Tag Archives: Right to Work

All Clear for the Mining Boom in Michigan’s UP, Unclear What That Portends

Just before the holidays I wrote a short post about the one-two punch that Michigan legislators delivered during the 2012 lame duck session. They rushed through legislation to make Michigan a “right to work” state despite widespread protests and they passed Emergency Manager Legislation in defiance of voters.

Most of the news coverage of these bills focused on the action in Lansing and effects this legislation might have in the Detroit auto industry. I wondered aloud (or at least on Twitter) what implications these bills might carry for towns and working people in the Upper Peninsula.

There’s a new mining boom underway in the region, with global giants like Rio Tinto and Orvana exploring, leasing, and re-opening old mines.

This map [pdf], put together by the Lake Superior ad hoc Mining Committee, shows all mines, mineral exploration and mineral leases in the Lake Superior Watershed as of 2010.

Mining-Activity-Lake-Superior-2011

The map merits some careful study. As you can see, there is already significant activity in the Upper Peninsula. On the Canadian side, especially around Thunder Bay and further north, there’s been a leasing boom. Lots of gold on the eastern shore; copper and nickel as you move further west. They’re also exploring for uranium in at least two places.

The new mining is going to put enormous pressure on the Lake Superior basin. There are the usual environmental hazards associated with mining — subsidence, toxic runoff, acid mine drainage. Mining puts the waterways – the Lake and the streams and rivers that feed it – at risk. And then there is the infrastructure that’s going to be built to support all those mines. Access roads and haul roads, like the proposed CR 595 in Big Bay, roads to get to those roads, gas stations to fuel the vehicles that run along those roads, housing to shelter the people who drive on those roads to get to work and haul the ore from the mines, and so on.

Governor Snyder and his cronies in the Michigan legislature are doing everything they can to encourage this new activity. Just before the holidays, the Governor signed a third lame-duck bill, addressing the taxes that mining companies operating in Michigan will pay. The new bill, brought by outgoing Republican representative Matt Huuki, relieves mining companies of up front costs.  Indeed, they will pay no taxes at all until they start pulling minerals from the ground. Even then, companies will pay only 2.75 percent on gross value of the minerals they extract. So a million dollar sale of Michigan’s mineral wealth on the copper exchange will yield the state a paltry $27,500 in taxes.

35 percent of these so-called severance taxes will go to a “rural development fund to support long-term economic development opportunities.”

A number of things aren’t clear to me. What, exactly, is meant by “economic development” here? What’s the best course of development for a rural region, and for the Lake Superior region? How will fueling the boom benefit the region over the long term? How much if any of this money will go to alleviating the environmental impact that all this new mining is bound to have? How is it possible to talk about rural development without taking responsible stewardship of the environment into account?

It’s also unclear what sort of working conditions in the new mines the “right to work” legislation might allow, and whether the Emergency Manager bill could be used to limit community oversight.

For now, at least, it looks like the big mining companies are running the show in the UP, and the vague promise of economic development — whatever that means — has trumped all else.

It’s 1913 Again in Michigan

Crossposted from 1913massacre.com

I’ve run across a few people drawing connections between the Italian Hall disaster and the school shooting yesterday in Newtown, Connecticut (e.g., here). Maybe listening to Woody’s song helps people register Newtown’s loss, or the horror of Newtown helps us understand a little better what it must have been like for the Italian Hall parents and the Calumet community as a whole in 1913. But beyond that I don’t think there’s a very meaningful connection to be made.

It is, however, worth reflecting on what happened in Calumet in December of 1913 and what’s happening in Michigan right now. This week, the Michigan legislature — without allowing much debate or deliberation, and over the protests of thousands — handed Governor Rick Snyder a bill making Michigan a “right to work” state. They added insult to injury a couple of days later when they passed Emergency Manager Legislation that Michigan voters had rejected on November 6th. This one-two punch is supposed to remedy Michigan’s economic woes and get the state back on the road to recovery. It looks more like a last-minute power grab before the next legislature is seated, enabled by another big-money subversion of democratic process.

Indeed, a provocative piece by labor historian Nelson Lichtenstein published last week cast the “right to work” legislation in Michigan as part of a “coup.” Lichtenstein sees here “a serious defeat not only for the unions but for the very idea of social solidarity.”

this conflict is about something far bigger — the meaning of solidarity, a way of feeling and thinking about the world of work that is the basis not just of the union idea, but of a humane cooperative society.

I am not entirely persuaded by Lichtenstein’s argument: I just don’t think the “idea of social solidarity” goes down in “defeat” so easily.

It was under attack in Calumet in 1913. The Christmas party at the Hall was itself an exhibition of solidarity, six months into a brutal strike. And after the Christmas Eve tragedy, the town came together, again, to mourn. They grieved, but they didn’t give up, even after they lost their bid to unionize and the strike was over. As Joe Krainatz says in our film, “They did go on. They did survive. They raised their families. They went to work in the mines again.” And what’s most remarkable is that they rebuilt their community; their feeling of solidarity and shared humanity survived even the closing of the mines and the ruin that came in its wake.

Maybe the lesson of Calumet is that human solidarity runs deep. Money and power have never really won out over it. So far, I haven’t seen any white flags waving in Michigan.