By various - Green Stimulus Proposal - March 22, 2020
Members of the IWW and IWW EUC have signed this statement as individuals.
As a nation we face three converging crises: the COVID19 pandemic and the resulting economic recession; the climate emergency; and extreme inequality.
Unemployment is rising at the fastest rate since the 2008 crash, and could eventually reach 20% — twice as high as the Great Recession. We need immediate and sustained intervention to protect people’s health and economic well-being, with a special focus on the most vulnerable. We must also begin planning our economic recovery in a way that protects us from the impact of climate change and lifts up workers and frontline communities.
Many other groups are focused on the emergency stimulus package to stabilize our economy, on preventing harm in an equitable way — which we fully support — so this letter focuses on the longer-term challenge of jumpstarting economic recovery and transitioning to a more sustainable economy. The question isn’t whether we will next need a major economic recovery stimulus, but what kind of stimulus should we pursue? In response we, climate and social policy experts in academia and civil society, have developed a menu of solutions that would collectively comprise a Green Stimulus.
The United States confronts the danger of an economic stimulus that restores — or even deepens — our reliance on fossil fuels. This danger comes from explicit proposals to bail out the fossil fuel sector and roll back workers’ rights, and also from generic general stimulus policies that do not take climate into account. Indeed, infrastructure spending as usual — e.g. highway expansion — will lock in more carbon pollution for decades. We can avoid these problems by crafting a recovery that accelerates the creation of a 21st century green economy.
Thus, we propose an ambitious Green Stimulus of at least $2 trillion that creates millions of family-sustaining green jobs, lifts standards of living, accelerates a just transition off fossil fuels, ensures a controlling stake for the public in all private sector bailout plans, and helps make our society and economy stronger and more resilient in the face of pandemic, recession, and climate emergency in the years ahead. This stimulus should be automatically renewed annually at 4% of GDP per year (roughly $850 billion) until the economy is fully decarbonized and the unemployment rate is below 3.5%. A Green Stimulus would make short-term interventions, restructure political and economic power towards workers and communities, and build toward deep long- term change.
Most of the physical work proposed here cannot begin immediately. We must focus on halting the spread of deadly illness. However, we can do all the preparatory work now to make green projects “shovel ready.” Right now, legislative action as well as planning work, done safely through online channels, including public debate and consultation, can ensure that physical projects can commence as soon as it is feasible to restart major in-person work across the economy.
This preparatory phase must include building up capacity within existing federal, state, and local government agencies (and chartering new ones as necessary) to help manage the implementation phase of this stimulus. In the weeks ahead, the government will undoubtedly pass further stimulus measures. At each step, we must push for that stimulus to be green.
Our proposal for a Green Stimulus is aligned with the “5 Principles for Just COVID-19 Relief and Stimulus,” as put forward by over 300 environmental, justice, labor, and movement organizations: (1) Health is the top priority, for all people, with no exceptions; (2) Provide economic relief directly to the people; (3) Rescue workers and communities, not corporate executives; (4) Make a down payment on a regenerative economy, while preventing future crises; and, (5) Protect our democratic process while protecting each other.
Additionally, our proposal is grounded four key strategies, cutting across industrial sectors and bureaucratic domains:
- Create millions of new family-sustaining, career-track green jobs in clean energy expansion, building retrofits and sustainable homebuilding, local food economies, public transit maintenance and operations, electric appliance and vehicle manufacturing, green infrastructure construction and management, local and sustainable textiles and apparel, and partnering with existing pre-approved apprenticeship programs to bring more low-income and workers of color into good union jobs;
- Deliver strategic investments — like green housing retrofits, rooftop solar installation, electric bus deployment, rural broadband development, and other forms of economic diversification — to lift up and collaborate with frontline communities, including communities of color, Indigenous communities, low-income communities, communities that have suffered disinvestment, and communities that have historically borne the brunt of pollution and climate harm;
- Expand public and employee ownership by leveraging existing public agencies and assets (including public transit agencies, local housing authorities, public school districts, and electric co-ops), taking equity stakes in companies receiving substantial direct investment (including the airline, fossil fuel, and cruise industries), and conditioning strategic aspects of the stimulus package on worker self- determination measures and cooperatives; and,
- Make rapid cuts to carbon pollution consistent with keeping global warming as close as possible to 1.5 degrees Celsius, as the climate science tells us is required to limit further climate breakdown, and protect salaries, benefits, and retirements of fossil fuel workers.