Health and Safety at Work Takes Precedence over Sustainability
ResearchZEW Study Reveals Increase in Toxic Waste Emissions After Trade Union Election Wins in Manufacturing Companies in the US
Unionised facilities attach a higher priority to worker health and safety than non-unionised facilities. This leads to higher toxic waste emissions and a decline in waste treatment such as recycling and energy recovery. Prevention measures are insufficient to fully offset the increase in emissions. These are the findings of a recent study by ZEW Mannheim on the impact of union elections on hazardous waste management in the US. Manufacturing companies in the US produce around 15 billion kilograms of hazardous waste annually, ten per cent of which are released into the environment.
“Our study illustrates how in bargaining negotiations trade unions frequently have to accept compromises on environmental aspects,” explains Dr. Eline Schoonjans, member of ZEW’s “Economics of Innovation and Manufacturing Dynamics” Research Unit and co-author of the study. “Strengthening the collaboration between unions and environmental agencies could help to ensure both workers’ safety and ecological sustainability.”
Increase in emissions and environmental pollution after union election wins
Between 1990 and 2020, US manufacturing companies with a median headcount of 180 employees have documented an increase in the release of toxic substances into air, soil and water of up to 15 percentage points after union election wins. This has caused, among other things, a considerable deterioration in air quality in the area of the facilities. Simultaneously, hazardous waste treatment measures, e.g. recycling or energy recovery, have declined by up to 60 percentage points.
Innovation not sufficient for prevention of pollutants
Unionised facilities are increasingly investing in innovative approaches for reducing production waste. These measures include, for example, improved process and product design with the aim of curbing the generation of toxic waste. However, these waste prevention efforts are not sufficient to fully compensate for the decline in hazardous waste treatment measures. The study therefore highlights that targeted political interventions are required to promote sustainable solutions in waste management and at the same time ensure safety and health at the workplace.
Methodology
Looking at over 600 US companies, the study investigates the impact of union election wins on toxic waste management and its environmental externalities. The analysis is based on union election data from the National Labor Relations Board (NLRB) as well as information from the Toxic Release Inventory (TRI) on the release and treatment of hazardous substances. Air quality data provided by the Environmental Protection Agency (EPA) are also included in the study. The methodological approach used is a regression discontinuity design (RDD), which identifies the causal effect of union election wins on environmental indicators.
