oil workers

By Carol Zabin, et. al. - University of California, Berkeley Center for Labor Research and Education, June 2020

Over the last 15 years, California has emerged as a national and world leader in the fight to avoid climate disaster, passing a comprehensive and evolving suite of climate measures to accelerate the transition to a carbon- neutral economy. The state has also emerged as a national leader in embracing economic equity as a goal for state policy, charting a path towards a new social compact for shared prosperity in a rapidly changing world. Meaningful commitment to both of these goals—ensuring that all Californians thrive in the transition to a carbon-neutral economy—requires the development and implementation of a bold agenda that aligns California’s ambitious climate and workforce action plans. This report presents a framework for California to advance that agenda.

Assembly Bill 398 (E. Garcia, Chapter 135, Statutes of 2017) required that the California Workforce Development Board (CWDB) present a report to the Legislature on strategies “to help industry, workers, and communities transition to economic and labor-market changes related to statewide greenhouse gas emissions reduction goals.” To fulfill this mandate, the CWDB commissioned the Center for Labor Research and Education at the University of California, Berkeley, to review the existing research in the field and prepare this report. The summary presented here describes the key concepts, findings, and recommendations contained in UC Berkeley’s full work.

The statutory language of AB 398 makes clear that this report should address workforce interventions to ensure that the transition to a carbon-neutral economy:

• Creates high-quality jobs;
• Prepares workers with the skills needed to adapt to and master new, zero- and low-emission technologies;
• Broadens career opportunities for workers from disadvantaged communities; and
• Supports workers whose jobs may be at risk.

This report presents a comprehensive strategy that identifies roles for state and local climate, economic development, and workforce development agencies in achieving these goals, alongside key partners such as business, labor, community, and education and training institutions. All recommendations align with the CWDB’s Unified Strategic Workforce Development Plan, which has put forth a set of actions to leverage and coordinate the state’s myriad workforce and education programs to support high-quality careers for Californians. In keeping with the statutory directive, the report discussion is further enriched by comments provided to the CWDB through a series of stakeholder meetings held in July and August 2018.

This report builds upon the framework established in California’s 2017 Climate Change Scoping Plan (Scoping Plan), which presents a roadmap of policies and programs to reach the climate protection target in Senate Bill 32 (Pavley, Chapter 42, Statutes of 2016) of a 40 percent reduction in greenhouse gas emissions by 2030 from 1990 levels. The Scoping Plan is organized into sectors based on the state’s major sources of greenhouse gas emissions and corresponding climate action measures: Transportation, Industry, Energy, Natural and Working Lands (including Agricultural Lands), Waste, and Water. This report organizes the available information from existing academic research, economic models, and industry studies for the Scoping Plan sectors and presents for each of them:

• Information about current labor conditions and the impact on jobs of the major climate measures;
• Guidance for policymakers, agencies, and institutions that implement climate and/or workforce policy on how to best generate family-supporting jobs, broaden career opportunities for disadvantaged workers, deliver the skilled workforce that employers need to achieve California’s climate targets, and protect workers in declining industries; and
• Examples of concrete, scalable strategies that have connected effective climate action with workforce interventions to produce good outcomes for workers.

By Lliam Hildebrand - Iron and Earth, March 4, 2020

The workers of Iron & Earth are urging the federal government to show bold leadership to put Canada on the fast track to a net-zero economy now. This week we wrote to Prime Minister Trudeau and Deputy Prime Minister Freeland and asked them to enact a plan that will put us to work building the new economy.

The Teck mine cancellation could represent a historic milestone, marking the moment that Canada shifted collectively towards a prosperous net-zero economy. But in order to move in this new direction, we need visionary federal climate policy that includes urgent investments across the country, with special attention to Alberta and Saskatchewan. Here is the text of our letter:

March 4, 2020

The Right Honourable Justin Trudeau
Office of the Prime Minister of Canada
80 Wellington Street
Ottawa, ON K1A 0A2

The Right Honourable Chrystia Freeland
Deputy Prime Minister of Canada
House of Commons
Ottawa, ON, K1A 0A6

Re: the cancellation of the Teck Frontier project and building the new net-zero economy

Dear Prime Minister Trudeau and Deputy Prime Minister Chrystia Freeland,

Iron & Earth is a not-for-profit organization led by fossil fuel industry and Indigenous workers, whose aim is to help build the policies and infrastructure required to meet climate targets. We are concerned about the increasingly polarized conversation and contexts around energy development in Canada and the significant economic shifts that the recent Teck project cancellation represents. We are writing to urge you to show bold leadership to put us decisively on track to a net-zero economy.

