to the full articles is restricted to subscribers. The following list links to the authors’ abstracts: “Future conditional: From just transition to radical transformation?” by Linda Clarke and Carla Lipsig-Mummé; “Just Transition on the ground: Challenges and opportunities for social dialogue”, by Béla Galgóczi; “Trade union strategies on climate change mitigation: Between opposition, hedging and support”, by Adrien Thomas and Nadja Doerflinger; “Unions and the green transition in construction in Europe: Contrasting visions”, by Linda Clarke and Melahat Sahin-Dikmen; “Innovating for energy efficiency: Digital gamification in the European steel industry”, by Dean Stroud, Claire Evans and Martin Weinel; and “From Treadmill of Production to Just Transition and Beyond” by Paolo Tomassetti.

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