Cannabis workers strike to form union in Ann Arbor
Add Axios as your preferred source to
see more of our stories on Google.
Marijuana flower is displayed in a jar. Photo: Justin Sullivan/Getty Images
Workers at an Ann Arbor cannabis dispensary kicked off a strike last week and seek unionization with the United Food and Commercial Workers (UFCW).
Why it matters: Five employees at the Exclusive Brands location are protesting what they deem unfair labor practices during a tough time in the industry.
State of play: UFCW says an Exclusive Brands worker who was recently fired had been supporting the unionization effort and also claims the company tried to block a union election.
- UFCW filed a complaint with the state cannabis agency and an unfair labor practice charge with the National Labor Relations Board in late August.
- An Exclusive Brands spokesperson declined to comment to Axios. The Livonia-based retailer and grower has seven dispensaries in Michigan.
What they're saying: "This industry is about healing and caring about people and lifting each other up, and this company is actively doing the opposite to its own workers," Exclusive Brands budtender Emily Hull told Axios last week while striking. "They won't give us a chance to even lose (a union election)."
- Hull cited concerns including retaliatory scheduling and understaffing.
Context: Unionization within the industry — seen as having a young, idealistic workforce — has slowed this year nationally amid difficult financial times, according to a Bloomberg analysis.
- Oversupply and low prices in Michigan are tanking some cannabis businesses.
- Popular brands are closing locations, the owner of Gage Cannabis is planning to exit the Michigan market, and some companies are behind on taxes, per Crain's.
Between the lines: Howard & Howard corporate attorney Alexander Leonowicz tells Axios he could see a resurgence in unionization in Michigan's cannabis industry, with prices compressing and "everybody looking to just survive" — plus the market maturing and companies consolidating.
- "Businesses have to shrink down, and what does that do to the employees? That requires them to work more for less wages," says Leonowicz, a former general counsel in the local cannabis sector.
Zoom out: Nearly 300 dispensaries and 36 growers have organized nationally under UFCW, which claims to be the country's biggest union for cannabis workers and calls for better wages and safety protections.
- The Teamsters also represent cannabis workers.