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Just Transition Strategies: Workers and the Green Revolution

Agreement reached to save Terra Nova offshore oil and gas field in Newfoundland

By Elizabeth Perry - Work and Climate Change Report, June 16, 2021

UPDATE: As reported by CBC News on June 16 in “New hope for Terra Nova as Suncor announces tentative deal to save N.L. oilfield” , and by a Unifor press release, an agreement in principle has been reached to restructure ownership of the Terra Nova oil fields, offering a path forward which may save the jobs of the workers. Details are not yet available, but Suncor will increase its equity stake and previous owners may participate in the new structure, contingent on the province honouring its commitment to provide $205 million from the oil industry recovery fund, and some $300 million in royalty relief .

Workers demonstrated outside the Newfoundland legislature on June 14 and 15 , as politicians debated inside about the fate of the Terra Nova oil field and an ultimatum from Suncor Energy, asking for the government to buy the assets of the Terra Nova FPSO, an offshore production and storage platform which employed nearly 1,000 workers in 2019, which is the last time oil was produced. Suncor is the last company remaining in the consortium which owned the oil field. The complexity of the situation is described in several CBC articles, including: “Talks to save Terra Nova oilfield collapse after N.L. government rules out equity stake” (June 10), and “As deadline for Terra Nova approaches, pressure mounts to save troubled oilfield” (June 11). To date, the government has refused to buy the asset, saying that the risks are too great because the oilfield is estimated to be 85% depleted. Instead, it has agreed to provide about $500 million in cash and incentives to the company. As of June 16, Suncor Energy has still not announced a decision, as reported by CBC in “Terra Nova deadline comes — and goes — without word of its fate” .

Unifor Local 2121 represents the workers at Terra Nova, and organized the demonstrations at the legislature. Unifor describes the rally here, and in this press release asserts that the Terra Nova decision is a harbinger of the future of the Newfoundland oil and gas industry.

Clean energy jobs as a transition destination

By Elizabeth Perry - Work and Climate Change Report, June 15, 2021

Released on June 3, Responding to Automation: Building a Cleaner Future is a new analysis by the Conference Board of Canada, in partnership with the Future Skills Centre. It investigates the potential for clean energy jobs as a career transition destination for workers at high risk of losing their jobs because of automation. The clean energy occupations were identified from three areas: clean energy production, energy efficiency , and environmental management and the “rapid growth” jobs identified range from wind turbine technicians and power-line installers to industrial engineers, sheet metal workers, and geospatial information scientists. Based on interviews with clean economy experts, as well as the interview responses from over five hundred workers across Canada, the analysis identifies the structural barriers holding employers and workers back from transition:

  • Lack of consistent financial support for workers to reskill
  • Employer hesitancy to hire inexperienced workers
  • Current demand for relevant occupations which makes change less attractive
  • Lack of awareness around potential transition opportunities
  • Personal relocation barriers, such as high living costs in new cities, and family commitments.

None of the recommended actions to overcome the barriers include a role for unions, with the burden for action falling largely on the individual employee. Only summary information is presented as a web document, but this research is part of a larger focus on automation, so it can be hoped that a fuller report will be published – if so, the partner group, Future Skills, maintains a Research website where it will likely be available.

Other news about renewable energy jobs:

“Renewable Energy Boom Unleashes a War Over Talent for Green Jobs” appeared in Bloomberg Green News (June 8), describing shortages of skilled workers in renewable energy, mainly in the U.S.. It also summarizes a U.K. report which forecasts a large need for workers in the U.K. offshore industry, which is expected to be met by people transferring from the oil and gas sector.

A report by the Global Wind Energy Council forecasts a growth of 3.3 million wind jobs worldwide by 2025, and suggests that offshore wind energy jobs could offer a natural transition for workers dislocated from offshore oil and gas and marine engineering workers. According to the analysis, in 2020, there were approximately 550,000 wind energy workers in China, 260,00 in Brazil, 115,000 in the US and 63,000 in India. A related report, The Global Wind Workforce Outlook 2021-2025 forecasts a large training gap: the global wind industry will need to train over 480,000 people in the next five years to construct, install, operate and maintain the world’s growing onshore and offshore wind fleet. That report is available for download here (registration required), and is summarized in this press release.

And forthcoming: Clean Energy Canada will release its research on the clean energy labour market in Canada on June 17. Their last jobs report, The Fast Lane: Tracking the Energy Revolution, was released in 2019.

Labor-Backed Report on Path to Equitable Green California

By Staff - Sunflower Alliance, June 10, 2021

Nineteen labor organizations—including unions representing refinery workers in Northern and Southern California and the Alameda Labor Council— have endorsed a detailed plan for an equitable transition to a clean-energy economy in California.

