Coal Age

FEB 2015

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On December 29, Patriot Coal permanently closed its Highland No. 9 underground coal mine in western Kentucky. The closure marked the end of a long decline in union representation since the 1970s, when more than 95% of the coal production in the Illinois Basin (ILB) employed labor orga- nized by the United Mine Workers of America (UMWA). The UMWA is one of the oldest and tradi- tionally most militant unions in American history. Founded in Columbus, Ohio, in 1890, the UMWA is celebrating its 125-year anniversary this year, but there will be no active UMWA coal miners celebrating in the ILB. With the Highland mine closure, the UMWA will cease to represent labor at any active coal mine in the ILB, which includes Illinois, Indiana and western Kentucky. Since its inception, it has engaged in bit- ter disputes with bituminous and anthra- cite coal mine operators for safe working conditions, fair pay and other benefits. When the union was founded and for many years thereafter, these were legitimate issues. During the first half of the 20 th cen- tury, it was the most powerful union in the U.S. During this period, the union fre- quently met success, thanks to the leader- ship of John L. Lewis and the policies of the New Deal Coalition of President Roosevelt. Under his reign, national membership grew to as many as 800,000 during the 1930s. Lewis was a persuasive labor organizer, leading the UMWA from 1920 to 1960. Capitalizing on the pro-labor mentality under the New Deal, Lewis successfully organized the Appalachian coalfields (as well as the ILB) in the early 1930s. As a result of his successful organizing cam- paign, the UMWA formed the pillar of Franklin D. Roosevelt's labor support in the 1936 presidential election. After World War II, the UMWA focused on mine safety and achieving large increases in wages, medical services and retirement benefits for its shrinking membership. Lewis retired in 1960. After his retirement, the union experienced unbalanced and unpredictable leadership until Richard Trumka was elected president of the UMWA in 1982. He restored a degree of order and democracy. Under Trumka and his succes- sors, the union has been more focused. But, by 2014, membership dwindled to 60,000 in the U.S., of which only 20,000 were active coal miners. ILB Production History Coal production in the ILB peaked during World Wars I and II, then again from 1970 to around 1990, and is peaking again now (see Figure 1). The first two declines in produc- tion occurred during the Great Depression and when the railroads switched from coal to diesel in the 1950s. The implementation of the Clean Air Act of 1970 caused ILB produc- tion to remain stagnant from 1970 to 1990 as many utilities decided to switch to western U.S. coals to meet the sulfur emissions limits imposed on coal-fired power plants. The implementation of the Clean Air Act Amendments (CAAA) of 1990 forced many more utilities in the Midwestern and Upper Tier states to switch from Western and Central Appalachian coals, causing ILB production to drop by 40 million tons from 1990 to 2000. The growth in demand since 2000 is due to the even tighter emissions rules, which have forced utilities to scrub all plants. They can now burn higher sulfur coal, which has a high calorific value (more Btu's per lb) and low transportation costs; ILB coal operators are regaining the region- al markets it had lost. Another reason ILB demand remained stagnant from 1970 to 1990 was the six UMWA strikes during this period, which also greatly impacted utility decisions to switch from ILB coal to lower cost and more dependable Western coal. A 1971 produc- tion slowdown can be attributed to the mur- der of the Yablonski family and the negotiation of a new contract. The four strikes that occurred between 1973 and 1985 o r ga n i z e d l a b o r B Y J O H N T . H A N O U UMWA Exits the Illinois Basin Figure 1: Illinois Basin Coal Production, 1900-2014 Unable to compete, unproductive mines are forced to close 50 www.coalage.com February 2015

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