Renewable energy companies and unions working together might be the answer for some displaced coal workers

Renewable energy companies look to coal country
for workers. (Sparkz graphic)

Hard work for decent pay and good benefits once defined U.S. coal mining jobs, but over the past decade, those jobs have disappeared, leaving displaced workers with few job options. For some coal workers, finding employment in renewable energy might be an answer, reports Benjy Sachs of Capital and Main. "Since 2012, employed coal miners have dwindled from about 90,000 to less than 42,000. Environmental and labor advocates often speak of a 'just transition,' an economy-wide replacement of fossil fuel usage with renewable energy that offers new jobs and support for current fossil fuel workers."

Providing good-paying jobs in depressed coal regions is no simple task, but with the help of tax incentives, some renewable companies are finding locations primarily in Rustbelt and Southwestern communities to build factories and create jobs. Sparkz, a manufacturing startup, is one example. Sachs reports, "The company has signed an agreement with the United Mine Workers of America that prioritizes displaced miners for jobs at an upcoming West Virginia battery plant. . . . For the mineworkers union, a chief concern is whether a new job for a former mineworker comes with the same level of pay, job security and right to organize as they had when working in a mine."

Thom Kay, program manager for energy transition at the BlueGreen Alliance, a nonprofit that connects environmental organizations with labor unions, "thinks Sparkz's partnership with the mineworkers union is a step in the right direction," Sach writes. Kay told him, "I'm really excited to see it happening. I think it shows that it's a good example for other companies." Sachs reports, "Sparkz said it intends to apply for the Inflation Reduction Act's Advanced Energy Project Credit to invest in repurposing a defunct glass factory into an operational battery plant. The credit covers 6% of the upfront investment and increases to 30% if the company pays its employees at the prevailing wage level and uses apprentice labor."

Other renewable energy locations are also choosing union representation. "Workers at Ultium Cells LLC, a joint venture between General Motors Co. and South Korea's LG Energy Solution Ltd., recently voted to be represented by the UAW, marking the first union organized at an electric vehicle battery manufacturing plant," Sachs reports. "Workers at Ultium and other joint venture EV plants are not yet covered by the UAW's master contract — something the UAW hopes to change in its negotiations. Ultium recently received a $2.5 billion loan from the Department of Energy."