Oregon voters appear to be passing Measure 119, which would make it easier for cannabis industry workers to unionize.

According to initial results, nearly 58% of voters supported Measure 119, compared to 42% who voted against.

Measure 119, one of two citizen initiatives in the running, aims to pave the way for cannabis industry workers to join unions by requiring employers to agree not to interfere with union activities when renewing their license or when applying for a new one.

The measure stems from a failed bill in the Legislature that sparked an impeachment campaign against longtime Eugene Democratic Rep. Paul Holvey. As chairman of the Business and Labor Committee, he helped defeat a 2023 bill backed by Oregon’s largest private sector union aimed at easing cannabis workers’ rights to organize because the legislative counsel said it was essentially illegal.

Holvey easily survived the recall attempt, but the union behind the bill, United Food and Commercial Workers Local 555 invested $2.4 million to get the measure on the ballot.

Although Oregon law does not prevent cannabis workers from unionizing, workers say the measure is necessary because their industry is in a gray area: the federal government, which protects the rights of work of workers, classified cannabis as a controlled substance. Opponents, however, claim that this measure would lead to an increase in prices and costs in the sector.

Measure 119 would apply to any cannabis business that requires a license, including producers, retailers, processors and laboratories. In applying for or renewing a license, the employer would have to show the Oregon Liquor and Cannabis Commission, which regulates the industry, that it has signed a neutrality agreement with a union. These agreements are signed between a company and a union that represents or attempts to represent its workers. A “labor peace agreement” shows that a company has promised to remain neutral when unions discuss bargaining rights with workers.

A company that has not signed a labor peace agreement could lose its license under Measure 119. If the agreement is terminated for any reason, the company must notify the commission within 10 working days and sign a new one with a union within 30 days following the termination. If the company does not submit a new agreement, the commission could fine it up to $4,950 and suspend or revoke its license.