Thursday, March 12, 2026
PLAs for Data Centers?
As OpenAI continues its data center building spree, CEO Sam Altman and the North America’s Building Trades Unions said in a statement that they wanted to ensure AI infrastructure build-outs support union careers and create economic opportunity in the communities where the infrastructure is built.
“No one is better positioned to deliver the scale of construction needed for the advanced AI facilities, modern transmission systems, and new energy generation driving America’s economic growth,” said Sean McGarvey, president of the NABTU, in the joint statement with OpenAI. The statement said the two sides would “seek to foster constructive engagement” on workforce development, labor standards and other issues.
But the agreement does not commit to using union labor at data centers. “Contracting decisions remain the decision of the site developers,” said OpenAI spokesperson Jamie Radice. “We know America's best-trained, skilled workforce is going to help us to get it done," she added.
Altman, speaking at an event that day, highlighted the need for “skilled trades workers.”
“No matter where the choke point in the supply chain is at any one time, when I talk to people about what it would take to accelerate [data center construction], it is more skilled trades workers to build out all of this infrastructure,” Altman said onstage at the BlackRock Infrastructure Summit in Washington D.C.
Speaking at the BlackRock event, McGarvey said he hoped to get his unions involved in long-term planning of data center construction. The building trades union sees the partnership with OpenAI as an opportunity to get its skilled workers in the field on massive, well-funded projects.
“One of the last things that's decided, particularly in hyperscalers and data, is contractor selection and labor strategy," McGarvey said. “We have the people with the prerequisite skill sets in the geography where we need them on the day that we need them on the job site.” [Politico]
In an unrelated but encouraging story, State Senator Stephen C. Padilla amended his Senate Bill 887 to clarify that data centers are not ministerial projects exempt from CEQA and do not qualify as advanced manufacturing facilities. The bill would also allow data centers to be eligible for Environmental Leadership Development Project (ELDP) certification if they meet the criteria, along with additional requirements specific to data centers. As introduced, one of those requirements was, surprise, a PLA. WECA objected, and Padilla struck the requirement. Thanks, Senator Padilla!
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Hilton Helps Out
Republican Steve Hilton may be alleviating Democratic fears of a catastrophic lockout in the governor’s race.
A new UC Berkeley Citrin Center for Public Opinion Research-POLITICO poll finds Hilton consolidating GOP support in California’s governor’s race, which would decrease the odds that Democrats fail to place as the top two vote-getters in the June jungle primary.
Hilton leads with 19 percent of likely voters. Behind him is a group of virtually tied candidates— Democrat Tom Steyer at 13%, and Democrats Katie Porter and Eric Swalwell and Republican Chad Bianco each at 11%.
Democrats have panicked that their large field could splinter the party’s vote and have unsuccessfully pressured lower-performing candidates to drop out of the race.
But the prospect of Republican voters coalescing around Hilton could offer Democrats some relief. Democrats outnumber Republicans so heavily in California that they are almost certain to win the governorship as long as one of them advances from the primary. The best chance for Republicans is that Hilton and Bianco split the GOP vote relatively equally, both finishing in the top two and advancing to November.
“If Hilton starts taking votes away from Bianco within that solid Republican pool, that would make it less likely,” said Jack Citrin, a UC Berkeley political science professor and co-director of the poll.
The findings show that Steyer, Swalwell and Porter have firmly established themselves in the top tier of Democratic contenders. The remaining Democrats are stuck in the mid-to-low single digits, with Xavier Becerra at 5%, Antonio Villaraigosa at 4%, Matt Mahan at 3%, Betty Yee at 2% and Tony Thurmond and Bob Bartlett both with 1%. Ian Calderon, who dropped out after the poll was conducted, had 2 %.
The rankings differed substantially from a survey of POLITICO’s audience of key political and policy influencers in the state, including political staffers, lobbyists, policy advisers and others. Swalwell led with 22%, followed by Mahan at 14%, Steyer with 13% and Porter at 12%.
[Politico]
In a related story, Hilton and Gloria Romero, who is running for lieutenant governor, announced that former US Rep. John Duarte was Hilton's "selection for California Secretary for Natural Resources." They explained "their vision for restoring abundance in California's natural resources through improved water management, healthier forests, and policies that support working landscapes such as farms and timberlands," and highlighted "the importance of water infrastructure and the role of expanded storage and better management in addressing California's ongoing water challenges," at an event at Friant Cove Recreational Area.
