California DCC Declares National Agricultural Workers Union Not a Legitimate Labor Organization

LOS ANGELES- The California Department of Cannabis Control (DCC) has made a definitive clarification this week, stating that the National Agricultural Workers Union (NAWU) does not qualify as a bona fide labor organization. This announcement comes amid ongoing investigations and reports that the NAWU is one of several “fake” unions in the cannabis industry.

The DCC’s declaration carries significant implications for cannabis licensees. Those who have entered into labor peace agreements with the NAWU are now found to be non-compliant with state licensure requirements. This development is particularly pertinent as labor peace agreements are a mandatory aspect of cannabis licensing in California.

Earlier, the legitimacy of the NAWU was called into question by the International Brotherhood of Teamsters in July, as reported by MJBizDaily. The NAWU had notably secured labor peace agreements under the Caliva brand name, a prominent player in the cannabis industry.

Further probing into the Teamsters’ allegations by the Agricultural Labor Relations Board (ALRB) revealed startling details about the NAWU. The investigation uncovered that the union had no employees, just one member, and had not collected any dues or receipts over a three-year period.

The ALRB’s findings were particularly damning regarding the NAWU’s operational efforts. Despite claims of being a “grassroots” labor organization formed in early 2020, the NAWU failed to provide evidence of any substantial efforts to organize and represent cannabis workers. The lack of promotional materials, online presence, or any concrete organizing activities undermined the union’s credibility.

In light of these findings, the DCC has deemed any agreements made with the NAWU as null and void. This decision underscores the ongoing challenges and complexities in regulating the burgeoning cannabis industry, particularly in ensuring legitimate and effective labor representation for workers in this sector.