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

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.”

 

 

 

Ambitious focus on electric vehicles in Quebec’s 2030 Plan for a Green Economy

On November 16, the government of Quebec released its 2030 Plan for a Green Economy (in French), with an official English-language Summary.   The plan is costed at $6.7 billion over the next five years, with targets to reduce GHG emissions by 37.5% below 1990 levels by 2030, and to achieve  carbon neutrality by 2050.  The bulk of funding and attention focuses on electrification of transportation. Already a leader in electric vehicle incentives, Quebec will have the most ambitious goal for electric vehicles in Canada  –  by 2030, 1.5 million electric vehicles on the road, along with 55% of city buses and 65% of school buses, 100% of governmental cars, SUVs, vans and minivans,  and 25% of pickup trucks. Sales of new gasoline-powered vehicles will not be permitted as of 2035.

Although emissions from transportation account for 40% of the province’s total emissions, two articles posted by CBC note that the measures announced will be insufficient to meet the GHG emissions reduction targets:  “Quebec’s push to go electric won’t get province to emission reduction targets, experts say”, and “How Quebec’s climate change plan protects suburbanites from tough choices” .

The new 2030 Plan for a Green Economy is part of a suite of complementary policy statements, including  Joining Forces for a Sustainable Energy Future: 2018 – 2023 energy transition, innovation and efficiency master plan  ; Strategy for developing the Battery Sector  (French only);  and Development of critical and strategic minerals in Quebec. The complete 2030 Plan for a Green Economy is available in French only .

“Historic” investments in electric vehicles for Canada: Unifor and Ford, Fiat Chrysler agreements (updated)

In a September 28 press release, the Canadian union for auto workers, Unifor, reports that members at the Ford Motor Company voted 81% overall in favour of new three year collective agreements “that include $1.95 billion in investments to bring battery electric vehicle (BEV) production to Oakville and a new engine derivative to Windsor, along with other significant gains…. ….. This agreement is perfect timing and positions our members at the forefront of the electric vehicle transformation, as the Oakville plant will be a key BEV supplier to the North American and European Union markets”. Under the heading, “Making History in Challenging Times”, the Ford Bargaining Report Summary  reports that the retooling is scheduled to begin in 2024, with the first BEV vehicles forecasted to roll off the assembly line in 2026, “and hopefully sooner.” Also, “Through this conversion, Oakville will become the first mass production BEV plant in Canada – and one of only a few currently in North America. Ford’s investment is also the biggest single facility investment in the auto sector since 2015 in Canada.”

The Bargaining Summary highlights changes in wages, pensions, and all topics, including that the company and union agreed on the advantages of having a union Workplace Environmental Representative, and that additional training will be offered to the workplace environmental representatives “related to Global Plant Action”. Unifor and Ford also agreed to develop an Anti-Racism Action Plan, and to establish a new Racial Justice Advocate position which will offer support to those who face anti-Black and anti-Indigenous discrimination.  

Media coverage of the agreement appeared in the Toronto Star on September 20, pointing out that the federal and provincial governments will also contribute to the re-tooling of the Oakville plant.  On September 22, the Star also published “Justin Trudeau’s Liberals are betting that electric vehicles can recharge the economy. But a vision is not a plan” , summarizing some of the policy context of the decisions. And beyond the benefit to the auto manufacturing sector, on September 17,  Canada’s Minister of Natural Resources was making the case that “Mining gives Canada a competitive advantage in electric vehicle market” arguing that “we are the only nation in the western hemisphere with an abundance of cobalt, graphite, lithium and nickel, the minerals needed to make next-generation electric batteries.”

$1.5 billion investment for EV production in Fiat Chrysler agreement

Following the agreement with Ford Canada, Unifor announced the ratification of 3-year contract with Fiat Chrysler (October 19 press release), including a $1.5 billion commitment to electric vehicle production at the Windsor Ontario plant. Jerry Dias states: “This year’s Auto Talks will go down in history as a transformational moment for the Canadian auto sector. Years of government neglect, job loss and worker despair is quickly turning to optimism, hope and a very bright future.” He repeated this message in an October 20 OpEd in the Toronto StarA new green auto strategy for Canada

The Unifor summary document includes all the agreement provisions, and includes the full text of the Product and Investment Commitment Letter, describing the plans for Windsor:

“In addition to the continued production of the current Pacifica and Voyager/Grand Caravan products, including the PHEV, AWD and ICE models, FCA confirms the intention to install a new multi-energy vehicle architecture (including Plug-In Hybrid Electric (PHEV) and/or Battery Electric (BEV) capability) and at least one new model on that architecture, contingent on the necessary agreements in partnership with the Company, the Union, and both Federal and Provincial governments which includes the implementation of this collective agreement and government financial support for the associated investments. With that joint commitment, the Company’s intention is to add the necessary assembly tooling and equipment to manufacture electrified vehicles for future models, currently planned from the 2025 model year. The total impact of this investment and product plan is estimated at 5,700 secured or new jobs by 2024 returning to a 3 shift operation. Potential workforce increase of 2,000 employees over today’s active on-roll employment. Investment related to Windsor Assembly: CDN $1.35B to $1.50B.”

