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As California Considers Dropping Fossil Fuels from Major Pension Funds, New Report Calls Out ‘Misinformation’ on Costs

By Sharon Kelly - DeSmog, May 13, 2022

CalPERS and CalSTRS, which oppose fossil fuel divestment legislation, have “wildly exaggerated” divestment costs, according to Fossil Free California’s latest report.

A newly published report by Fossil Free California finds California’s pension fund managers are circulating divestment “misinformation” by exaggerating the costs involved in shedding their fossil fuel investments in documents prepared for state lawmakers.

California lawmakers are currently considering Senate Bill 1173 (SB-1173), California’s Fossil Fuel Divestment Act, which would require the California Public Employees’ Retirement System (CalPERS) and the California State Teachers’ Retirement System (CalSTRS), to stop investing in fossil fuels before the decade is out. The move would impact billions of dollars currently invested in oil, gas, or coal on behalf of California’s teachers, firefighters, and other public employees.

The report titled “Hyperbole in the Hearings” found that the pension “funds have wildly exaggerated losses from past divestments” like those involving tobacco, firearms, and some forms of coal. It concludes that CalPERS and CalSTRS estimates for costs associated with fossil fuel divestment are also exaggerated.

Extraordinary sums of money, invested on behalf of California’s public employees and teachers, are on the line. The two pension funds have estimated holdings of $7.4 billion and $4.1 billion respectively in fossil fuel investments that would need to be divested if the law went into effect. 

Good Jobs and a Just Transition into Hydrogen

By staff - IndustriALL Global Union, May 12, 2022

On 5 May, the International Trade Union Confederation (ITUC), LO Norway and IndustriALL held a first workshop on hydrogen technology as part of the Just Transition and the Energy Sector initiative. The initiative provides a platform for unions around the world to exchange information on energy transition technologies and the jobs, skills, markets, investments, and emissions related to them.

There is no single industry that could replace the oil and gas industry, in terms of jobs and in terms of income. We must consider multiple different technologies when thinking about where jobs are going to transition to,”

said Kenneth Sandmo, Head of business and Industry Policy in the Norwegian Trade Union Confederation (LO Norway).

Putting it into perspective, Sandmo explained that Norway’s oil and gas industry employs more than 200,000 workers directly and indirectly. As the hydrogen sector is projected to create approximately 35,000 jobs in Norway, hydrogen technology shouldn’t be the only focus for trade unions.

Hydrogen technology is key for the long-term decarbonisation of energy intensive industries and sectors such as heavy transport. To get a better view of where jobs are and where they could be, the workshop looked at the value chains of oil and gas and hydrogen. Breaking both value chains down to production, processing, distribution, and end use (upstream, midstream, downstream) provided a clearer view of where the jobs are, and where there is a future for workers to transition in the hydrogen value chain.

Climate change: IPCC report confirms that just transition and green jobs are central to success

By staff - International Trade Union Confederation, May 4, 2022

ITUC General Secretary Sharan Burrow said: “This report lays out a stark reality: global greenhouse gas emissions need to peak before 2025, and we have to cut emissions by 43% by 2030 to give us a chance to limit global warming to 1.5°C.

“That’s a lot, but the report says that solar and wind energy have the potential to deliver over one-third of this target.

“It’s unavoidable: the world needs rapid, deep and immediate investments in jobs to build this infrastructure and deliver the cuts to emissions we need.

“At the same time, the report is clear that we have to leave the oil and gas in the ground to survive. We need fossil fuel infrastructure and subsidies to be repurposed.

“This requires just transition: a plan to convert these jobs in fossil fuels to jobs in clean energy. Every country, every industry, every company, and every investor must have a plan developed, in partnership with working people and their communities, and must implement it rapidly.

Our report with the World Resources Institute and the New Climate Economy showed that this shift makes economic and social sense too. Investing in solar power creates 1.5 times as many jobs as investing the same amount of money in fossil fuels.

“The IPPC has sounded a call to action for jobs in renewables. Investors, companies and governments need to make this a reality now. We know that for every ten jobs in renewable energy, there are another five to ten in manufacturing supply chains and, if these are good jobs with just wages, 30 to 35 jobs in the broader community.”

The IPPC report makes clear the transformational potential of just transition, saying it can “build social trust, and deepen and widen support for transformative changes”. It goes on to say: “This is already taking place in many countries and regions, as national just transition commissions or task forces, and related national policies, have been established in several countries. A multitude of actors, networks, and movements are engaged.”

Sharan Burrow added: “We need unions at the table everywhere to build these plans and to guarantee income support for secure pensions, reskilling and re-deployment.”

The Chevron Strike Continues

By Shiva Mishek - Richmond Progressive Alliance, May 4, 2022

“To strike at a man's food and shelter is to strike at his life, and in a society organized on a tooth-and-nail basis, such an act, performed though it may be under the guise of generosity, is none the less menacing and terrible.”