By Bronwen Tucker and Kate DeAngelis - Oil Change International and Friends of the Earth - May 2020

In 2015, governments around the world committed to hold global warming to well below 2 degrees Celsius (°C) and to strive to limit warming to 1.5°C by adopting the Paris Agreement. This analysis shows that since the Paris Agreement was made, G20 countries have acted directly counter to it by providing at least USD 77 billion a year in finance for oil, gas, and coal projects through their international public finance institutions. These countries provided more than three times as much support for fossil fuels as for clean energy.

With the health and livelihoods of billions at immediate risk from COVID-19, governments around the world are preparing public spending packages of a magnitude they previously deemed unthinkable. In normal times, development finance institutions (DFIs), export credit agencies (ECAs), and multilateral development banks (MDBs) already had an outsized impact on the overall energy landscape and more capacity than their private sector peers to act on the climate crisis. In the current moment, their potential influence has multiplied, and it is imperative that they change course. The fossil fuel sector was showing long-term signs of systemic decline before COVID-19 and has been quick to seize on this crisis with requests for massive subsidies and bailouts.1 We cannot afford for the wave of public finance that is being prepared for relief and recovery efforts to prop up the fossil fuel industry as it has in the past. Business as usual would exacerbate the next crisis— the climate crisis—that is already on our doorstep.

Read the report (PDF).

By Doug Nesbitt - Rank and File, February 27, 2020

Across the country, the right-wingers are outraged once again about the loss of thousands of potential jobs in the Alberta oil sands. Teck Resources, the Vancouver-based energy company, pulled its proposal to develop a new massive oil sands mine north of Fort McMurray. Jason Kenney wasn’t the only politician choking for air after getting the news.

Teck claimed their “Frontier” mine would produce 7,000 short-term construction jobs, 2,500 operating jobs, and generate tens of billions in government revenues. Naturally, these figures are highly suspect coming from an industry known to bury the truth as often as it buries bodies.

Whatever the case, we know a lot of jobs would have been created and we also know the costs to the global environment would have been immensely bad. Teck’s decision to pull the application reflects a trend of oil sands divestment by financial powers and energy corporations. They’re even beginning to invest in renewables.

Meanwhile, over the decades, oil companies have saddled Alberta with 100,000 orphan wells, countless toxic tailings ponds, and a whopping $70 billion clean-up bill for the public. With Teck’s decision to run away from their big Alberta mine, Big Oil and the banks are spelling big trouble for Kenney and the countless politicians who have staked their lucrative careers on the oil sands.

And so Kenney loudly proclaims his incredible concern for jobs – as he axes real jobs. Kenney is overseeing devastating cuts to healthcare and government services, and his party estimates between 6,400 and 7,400 public sector jobs will be eliminated. Ah right, the public sector is the big problem, not the decades of low royalties allowing huge oil wealth to flood out of the province.

By Mindy Isser - In These Times, January 10, 2020

In the early morning hours of June 21, 2019, a catastrophic explosion tore through the Philadelphia Energy Solutions (PES) oil refinery in the southwest section of Philadelphia. The training and quick thinking of refinery workers, members of United Steelworkers Local 10-1, averted certain disaster and saved millions of lives. One month later, on July 21, PES declared bankruptcy—their second in as many years—and began to close down the refinery in the following months, laying off almost 2,000 people with no meaningful severance. According to workers who spoke with In These Times, the refinery stopped running crude oil in early August, although there are fewer than 100 workers who were kept on as caretakers for the waste water and steam generating units.

The fire on June 21 and the mass layoffs that followed impacted more than just the physical site of the refinery and the workers who made it run. It also ignited a debate throughout the city about what would become of the refinery site, which has been in operation for more than 150 years. On the one hand, the explosion underscored the dangers the refinery posed to the community immediately surrounding it, and the city as a whole. On the other, the subsequent closure of the refinery meant that workers were suddenly out of work, with no plan from PES or city officials of how to put them back to work.

This debate, while focused on Philadelphia, reflects much larger questions roiling supporters of a Green New Deal: how to ensure a just transition for fossil fuel workers who lose their jobs, and how to build bonds between unions looking out for their members, and climate organizers trying to stop fossil fuel extraction. Interviews with community organizers trying to curb the refinery’s toxic pollution, and workers laid off from the refinery, indicate that the answers are not easy, but require listening to workers, many of whom are already thinking about climate change—and forced, right now, to deal with the hardships of losing their jobs. In the words of Jim, a former worker who requested only his first name be used due to fear of retaliation, “Fossil fuels need to be phased out aggressively. That being said, I’m in the industry. You can’t just allow the people in that industry to become like the coal miners, just floundering.”

