Please ensure Javascript is enabled for purposes of website accessibility

Workers at Cresco Labs' Illinois Facility Successful Unionize

By Mark Prvulovic - Jan 16, 2020 at 1:11PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

This could be the start of a major trend in the cannabis industry.

Workers at Cresco Labs' (CRLBF -2.17%) Joliet cultivation facility in Illinois voted in favor of unionizing today. This plant, which is a cultivation and production facility with around 130 workers, voted 58-32 in favor of unionizing.

Not every employee will be affected by this vote since the approximately 30 cultivation workers at the plant are covered by pre-existing federal labor laws for farmworkers. Non-cultivation personnel, however, don't have the same labor laws in place to protect them.

Workers in a plant having a heated discussion in a facility.

Image source: Getty Images.

The union representing these workers is the United Food & Commercial Workers (UFCW) Local 881, which is known to primarily represent workers in the grocery industry. The UFCW already represents 10,000 workers in the cannabis industry across the country, a figure that's likely to grow significantly in the upcoming years.

A growing trend

Other cannabis facilities in the state have been moving toward unionization as well. A cultivation plant in Rock Island, Illinois, has had ongoing union issues with Green Thumb Industries (GTBIF 3.52%). In October, the company refused to recognize the union group attempting to represent workers at the facility. When a vote to unionize took place last month, it narrowly lost.

Major politicians are also getting involved in the unionization of marijuana workers. Sen. Bernie Sanders specifically mentioned the Cresco Labs workers in a tweet on Jan. 13, encouraging them while vowing to help double union membership across the country should he get elected as president. Other public figures who have voiced their support include U.S. Congressmembers Bill Foster and Robin Kelly.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Cresco Labs Inc. Stock Quote
Cresco Labs Inc.
$2.73 (-2.17%) $0.06
Green Thumb Industries Stock Quote
Green Thumb Industries
$8.82 (3.52%) $0.30

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 06/28/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.