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Nonprofit Paid $3.7 Mil to Jennifer Siebel Newsom
Gov. Gavin Newsom’s wife, Jennifer Siebel Newsom, reportedly has paid herself and her company more than $3.7 million over the past decade from a nonprofit organization. According to IRS filings obtained by the Daily Mail, Siebel Newsom has funneled the money from the nonprofit organization Representation Project to herself and her company, Girls Club LLC. Story
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Time for a Job Search
The White House told Labor Department chief of staff Jihun Han and deputy chief of staff Rebecca Wright to resign or else be fired amid an IG probe into allegations that they mistreated staff and misused tax dollars, New York Post’s Josh Christenson scoops. The senior aides, who were Labor Secretary Lori Chavez-DeRemer’s top deputies, left the agency on March 2, after being placed on administrative leave in January. The Post reports that they were given a choice of “resigning or being fired by the White House Monday night.” Han, Wright, and the White House did not immediately respond to the New York Post for comment.
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Fresno Concrete Drivers Vote to Remove Teamsters Representation
Cement truck drivers for the CalPortland Ready-mix Fresno facility voted to end their union representation last month. The Ready-mix drivers voted to end their union representation, concluding a month-long effort to remove Teamsters Local 431 from their workplace.
In a Jan. 29 vote, workers voted 9-7 to decertify the union that had represented them for more than two decades, according to results from the National Labor Relations Board. The decertification petition was filed in October 2025 by Ready-mix driver Darrell Dunlap Sr., who received legal assistance from the National Right to Work Foundation. Story
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Nix on Penalties
A federal appellate court nixed a landmark National Labor Relations Board ruling that sought to impose steep penalties on employers who break labor law during organizing drives — including ordering them to bargain with units that lose the ensuing election.
A split judge panel ruled Friday that the company behind Woodford Reserve bourbon could not be compelled to bargain with a Teamsters unit representing workers at the whiskey-maker under NLRB’s 2023 Cemex decision, which it said was “created through an improper exercise of the Board’s adjudicatory authority.” The dispute stemmed from the company’s conduct during the 2022 unionization push, which ended in a lopsided loss for the union, which they allege was due to management’s illegal tactics.
The two judges who ruled against the NLRB were appointed by George W. Bush, and the dissent was written by a Joe Biden appointee. The panel had appeared skeptical of the NLRB’s interpretation at the oral arguments late last year.
Coalition for a Democratic Workplace (CDW)’s statement on the decision is available here. CDW filed an amicus brief in the case in April 2025.
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LWDA’s New Proposed PAGA Regulations
On February 6, 2026, the California Labor and Workforce Development Agency (“LWDA”) provided a Notice of Proposed Rulemaking (“Notice”) to adopt new Private Attorneys General Act (“PAGA”) regulations intended to supplement the legislative reforms to PAGA in 2024. The proposed rulemaking, in its current form, is great news for employers that have been inundated with frivolous PAGA filings. The proposed regulations require stricter notice requirements, apply special requirements to high-frequency and vexatious filers, and call for additional disclosures related to PAGA settlements. Story and Story
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Utah Lawmakers Pass Water Reporting Requirement for Large Data Centers
Both the Utah House and Senate signed off on a proposal requiring large data centers relocating to Utah to report their annual water use to state officials. … “The market itself has reacted to the concern nationwide about water use,” said State Representative Jill Koford, R-Ogden, who sponsored the bill. “In the second-driest state in the nation, I think it’s good for us to set the tone nationally.” … Koford’s bill would require data centers that are at least 10,000 square feet and use at least 75 acre-feet of water a year to report their water usage to the state. That water usage data would also be accessible to the public.
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Permits? We Don’t Need Stinking Permits!
Those FBI agents NOT fired for their investigations, now deemed offensive, will receive training insights and techniques from UFC fighters this weekend, in what FBI Director Kash Patel is calling a historic seminar. It’s unclear if they will be in a cage, but tickets to watch the training are available at www.trump.com. And over at the White House, the UFC is pushing forward with plans to hold a fight on the South Lawn on June 14 without a permit from the D.C. Combat Sports Commission.
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