This major new report, A Program for Economic Recovery and Clean Energy Transition in California, details programs for meeting California’s 2030 climate goal (40 percent economy-wide reduction in greenhouse gas emissions from the state’s 1990 level) by creating roughly 418,000 jobs. It argues that state policy should ensure that the jobs created are good-paying jobs with full labor rights and access by historically excluded people.

The same strategies, the report says, could be continued to meet California’s longer-term goal of being carbon-neutral by 2045.

The report was commissioned by the American Federation of State, County and Municipal Employees Local 3299, the California Federation of Teachers, and the United Steelworkers Local 675. Its authors are faculty members of the University of Massachusetts at Amherst, including Robert Pollin, a leading expert on just transition.

The report provides detailed calculations for strategies outlined in an earlier report, Putting California on the High Road, from the UC Labor Center. Both reports emphasize the need for measures to protect fossil fuel industry workers including:

  • Pension guarantee for all workers.
  • Re-employment and income-level guarantees for all displaced workers.
  • Retraining and relocation support as needed.
  • “Glide-path income support” for workers 60 – 64.

The report comes as the Newsom administration is developing a report on Just Transition in California.

Just Transition in California: Robert Pollin in Conversation with Robert Kuttner

Labor Unions Rally Behind California’s Zero-Emissions Climate Plan

Robert Pollin interviewed by C.J. Polychroniou - Truthout, June 10, 2021

Robert Pollin, distinguished professor of economics and co-director of the Political Economy Research Institute (PERI) at the University of Massachusetts at Amherst, has been spearheading national and international efforts to tackle the climate crisis for more than a decade. Over the past few years, he and a group of his colleagues at PERI have produced green economy transition programs for numerous states. The latest such program is for California, and it is being released today.

The massive study — nearly 200 pages long — shows how California can become a zero emissions economy by 2045 while expanding good job opportunities throughout the state. Nineteen unions have already endorsed the green transition plan, making clear that they reject frameworks that falsely pit labor priorities and the environment against each other, and more are expected to do so in the days and weeks ahead.

In this interview for Truthout, Pollin, co-author with Noam Chomsky of Climate Crisis and the Global Green New Deal: The Political Economy of Saving the Planet (Verso 2020), talks about the climate stabilization project for California and the national implications of union support for a green economy transition.

C.J. Polychroniou: California has been at the forefront of the climate fight for years now, but the truth of the matter is that its efforts have fallen short. Now, you and some colleagues of yours at PERI have just completed a commissioned climate stabilization project for California. How does the project envision the clean energy transition to take place in a manner consistent with the emission targets set out by the UN Intergovernmental Panel on Climate Change (IPCC) in 2018, and how will it be financed?

Robert Pollin: This study presents a recovery program for California that will also build a durable foundation for an economically robust and ecologically sustainable longer-term growth trajectory. California has long been a national and global leader in implementing robust climate stabilization policies. This includes the 2018 Executive Order B-55-18 by then Gov. Jerry Brown. This measure committed the state to cut CO2 emissions by 50 percent as of 2030, to become carbon neutral no later than 2045, and to produce net negative emissions thereafter. These goals are somewhat more ambitious than those set out by the IPCC in 2018. Our study outlines a program through which the state can achieve its own established goals.

Our study shows how these 2030 and 2045 emissions reduction targets can be accomplished in California through phasing out the consumption of oil, coal and natural gas to generate energy in the state, since burning fossil fuels to produce energy is, by far, the primary source of CO2 emissions, and thereby, the single greatest factor causing climate change. The project we propose is to build a clean energy infrastructure to replace the existing fossil fuel-dominant infrastructure. The clean energy infrastructure will require large-scale investments to, first, dramatically raise energy efficiency standards in the state and, second, to equally dramatically expand the supply of clean renewable energy supplies, including solar and wind primarily, with supplemental supplies from low-emissions bioenergy, geothermal and small-scale hydro power. We show how this climate stabilization program for California can also serve as a major new engine of job creation and economic well-being throughout the state, both in the short- and longer run.

A Program for Economic Recovery and Clean Energy Transition in California

By Robert Pollin, Jeannette Wicks-Lim, Shouvik Chakraborty,Caitlin Kline, and Gregor Semieniuk - Department of Economics and Political Economy Research Institute (PERI); University of Massachusetts-Amherst, June 10, 2021

This study presents a robust climate stabilization project for California. It demonstrates that achieving the state’s official CO2 emissions reduction targets—a 50 percent emissions cut by 2030 and reaching zero emissions by 2045—is a realistic prospect. This climate stabilization project can also serve as a major engine of economic recovery and expanding economic opportunities throughout the state. This includes an increase of over 1 million jobs in the state through investment programs in energy efficiency, clean renewable energy, public infrastructure, land restoration and agriculture. The study also develops a detailed just transition program for workers and communities in California that are currently dependent on the state’s fossil fuel industries for their livelihoods. In particular, we focus here on condi­tions in Kern, Contra Costa, and Los Angeles counties.