By Patrick Young - Rising Tide North America, July 9, 2019

At around 4 am on Friday, June 21, a massive fire and explosion rocked Alkylation unit at the Philadelphia Energy Solutions refinery in South Philadelphia. The explosion was so powerful that it shook houses and apartment buildings around West Philadelphia. The ball of fire could be seen for miles, turning the predawn sky orange. As the fire raged, while every human instinct must have screamed to run away from the fire, members of the PES Emergency Response Team (ERT) dropped everything to run toward the fire. They battled the blaze for hours and by 10 am the fire was contained but still burning.

Like anyone who is familiar with refinery operations, Jim Savage, an operator at PES and a union activist immediately turned his thoughts to the ERT writing, “Huge props to our refinery Emergency Response Team. I’ve always questioned their sanity, but their courage and professionalism has never been in doubt. Those explosions were terrifying and I have no idea how we didn’t have injuries or even worse. It’s going to be a long and dangerous day for them, so keep them in your thoughts.”

It took a full day to fully extinguish the fire. The explosion was bad, but it could have been much, much worse. Unit 433, the Alkylation unit where the explosion occurred used hydrofluoric acid (HF) as part of the refining process. HF is by far the most dangerous chemical in the facility and PES’s most recent emergency response plan reported that there were as many as 71 tons of the chemical at the facility. Just after the explosion, the operator on the board at the refinery’s central control room transferred the HF that was in process to another container, preventing a mass release of the chemical.

Hydrofluoric acid is an incredibly dangerous chemical used as a catalyst in some oil refineries (there are inherently safer technologies in use in many refineries but owners of many older refineries, including the PES facility in South Philadelphia have refused to invest in safer systems). HF quickly penetrates human tissue, but it interferes with nerve function so burns may initially not feel painful, giving people a false sense of safety. Once it is absorbed into the blood through the skin it reacts with calcium and can cause cardiac arrest. It volatilizes at a relatively low temperature and travels as a dense vapor cloud — PES reports that the supply of HF stored at the South Philadelphia refinery could travel as far as 7 miles putting as many as a million people at risk.

On June 21, the members of United Steelworkers Local 10–1 on the PES Emergency Response Team and in the refinery’s control room prevented the dozens of tons of HF at the refinery from being released saving tens of thousands of lives.

Then on June 26th, those workers learned that they were losing their jobs. Philadelphia Energy Solutions announced that it was shutting down refinery operations and laying off nearly all of the workers at the refinery within weeks.

By Greg Muttitt, Anna Markova, and Matthew Crighton - Oil Change International, Platform, and Friends of the Earth Scotland, May 2019

This new report released by Oil Change International, Platform and Friends of the Earth Scotland shows that a well-managed energy transformation based on Just Transition principles can meet UK climate commitments while protecting livelihoods and economic well-being, provided that the right policies are adopted, and that the affected workers, trade unions and communities are able to effectively guide these policies.

This report examines the future of UK offshore oil and gas extraction in relation to climate change and employment. It finds that:

• The UK’s 5.7 billion barrels of oil and gas in already-operating oil and gas fields will exceed the UK’s share in relation to Paris climate goals – whereas industry and government aim to extract 20 billion barrels;
• Recent subsidies for oil and gas extraction will add twice as much carbon to the atmosphere as the phase-out of coal power saves;
• Given the right policies, job creation in clean energy industries will exceed affected oil and gas jobs more than threefold.

In light of these findings, the UK and Scottish Governments face a choice between two pathways that stay within the Paris climate limits:

1. Deferred collapse: continue to pursue maximum extraction by subsidising companies and encouraging them to shed workers, until worsening climate impacts force rapid action to cut emissions globally; the UK oil industry collapses, pushing many workers out of work in a short space of time. Or:
2. Managed transition: stop approving and licensing new oil and gas projects, begin a phase-out of extraction and a Just Transition for workers and communities, negotiated with trade unions and local leaders, and in line with climate change goals, while building quality jobs in a clean energy economy.

The report recommends that the UK and Scottish Governments:

• Stop issuing licenses and permits for new oil and gas exploration and development, and revoke undeveloped licenses;
• Rapidly phase out all subsidies for oil and gas extraction, including tax breaks, and redirect them to fund a Just Transition;
• Enable rapid building of the clean energy industry through fiscal and policy support to at least the extent they have provided to the oil industry, including inward investment in affected regions and communities;
• Open formal consultations with trade unions to develop and implement a Just Transition strategy for oil-dependent regions and communities.

Read the text (PDF).