EV battery startup, UAW reach agreement as company plans big California plant

The UAW has inked an agreement with Sparkz, an electric vehicle battery maker startup, signaling the company won’t hinder unionization efforts as the company makes plans for a new facility in California.

The deal marks the second agreement between Sparkz, which is based in Livermore, California, and a major U.S. union and signals a willingness on the part of the company to work with unions as it plots its future. Last year, Sparkz made a similar deal with the United Mine Workers, promising to partner to recruit and train dislocated miners to be the first group of production workers to be hired at a Sparkz plant planned for north central West Virginia.

Beyond the memorandum of understanding establishing a national labor-management agreement and a statement of neutrality, the agreement with the UAW would set the stage for the company to work with the union as it recruits and trains workers for its California operations.

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Sparkz promotes itself as a company aiming to reengineer the battery supply chain. A news release form the UAW said the company is “finalizing plans for its first GigaCampus location in central California to expand commercialization of its zero-cobalt, zero-nickel battery, which will initially employ 500 workers and could grow to as many as 3,000.”

Cobalt mining, in particular, has a reputation for inhumane treatment of workers in areas like the Democratic Republic of the Congo.

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The agreement with the UAW is important for the union as it seeks to organize in the rapidly expanding arena of battery production for electric vehicles, especially as automakers have rushed to create joint ventures with other companies to set up production plants in North America.