—Jack London, The Scab, 1904

This week, United Steelworkers (USW) Local 5 enters its seventh week on strike at the Richmond Chevron refinery. Over 500 Chevron employees have been on strike since March 21, rejecting a contract that would codify a meager raise, unsafe working conditions, and Chevron’s so-called “standby” policy.

Chevron would also like to drastically reduce death benefits and pay for the Lubrications plant refinery workers, thereby creating a two-tier wage system and offering wages that do not keep pace with inflation (a reduction from an annual 3% wage increase to .6%).

Refinery operations have continued by employing strikebreakers. Advertisements placed by Chevron offer pay of $70 an hour for non-union workers lacking adequate refinery experience, with the explicit mention of possible work for up to 5 months. Meanwhile, inflation has soared across the United States, and refinery workers must also contend with the skyrocketing costs of basic needs.

Unsurprisingly, the high cost of gas prices in California has been somewhat attributed to the labor action. The day the strike began, the Guardian wrote, “But if the strike were to halt operations at the refinery, that could negatively affect fuel prices in California, which already has the highest gas prices in the US at $5.86 a gallon, according to the American Automobile Association.” Meanwhile, Chevron just reported earnings of $6.3 billion for the first quarter (Q1) of 2022, compared with $1.4 billion in earnings during Q1 of 2021. 

It’s typical to see workers villainized when they go on strike—teachers are depriving students of needed support; nurses and doctors are leaving patients to die in their hospital beds. But it is Chevron, not the workers, that has put Richmond at risk for decades. 

Enviros Protect Steelworkers’ Backs

By staff - Labor Network for Sustainability, May 2022

On April 29, activists from the environmental group Greenpeace USA and oil workers and Steelworkers Local 5 deployed a “boat picket” at the Chevron refinery in Richmond, CA composed of three Greenpeace boats floating in formation near the oil tanker delivery dock, with striking refinery workers, banners and picket signs on board.

According to Greenpeace Co-Executive Director Annie Leonard, “The boats intend to notify all incoming and outgoing tankers and tugs of their presence as a “picket line” and ask that they do not cross it by refusing to arrive at or leave the refinery’s dock.”

Why were Greenpeace boats and activists, famous for blocking whale hunts, supporting a strike by oil refinery workers? Annie Leonard explains:

Fossil fuel executives and their lobbyists have maintained their dominance by pretending to have the best interest of workers and communities at heart. But while they are raking in record profits (just this morning Chevron announced they brought in $6.3 billion in just the first quarter this year), they are holding out on fair pay and safe working conditions. That’s why we chose to show up for fossil fuel workers. The only way we can break these companies’ stranglehold on our wallets, our communities, and the planet is by standing together in the call for a livable future.

She adds,

Nearly 500 workers from Chevron’s Richmond refinery have been on strike for over a month as they demand a fair contract from Chevron’s greedy executives. Greenpeace believes that walking our walk in our commitment to a just economic future for all communities means that in the meantime, we must be dedicated to struggle alongside oil workers against the industry that is not giving them a fair shake. Today’s protest is the next step in displaying a powerful front of environmentalists and workers united against fossil fuel corporations. If we stand (or sometimes float) together, we can win.

Greenpeace activist Ben Smith tweeted from a floating picket boat, “We’re also out here to walk the walk. It’s past time for the workers movement and the environmental movement to build bonds of solidarity because our fates are bound up together.”

IPCC Report Calls for “Just Transition”

By Staff - Labor Network for Sustainability, May 2022

The latest report of the Intergovernmental Panel on Climate Change emphasizes the need for immediate action to protect the climate and lays out detailed strategies for how to do it. The report includes a lengthy analysis of ‘just transitions’ in countering climate change. A just transition could entail that

the state intervenes more actively in the eradication of poverty, and creates jobs in lower-carbon sectors, in part to compensate for soon-to-be abandoned fossil-fuel-based sectors, and that governments, polluting industries, corporations and those more able to pay higher associated taxes pay for transition costs, provide a welfare safety net and adequate compensation for people, communities, places, and regions that have been impacted by pollution, marginalized or negatively impacted by a transition from a high- to low-carbon economy and society.

The just transition concept has become

an international focal point tying together social movements, trade unions, and other key stakeholders to ensure equity is better accounted for in low-carbon transitions and to seek to protect workers and communities.

 According to the IPCC, “just transition” also forms a central pillar of the growing movement for a “Green New Deal”—a “roadmap for a broad spectrum of policies, programs, and legislation that aims to rapidly decarbonize the economy while significantly reducing economic inequality.”

The US Green New Deal Resolution for example positions structural inequality, poverty mitigation, and a just transition at its center. In 2019, the European Green Deal proposed including a UDF100 billion “Just Transition Mechanism” to mitigate the social effects of transitioning away from jobs in fossil based industries. National level green new deals with strong just transition components have been proposed in South Korea, Australia, Spain, UK, Puerto Rico, Canada, as well as regional proposals across Latin America and the Caribbean.

The report provides a list of organizations supporting just transition, including the Labor Network for Sustainability.

