Labor and Community Groups React to Micron’s Promise to Respect Workers’ Right to Organize

Washington, DC – CHIPS Communities United (CCU), a coalition of labor unions, environmental organizations, and community groups, today urged the Commerce Department to follow up on the expectations outlined by the White House and make sure the $6.14 billion CHIPS Act award to Micron benefits communities and workers. The organization is committed to a fair, equitable, and sustainable implementation of the CHIPS and Science Act. 

The proposed funding will underwrite Micron’s plans to build the largest leading-edge memory fabrication semiconductor facility in the U.S near Syracuse, New York and Micron’s plans to rebuild a production plant in Boise, Idaho. CCU commends Micron for signing Project Labor Agreements (PLA) covering construction of its New York and Idaho facilities and is encouraged by today’s announcement that Micron will respect workers’ right to organize and collectively bargain and meet with the Communications Workers of America to discuss labor peace. 

However, Micron has not yet signed a labor peace agreement, which would ensure workers have a free and fair process for organizing a union and reaching a first collective bargaining agreement, nor has the company negotiated with community members about the impacts of the project. Central New Yorkers and Boise residents deserve a say in decisions around how these proposed projects will affect their communities, and Micron should take further steps to give workers and local residents an active role in determining benefits and protections for workers, the environment, and the community.

CCU calls on Micron to negotiate a Community Benefits Agreement (CBA)  to ensure the project benefits and protects workers, neighbors, and the local environment. 

“Thanks to President Biden and Leader Schumer’s commitment to rejuvenating domestic manufacturing, a few billion dollars in federal subsidy is bringing a $100 billion investment in high-tech chipmaking to New York,” said Roger Downs, Conservation Director at the Sierra Club Atlantic Chapter. “Chips are essential to the clean energy economy, but without protections, they are not clean for workers, communities, or the environment. Micron must negotiate a Community Benefits Agreement with impacted residents, like Sierra Club’s Central-Northern New York Group. We ask Leader Schumer and Governor Hochul to urge the US Department of Commerce not to finalize funding until Micron makes clear and actionable commitments to 100% clean electricity use and safeguards for Lake Ontario.”

“Today’s announcement is an important first step,” said Carl Kennebrew, president of the industrial division of the Communications Workers of America, IUE-CWA, which represents workers at one of the only union-represented chip factories in the country, as well as multiple semiconductor supply chain facilities. Locally, IUE-CWA represents workers at Lockheed Martin’s manufacturing facility in Syracuse. “We are looking forward to sitting down with Micron’s management to negotiate a labor peace agreement that fulfills the promise of this funding to create good jobs in this critical sector of our economy.” IUE-CWA recently announced an agreement with a semiconductor company, Akash Systems, in Oakland, California. 

“From Upstate New York to Boise, Idaho the federal government is awarding billions of dollars to Micron to build chips that will go into cars and electronics. We must ensure that these will be good jobs for the people who will spend their lives working in these plants,” said Shawn Fain, president of the United Auto Workers. “Workers across the country including workers at VW in Chattanooga are rising up and demanding their fair share. Today’s announcement by Micron is an important first step to making sure that workers, their families, and their communities have the benefits and protections they deserve. We look forward to working with CWA and all of our community allies to make sure that the company reaches a fair agreement.”

Central New York (CNY) residents want to ensure that Micron’s megafab will have a positive impact on the region around Syracuse. CNY Solidarity Coalition, a local grassroots group, expressed that it wants to negotiate an agreement with Micron to uplift the region. “Central New Yorkers know well that corporate promises aren’t always kept. With billions of our taxpayer dollars on the line, things have to be different with Micron,” said CNY Solidarity coordinator Dick Kornbluth.  “We’re calling on Micron to negotiate an enforceable community benefits agreement that protects our environment, our community, and the workers at the plant. It’s critical that those who are most impacted by this project have a voice in the conversation and a seat at the table.”

Urban Jobs Task Force of Syracuse (UJTF), a local racial and economic justice coalition which has advocated for CBAs on public projects over the past 10+ years, wants to see the economic prosperity Micron is anticipated to bring be shared by all in Central New York, especially those that have been continuously marginalized. “Under normal circumstances, UJTF would be demanding local jobs and workforce development training for said jobs through a CBA. For Micron, jobs will simply not be enough.  Given the unfortunate reality of the unique and compounding challenges we face, including some of the highest levels of poverty, racial segregation, rent increases, food deserts, and childhood lead poisoning in the nation - a comprehensive CBA is necessary, and should address community-wide social determinants of health to ensure these challenges are not exacerbated by the project. Anything less would be negligent given the record-breaking amount of precious taxpayer dollars that have been committed, and local resources required. We urge Micron to negotiate a binding Community Benefits Agreement in partnership with a diverse group of affected stakeholders that considers community, worker, and environmental health and prosperity,” said Urban Jobs Task Force Executive Director Tylah Worrell.

“Public dollars should create public good – It’s really that simple,” said Ann Marie Taliercio, president of the Central New York Area Labor Federation AFL-CIO. “Today’s announcement by Micron is a significant first step, but union workers know the difference between a promise and a contract. We look forward to Micron, in exchange for its billions of dollars in public investment, signing an enforceable agreement that lays out in black and white how the public will benefit from our investment in this private company.”  

CCU also urges Micron to mitigate environmental harms from the project. A CBA could ensure workers, the community, and the local environment are protected, with community monitoring for environmental harm and mechanisms to enforce compliance.

“At $6.5 billion, Micron has already received more state and local subsidies for this project than any other semiconductor company,” said Greg LeRoy, executive director of Good Jobs First, a coalition member of CCU. “We estimate federal production tax credits will give the company another $3.75 billion. Record taxpayer subsidies should mean record community benefits boosting Central New York working families.”

Jobs to Move America, a partner in the CCU coalition with extensive experience negotiating successful CBAs, is working alongside the Central New York partners organizing for a CBA. "A CBA is a powerful tool that allows communities to negotiate comprehensive and enforceable community benefits,” said JMA’s national director Ian Elder. “Central New York residents deserve high-paying, family-sustaining jobs where workers have a voice in the job; they deserve equitable investments in workforce development and training especially for historically disadvantaged people, and they deserve solid protections for the community and the environment. Today’s announcement is a step in the right direction; we hope to negotiate a comprehensive CBA that includes all of the above.”