DATELINE—U.S.: Green Locomotives & Choo-Choo Politics
Where does the money come from for a “high bar” Just Transition? Hard to get away from the reality that a good slice will have to flow from governments. So, political environments have to be ripe, and it’s a reason to include electoral activity in Just Transition strategies, especially when the playing field looks grim (we think of Brazil, for example–at the time of this blog post, unions in Brazil are counting on Just Transition faring much better should Luiz Inacio Lula da Silva emerge victorious in the October 30th 2022 second round national election).
In the U.S., the United Electrical Workers (UE) has made a play for public fiscal backing. The UE is an independent union of 35,000 members covering sectors such as electrical manufacturing, metalworking and plastics sectors, as well as in the public and service sectors. It has members working in a broad range of jobs including tool and die makers, sheet metal workers, welders, truck drivers, warehouse workers, and custodians, and rail crew drivers.
Wabtec owns three factories in western Pennsylvania, which the company bought from General Electric, the union represents about 1,300 workers who work in various trades manufacturing locomotive engines and their parts. The UE reports to JTFA that its members earn an average of US$22-$35 per hour, decent pay in that part of the state. At the same time, the workers’ numbers have shrunk since the 1980s, and the decline of coal mining jobs in the region fueled the decline because of the reduced need for rail transportation. And the locomotives on the rails were using old technology, at a time when the industry was moving to newer, cleaner locomotive technology.
So, here’s the political move: the union recruited political allies to propose a large investment to upgrade existing locomotives and build new zero emission locomotives at existing union shops: US$3.5 billion per year over ten years for freight rail, and US$1 billion per year for ten years for the Amtrak rail and commuter network, for a rough total of US$90 billion over a decade.
That investment would potentially recoup thousands of jobs for UE members, as well as aid other unions who have hundreds of unemployed skilled members because of the disinvestment in the sector. The legislative initiative eventually even picked up the support of the company, which saw it as an opportunity to increase their own profits with additional orders. However, the bill has not become law, victimized by larger political tussles and paralysis over a much larger infrastructure investment.
Obviously, a political slog. And success is not guaranteed. The point is: political campaigns to fund “high bar” Just Transition have to be in the mix, for the long haul.
Stay tuned!
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