The report treats a just transition as part of the broader question of climate equity. Its section on “Equity in a just transition” says,

Looking at climate change from a justice perspective means placing the emphasis on

  • a) the protection of vulnerable populations from the impacts of climate change;
  • b) mitigating the effects of the transformations themselves, including easing the transition for those whose livelihoods currently rely on fossil fuel-based sectors; and
  • c) envisaging an equitable decarbonized world. Neglecting issues of justice risks a backlash against climate action generally, particularly from those who stand to lose from such actions.

Warehouse Workers Call for Zero-Emission Trucks

By staff - Labor Network for Sustainability, May 2022

A growing convergence between climate protection and worker justice is embodied in a new report from Warehouse Workers for Justice titled “For Good Jobs and Clean Air: How a Just Transition to Zero Emission Vehicles Can Transform Warehousing.”

Warehouse Workers for Justice (WWJ) is a worker center founded in 2008 to win “stable, living wage jobs with dignity” for the hundreds of thousands of workers in Illinois’ logistics and distribution industry. WWJ “provides workshops about workplace rights, unites warehouse workers to defend their rights on the job, builds community support for the struggles of warehouse workers and fights for public and private policies that promote full-time work at decent wages in the warehouse industry.”

The new report, which includes both scientific information and vivid accounts by warehouse workers themselves, documents the toxic, diesel-driven air quality, public health, and labor impacts of warehousing at the nation’s largest inland port, Will County, IL. Its findings were generated by community-driven air quality monitoring, truck counting, and interviews.

The report finds that through environmental racism and poor labor standards, companies like Amazon put their predominantly Black and Latine workers at a “double jeopardy” of exploitation on the shop floor and toxic air pollution in the community.

The report shows that the transition to electric trucks creates an opportunity to uplift labor standards for warehouse workers and truckers while mitigating diesel-related public health crises — but only if the shift to EVs adequately prioritizes workers and residents.

Are Refinery Workers Climate Enemies?

By an anonymous ex-member of the IWW (with a response by That Green Union Guy) - ecology.iww.org, April 28, 2022

Editor's Note: Since Monday, March 21, 2022, the workers at the Chevron oil refinery in Richmond, California, members of the United Steelworkers Local 5 have been on strike and picketing the facility after voting down the company’s latest contract offer, which workers say contained insufficient wage increases and demanded cuts in union staffing that focused on health and safety in the refinery. The bosses have responded by bringing in scabs (including managers from other Chevron facilities). Meanwhile, USW Local 5 members have been picketing the refinery 24-7, and have been, at times, joined by members of the local BIPOC and/or environmental justice community. After IWW EUC cofounder and long-time Bay Area IWW General Membership Branch member, x344543, brought a call for solidarity with the striking workers to the April branch meeeting, a disgruntled member (who has since resigned from the organization), sent the following letter to the branch (name deleted for privacy reasons).

Message from a Disgruntled (former) Member:

I’m sorry to say how disappointed I am in the IWW. I’m a relatively new wobbly and although I believe in standing in solidarity with fellow workers it seems at some point lines must be drawn.

As I’ve read through these last emails about the USW Local 5 and the call to action for us to stand with them as they strike, many questions come to mind. The first one is what if fellow climate activists, many of whom are wobblies were to implement a protest blockade to stall production of this refinery in defense of the environment? I wonder if those refinery workers with whom we are picketing would come outside and join our protest line? I also wonder if they would be interested in the invitation to join the 2022 Global Climate Strike that you forwarded to us? In both cases I assume it is reasonable to conclude they would not.

As wobblies, where do we draw the line? What if oil pipeline workers go to strike for hazard pay because a tribal nation, whose land the pipeline is planned to cross blocks safe access to thier jobsite in protest of the poisoning of thier waterways? Would the IWW Environmental Caucus also put a call out to picket with those Union workers? We draw the line when it comes to police unions who’s membership is hellbent on beating and imprisoning people protesting civil injustices. Why are we supporting refinery workers? This makes no sense. Iunderstand that just about every industry is to some degree tainted with These workers primary job is to process and prepare for market the product that’s catapulted us into the current global warming apocalyptic meltdown!

USW 5 Chevron Richmond Refinery Strike Continues Report By USW 5 President BK White

Rallies Held Across US for 'Climate, Care, Jobs, and Justice'

By Kenny Stancil - Common Dreams, April 23, 2022

Scores of people in communities around the United States took to the streets on Saturday to demand swift and bold legislative and executive action to tackle the fossil fuel-driven climate crisis as well as skyrocketing inequality.

At "Fight for Our Future" rallies held in Washington, D.C., Phoenix, Atlanta, and more than 40 additional cities across the country, the message was simple: Time is running out for Congress and President Joe Biden to make the bold investments needed to create millions of unionized clean energy and care sector jobs that can simultaneously mitigate greenhouse gas pollution along with economic and racial injustice.

The nationwide mobilization—organized by a coalition of more than 20 labor, civil rights, and environmental justice groups including SEIU, NAACP, the Sierra Club, the Sunrise Movement, the Center for Popular Democracy, and the Green New Deal Network—took place one day after Earth Day.

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