In addition to the headline-grabbing investment commitment for new Electric Vehicle production, the agreement also enhances training for Workplace Environmental Representatives, and increases the frequency of the existing union-management business review meetings. “The parties agree to review company product plans and business forecasts, including on electric, autonomous, connected vehicle and component parts development.”

Labour’s perspective on electric vehicles

Unifor’s Road Map for a Fair, Inclusive and Resilient Economic Recovery, published in   the summer, states: “The government must also take the lead in supporting zero-emission vehicle manufacturing and preparing the economy for electrified transportation through targeted subsidies and investment in battery technology innovation. A long-overdue National Auto Strategy, for instance, would help merge Canada’s innovation agenda, trade policy, skills training and infrastructure development to foster a modern supply chain for EV components and parts, leading to final assembly. This need not only apply to light duty, passenger vehicles but other modes of surface transportation, including mass transit, commercial trucking and logistics, student transportation, taxis and light rail. Once in place, such a strategy could serve as a rubric for all transportation sectors and industries.” 

These points are also made by Angelo DiCaro, Research Director for Unifor,  in an essay titled “Canada’s auto sector revival will take more than wishful thinking. We need a plan”, featured in the August/September issue of The Monitor, and at the Canadian Centre for Policy Alternatives website.  DiCaro reiterates the call for a national auto strategy, and sketches out key steps for a national Electric Vehicle strategy, starting with Step 1, a “comprehensive mapping of existing capacities and materials needed to forge a complete supply chain for EVs and component parts in Canada”, followed by setting domestic production targets for vehicle assembly and component manufacturing.

Union workers are strong allies for electric vehicles, as Canada’s Unifor demonstrates appeared in the industry newsletter Electrek in June 2020, quoting favourable statements re EV manufacturing from both Unifor and the United Auto Workers(UAW) in the U.S. The UAW published their report, Taking the High Road: Strategies for a fair EV Future in January, making specific policy recommendations, and stating: “The UAW rejects the idea promoted by climate change deniers that fuel efficiency and environmental regulations lead to closed plants and lost jobs. Fuel-efficient vehicles, clean energy, clean manufacturing, renewable energy and other advanced technologies are an opportunity to create new middle-class jobs with good pay, good benefits, and economic security.”

More recently,  the American Center for Progress released  “Electric Vehicles Should Be a Win for American Workers” on Sept. 23 . It concludes: “Federal funding to incentivize consumer demand, drive manufacturer investments, and build out electric vehicle infrastructure should be made contingent on key job quality and domestic content standards. In structuring funding, policymakers must be realistic about present EV capacity while also ensuring that taxpayer dollars do not subsidize low-road employers or erode job quality standards in the broader industry. By designing federal policies that encourage both rapid vehicle electrification and the creation of high-quality, good-paying domestic jobs throughout the EV ecosystem, policymakers can satisfy the priorities of climate and labor advocates and ensure economic prosperity for future generations. In a period of significant economic and environmental challenges, the transition to EVs presents a powerful and positive opportunity to improve conditions for both American workers and the climate.”

Electric vehicle policy in Canada

In response to the news of the Unifor/Ford agreement, Clean Energy Canada published a Media Brief: “What is a zero emission vehicle standard and why does Canada need one?” . It notes research from the International Council on Clean Transportation that found that Canada is the 12th largest vehicle producer in the world but  is responsible for only 0.4% of global EV production. Assessing that Canada has a EV supply problem,  Clean Energy Canada recommends a ZEV standard as the solution, rather than a voluntary standard or consumer incentives.  “A ZEV standard is a supply-focused policy that requires a gradually rising percentage of vehicles sold by auto manufacturers to be zero-emission (i.e. battery-electric, plug-in hybrid or hydrogen fuel cell vehicles). While purchase incentives help drive demand, ZEV standards secure supply.”  Currently, only British Columbia and Quebec have ZEV standards in place – with B.C. having passed the Zero Emissions Vehicle Act  in May 2019, requiring automakers to meet increasing annual levels of EV sales reaching 10% of new light-duty vehicle sales by 2025, 30% by 2030 and 100% by 2040.  On July 30, B.C. followed up with new ZEV regulations under the Act which set phased-in annual targets and other compliance requirements, as well as a ZEV advisory council to be comprised of industry, ENGOs, local governments, First Nations, infrastructure providers and academics, to provide input into the ministry’s EV programming and policies .  

The Clean Energy Media Brief links to many supporting documents, including a recent academic discussion, “Which plug-in electric vehicle policies are best? A multi-criteria evaluation framework applied to Canada”  which appeared in the June 2020 issue of Energy Research and Social Science.