Proposed pipeline could cost jobs, not create them

Oct 03, 2011

(PhysOrg.com) -- Claims of job creation by the TransCanada Corp. Keystone XL Pipeline are inflated at best and misleading at worst, according to a new report by the ILR Global Labor Institute (GLI) posted on its website.

The report, "Pipe Dreams? Gained, Jobs Lost by the Construction of Keystone XL," notes that the project may actually kill more jobs than it creates.

The proposed pipeline would transport oil extracted from Canadian tar sands in Alberta, Canada, to the in Texas. The U.S. Department of State is reviewing the proposal and, along with President Obama, must determine if the project is in the national interest.

"This report questions the jobs claims promoted by TransCanada Corp., the American Petroleum Institute and other proponents of the pipeline. The report's findings should generate a high level of skepticism regarding the value of the Keystone pipeline as an important source of American jobs," said Sean Sweeney, GLI director. "It is GLI's assessment that the construction of Keystone XL will create far fewer jobs in the U.S. than its proponents have claimed and may actually destroy more jobs than it generates."

For example, job projections by TransCanada and the American Petroleum Institute fail to consider the large number of jobs that could be lost. Midwest consumers could lose jobs due to paying 10 to 20 cents more per gallon of gasoline and , as Keystone diverts oil from in the Midwest to the Gulf region.

"The company's claim that Keystone XL will create 20,000 direct construction and in the U.S. is unsubstantiated," said Lara Skinner, GLI associate director of research. "There is strong evidence to suggest that a large portion of the primary material input for KXL -- steel pipe -- will not even be produced in the U.S."

The report is available at: www.ilr.cornell.edu/globallaborinstitute

Explore further: Study looks at stock market performance of polarizing brands

add to favorites email to friend print save as pdf

Related Stories

Impact statement on US oil pipeline due in August

Jul 23, 2011

The US State Department said Friday it expects by mid-August to release a final environmental impact statement on a proposed $13 billion oil pipeline that would stretch from Canada to Texas.

US sees no major harm from Keystone XL pipeline

Aug 26, 2011

The proposed Keystone XL pipeline that would bring oil from Canada's tar sands to the US Gulf Coast would have "no significant impact" on the environment, the United States said Friday.

New study pinpoints potential 'green collar' job growth in US

Nov 18, 2008

During the presidential campaign, Barack Obama proposed an economic plan that would create 5 million jobs in environmental industries. These so-called "green collar" jobs do, in fact, present the next frontier for U.S. manufacturing, ...

Obama gives $2 billion to solar energy companies

Jul 03, 2010

US President Barack Obama announced on Saturday the awarding of nearly two billion dollars to two solar energy companies that have agreed to build new power plants in the United States, creating thousands ...

Recommended for you

Which foods may cost you more due to Calif. drought

Apr 17, 2014

With California experiencing one of its worst droughts on record, grocery shoppers across the country can expect to see a short supply of certain fruits and vegetables in stores, and to pay higher prices ...

Performance measures for CEOs vary greatly, study finds

Apr 16, 2014

As companies file their annual proxy statements with the U.S. Securities and Exchange Commission (SEC) this spring, a new study by Rice University and Cornell University shows just how S&P 500 companies have ...

Investment helps keep transport up to speed

Apr 16, 2014

Greater investment in education and training for employees will be required to meet the future needs of the transport and logistics industry, according to recent reports by Monash University researchers.

User comments : 2

Adjust slider to filter visible comments by rank

Display comments: newest first

rwinners
1 / 5 (1) Oct 03, 2011
Sorry, but gotta go with the oil companies. We will always need oil. Always. It is much better having a secure pipeline to the refineries in Houston than to pay the Middle East and worry about delivery.
Oh, and I am very green.. and disturbed by the lack of finding huge wind farms when I drive the Great Plains.
ryggesogn2
1 / 5 (1) Oct 03, 2011
Of course a socialist union funded study is not biased.

More news stories

Study finds law dramatically curbing need for speed

Almost seven years have passed since Ontario's street-racing legislation hit the books and, according to one Western researcher, it has succeeded in putting the brakes on the number of convictions and, more importantly, injuries ...

Researchers successfully clone adult human stem cells

(Phys.org) —An international team of researchers, led by Robert Lanza, of Advanced Cell Technology, has announced that they have performed the first successful cloning of adult human skin cells into stem ...