Unions in the workplace is a trending topic in the news right now, and this does not exclude the cannabis industry. The last CannaCon post on this topic from late December 2020 covered the Cannabis Workers Union and others - a lot has happened since then. An August 2021 Gallup poll revealed support for labor unions is at the highest point (68%) in the United States since 1965. Additionally, the National Labor Relations (NLRB) reported a 58% increase of union election petitions, up to 1,892 from 1,197 in the first three-quarters of the fiscal year. Are we on the brink of more cannabis union formations? What’s the potential for weed union growth? Let’s take a closer look at cannabis unions.
A report released in September 2021 by the Economic Policy Institute (EPI) found that unionization is key to confirming new jobs created within the fast-growing cannabis industry were better paying, safer, and more likely to provide benefits such as health care, paid leave, and fair scheduling.
The report also found that Labor Peace Agreements (LPAs) between companies and workers in the industry successfully protected the right of cannabis workers to unionize while supporting greater alignment between businesses and workers. This, in turn, led to increased job quality and pay standards for all workers, particularly those of color, in addition to increased safety for customers and workers. While policy discussions around equity in the emerging cannabis industry have focused on investment and entrepreneurial opportunities via business licensing, very little attention has been paid to equity in cannabis industry jobs. Many suggest that as reason enough to embrace cannabis unions.
Key findings from the EPI report on cannabis workers include:
- LPAs have proven successful in protecting workers’ rights to organize in the six states with statutes encouraging or requiring LPAs for licensed medical and/or recreational cannabis businesses. These states are California, Illinois, New Jersey, New York, Pennsylvania and Virginia. LPAs prevent union busting by employers in exchange for a worker pledge not to strike.
- Cannabis workers can make more than their non-cannabis union counterparts in similar jobs. Potential annual wages for retail is $2,810, processing is $8,690, and cultivation is $7,030.
- Cannabis workers of color earn up to 32% more from unionization than non-cannabis union workers of color.
