An Open Letter to Congressman Frank Pallone Regarding his Call for a Moratorium on Data Center Construction

Dear Congressman Pallone:

We are surprised and disappointed with your recent announcement supporting a moratorium on the construction of new data centers in the United States. As a longtime friend of labor that typically consults with unions prior to making any significant policy announcement impacting our members, this extreme policy is not only unnecessary but is an insult to the men and women who will lose employment if your goal is achieved.

Your recommended policy is counter-to-sound policy making on this issue. The New Jersey State AFL-CIO has been working with legislators and the Governor to establish guardrails for responsible data center construction that respects the communities they are built in and establishes a balance to ensure that residents are not adversely impacted from a resource allocation perspective, such as electricity and water. Organized labor hears the concerns of residents loud and clear, and we understand that development must be balanced to reflect the concerns of residents and the communities they reside in.

Union members that build and maintain data centers are highly skilled and trained and live in your congressional district and throughout the state. They depend on economic growth and development to remain employed. Data centers are necessary to power a broad spectrum of technology that most residents use every day. Shutting down the construction of data centers would shut down the support and operations network to support this technology.

To that end, we urge you to reconsider your position on this issue, and instead, work with organized labor and the companies that are building these data centers to ensure this balance is achieved.

With critical mid-term elections approaching, policies such as your moratorium, if enacted, will put tens of thousands of our members on the unemployment lines. This is counter to our shared goal to elect pro-worker majorities in Congress and will make this goal difficult to achieve. Our members need to have a clear understanding of who supports their priorities and who is opposed. Sadly, your announcement will now contribute to blurring those lines during a critical time.

Again, we urge you to please retract your position on data centers, and instead, sit down with stakeholders to develop a balanced policy that will not adversely impact our members.

Sincerely,