By Derek Green
As the former Labor Chair of the Democratic Municipal Officials, I advocated for working families and unions who support Pennsylvania’s economy. I’ve seen how investments, like the Nippon-U.S. Steel deal, breathe new life into communities that have waited far too long.
A year ago, Pennsylvania received one of the biggest investments in our workforce when Nippon Steel acquired U.S. Steel. Critics warned that the sale would gut jobs, abandon facilities and leave union members without a voice. The deal was characterized as bad for workers and Pennsylvania, with some saying the deal was a threat to national security.
Thankfully, the fearmongers were wrong, Nippon Steel is following through on its commitments to labor. The company has taken steps to invest in Mon Valley steelmaking facilities and sent nearly 50 experts to U.S. Steel sites to improve production and business practices. Nippon Steel also delivered on its promise of a $5,000 bonus that helped families cover everyday expenses, catch up on bills and put food on the table.
Nippon’s investments in workers, plants and neighborhoods provided real support for communities that have spent too long waiting for serious capital and attention. The Nippon deal has delivered the kind of growth, competitiveness and industrial confidence that our communities need.
As the market shifts toward blue-collar jobs, the early success of this deal has prepared our workforce for the future. The AI boom is increasing demand for the physical economy that supports it. The data centers powering AI require enormous amounts of steel and an army of skilled workers to build them.
With skilled trades seeing up to 30 percent wage growth and demand outpacing the workforce, blue-collar wages have climbed accordingly. A growing number of young Americans are recognizing this trend and are pivoting toward skilled trades for job security. As one industry observer put it, “AI cannot build its own data centers,” nor can it pour, roll or finish steel.
The United Steelworkers are returning to the bargaining table. Hopefully, these negotiations will be guided by the reality of what the Nippon deal has produced for Pennsylvania. The rank-and-file workers who saw this deal as a path to protect jobs, modernize plants and secure a future were right and, hopefully, an agreement can be reached.
As the Past President of the Pennsylvania Municipal League, I know our state needs level-headed, business-minded, prosperity-focused leadership that protects workers, secures a fair contract and makes sure this investment continues to thrive.
As recently stated by a USW member, “Corporate America and others are changing the way we represent our members and politicians are making it harder to get good contracts. Roxanne is a fighter and a friend, hopefully she gets the support she needs to get this done successfully.”
The Nippon-U.S. Steel deal has become a lifeline into a bright future. The economy is proving what Pennsylvania has always known — the skilled labor in our communities is irreplaceable. The union’s job now is to negotiate like the future of Pennsylvania steel depends on getting this right, because it does. ••
Derek Green was a member of the Philadelphia City Council from 2016 to 2022. He also served on the Executive Committees of the Democratic National Committee and National League of Cities.
