Micron Megafab Project Faces New Crisis As Activists Seek Benefits Deal

Days after Micron came from a $100 billion chip factory in New York state, a coalition of environmentalists, labor unions, and civil rights groups are urging the American giant to sign a deal that would make a series of good-neighbor pledges legally binding.
Micron’s megafab for making memory chips is on track to become the largest commercial development in the country’s history and the largest chip manufacturing facility in the country. Officials held a large event in the town of Clay, near Syracuse, last Friday. The first chips can take up to five years, although the entire site won’t be finished for 20 years.
Organizers and members of the Central New York United for Community Benefits Coalition—composed of about 25 mostly local groups—told WIRED they welcome the project. They also appreciate that Micron has already committed to hiring locally and addressing other physical and social impacts of its construction. But coalition members believe that oversight is lacking and that Micron can get away with polluting the environment and exacerbating economic inequality in the region.
“We want a real, strong, transparent, and compelling commitment,” said Anna Smith, senior researcher at Jobs to Move America, a national pro-union nonprofit that is helping organize the coalition.
On Wednesday, the coalition published a letter sent by email to Micron’s CEO, Sanjay Mehrotra, inviting him to meet and begin negotiations on what is known as a public benefits agreement, which would include the company’s promises on hiring, environmental protection and local investment.
Micron did not immediately respond to a request for comment on the letter.
Companies like Micron are not obligated to strike deals with public groups. But the New York coalition is basing its campaign on similar efforts by other American organizations. Some of them have successfully pressured major construction projects, such as the airport and the bus factory, to sign agreements to invest in schools, build affordable housing, conduct more environmental studies, or buy locally. Most importantly, these agreements can be enforced through the courts.
Proponents of agreements say that forming agreements can help companies reduce opposition and clear a smoother path to building, hiring, and continuing integration into the community. Provisions may include monitoring panels and annual public reporting. A database compiled by Columbia Law School shows dozens of major project benefit agreements over the past decade.
“We have seen agreements like these negotiated by companies with unions like ours across the country succeed, where employers, employees and civil society work together to ensure that the needs of all stakeholders are met,” the New York union wrote in a letter to Micron.
It added that the broader agreement will “further fulfill Micron’s obligations to be a good neighbor” and ensure that pledges of loyalty “translate into tangible and measurable benefits.”
Building more chips in the US is a national security priority, and Micron’s project enjoys bipartisan support. But it comes at a time when large fabrics and data centers are receiving unprecedented scrutiny from the public, driven largely by their significant use of water and energy.
In the midst of the push, some projects have already been abandoned or relocated. Organizers of the New York alliance believe that Micron’s campaign, if it leads to an agreement, could be a template for winning agreements or as development goes forward. “This project can be done well,” Smith said. “Let’s reach the finish line together.”
Seeking Commitment
Coalition members include environmental activists Sierra Club Atlantic Chapter and SustainCNY; racial justice groups the Urban Jobs Task Force and the Syracuse chapter of the NAACP; and labor unions including Local 320 of the IUE-CWA, the union representing factory workers.
They got into Micron in part because of the public funding its project eventually received—up to $25 billion. The company’s promise to hire 9,000 people has sparked support but some in the community remain concerned about the trade. Another sad thing is that the local authorities are evicting a 91-year-old grandmother from her 60-year-old home to open a Micron.