The study is divided into nine sections:

  1. Pandemic, Economic Collapse, and Conditions for Recovery
  2. California’s Clean Energy Transition Project
  3. Clean Energy Investments and Job Creation
  4. Investment Programs for Manufacturing, Infrastructure, Land Restoration and Agri­culture
  5. Total Job Creation in California through Combined Investment Programs
  6. Contraction of California’s Fossil Fuel Industries and Just Transition for Fossil Fuel Workers
  7. County-level Job Creation, Job Displacement, and Just Transition
  8. Achieving a Zero Emissions California Economy by 2045
  9. Financing California’s Recovery and Sustainable Transition Programs

Nineteen labor unions throughout California have endorsed this study and its findings.

Read the text (PDF).

The high health costs of climate change in Canada, focused on heat stress and air pollution

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

The Health Costs of Climate Change was released in June by the Institute for Climate Choices, the second in their series on the costs of climate change. This report attempts to quantify how air quality, increased cases of Lyme disease, and heat will impact people’s health, using two different GHG scenarios until the year 2100. The report also discusses broader issues such as the socio-economic factors which determine unequal health results, mental health impacts, impacts on Indigenous culture and food security, and the impacts on health infrastructure. Results show that Lyme disease will be the least costly of the projected impacts, but air pollution and heat threats will increase dramatically – even under the low-emissions scenario, heat-related hospitalization rates will increase by 21 per cent by mid-century and will double by the end of the century. The labour productivity impact of higher temperatures is projected as “a loss of 128 million work hours annually by the end of century—the equivalent of 62,000 full-time equivalent workers, at a cost of almost $15 billion.” Unlike most reports which focus on the impacts of heat on outdoor workers only, the report acknowledges the impact on indoor space too, and offers some analysis and cost analysis of the installation of green roofs and shading on manufacturing facilities. It concludes with recommendations for government policy, and includes a 10-page bibliography of Canadian health research. “Climate change is set to cost Canada’s health system billions”  (The National Observer, June 3) summarizes the report.

Get Fossil Fuels Out of Our Pension, Say Environmental Protection Workers

By Saurav Sarkar - Labor Notes, June 3, 2021

Not long ago, workers at the Environmental Protection Agency were battling the Trump Administration’s many attempts to interfere with both their agency’s mission and their rights on the job.

Under Trump, the EPA reduced union officials’ official time, restricted the ability to bring grievances, and took away office, meeting, and storage space. Now, with most of those changes undone and the Trump era behind them, EPA workers have begun to work towards a different goal: divesting their federal retirement investment program—the world’s largest defined-contribution plan—from fossil fuel stocks.

“For EPA employees, this is something that is near and dear to our hearts,” said Nicole Cantello, an EPA lawyer and president of Government Employees (AFGE) Local 704.

EPA workers issue and enforce regulations, make grants, conduct research and education, and provide technical assistance for environmental cleanup. They’re probably more aware than most workers of the urgency of the climate crisis, given that they collect greenhouse gas data, regulate vehicle emissions, and educate the public about the issue.

Even limiting global warming to 1.5 degrees Celsius above pre-industrial levels—the goal of the 2015 Paris Climate Agreement—will result, according to a landmark 2018 U.N. report, in heat waves, more droughts, more intense hurricanes and flooding, a rise in sea levels, harm to ecosystems, lower food crop yields, deforestation, and other damaging consequences.

An increase of 2 degrees or more will have far more devastating effects.

So it’s no wonder EPA workers aren’t happy, about, as Cantello put it, “being forced to invest in instruments that have fossil fuels and [greenhouse gas] emissions that are attached them.”

Gearing Up for Bargaining, Canadian Union Pushes for a Greener, Better Postal Service

By Derek Seidman - Labor Notes, June 2, 2021

With its contracts expiring in 2022, the Canadian Union of Postal Workers is stepping up the fight for its own vision of the post office of the future.

It’s a model for exactly the kind of Green New Deal campaign that U.S. unions should be launching now for a post-Covid economic recovery.

For several years, CUPW and its allies have proposed a visionary plan called Delivering Community Power. It advances a big but simple idea: take Canada Post, an institution that’s already publicly owned and embedded in communities, and reinvent it to drive a just transition into a post-carbon economy.

The post office would help to jump-start green vehicle production and infrastructure; it would provide free Internet access for all; it would create a nationwide system of public banking. And all these measures would help to shore up and expand the post office as a unionized, community-centered alternative to the proliferation of Amazon delivery vans.

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