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US Unions Urged to Oppose AI Data Centre Expansion Amid Job Concerns

A US union leader has called for a moratorium on AI data centre construction, citing concerns over job displacement and environmental impact, despite some unions signing agreements for temporary construction roles.

  • Developers plan to invest $8tn in AI data centres in the coming years.
  • New York has halted permit-issuing for up to a year to create a regulatory framework for data centres.
  • A data centre in Rockland county, New York, received $77m in tax breaks but created only one permanent job.

Tyler Turner, president of the Office and Professional Employees International Union (OPEIU), has urged labour unions to oppose the expansion of AI data centres. Turner advocates for a moratorium on construction until regulations are in place to protect livelihoods, communities, and the environment.

This call comes as developers reportedly plan to invest $8tn in building AI data centres in the coming years. Turner highlights that AI CEOs believe this investment will be profitable by reducing labour costs, potentially redistributing workers' salaries to corporations.

Turner expressed concern over agreements signed by the North American Building Trades Unions (NABTU) with companies like Blackrock, Meta, and OpenAI for data centre expansion. While acknowledging the temporary jobs created, Turner argues these deals overlook the long-term impact of AI on workers across industries, including construction.

New York's governor, Kathy Hochul, recently signed a statewide moratorium, halting permit-issuing for up to a year while the state develops a regulatory framework. This action followed a data centre in Rockland county receiving $77m in tax breaks for creating only one permanent job.

Beyond job creation, Turner also raised environmental concerns, noting that 335 AI data centres in Texas already consume enough electricity to increase rates for residents, with 248 more planned.

Why this matters: The expansion of AI data centres could lead to significant changes in employment across various sectors and impact energy consumption.

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