Unionization Trends in Cannabis Retail & Cultivation

Unionization is becoming a defining storyline across cannabis retail and cultivation as the industry matures and labor conditions come under increased scrutiny. With more than 430,000 full-time workers now employed nationwide, cannabis has become a long-term target for major unions, especially in competitive adult-use markets where turnover, safety, and wage pressures are highest.

Who Is Organizing the Industry?

Two unions dominate the cannabis landscape: the United Food and Commercial Workers (UFCW) and the International Brotherhood of Teamsters (IBT). UFCW represents tens of thousands of cannabis employees across dispensaries, grows, processing facilities, and delivery operations. Local chapters in New York, New Jersey, California, and Illinois have been particularly active, organizing budtenders, cultivation teams, and extraction employees.

The Teamsters have focused on larger multi-state operators (MSOs), manufacturing, and logistics. Their recent high-profile wins—including worker victories at Rise/Green Thumb facilities—signal growing influence in both retail and production environments. These successes have elevated cannabis in the union world from a “new frontier” to a structured organizing priority.

Retail vs. Cultivation: Why Workers Are Joining Unions

Union motivations differ between retail and cultivation, though both sectors share concerns about transparency, job security, and safety.

Retail workers often cite low starting wages, unpredictable schedules, high customer volume, and burnout. Budtenders in tourist-heavy markets like Nevada, California, and Colorado face front-line pressure similar to service workers in hospitality, making union protections increasingly appealing.

Cultivation and processing workers, on the other hand, point to physically demanding labor, heat exposure, repetitive strain, and questions around classification and overtime. As states clarify whether cultivation is treated as agriculture or manufacturing, unions have moved aggressively to ensure workers receive the broader protections of industrial labor.

Growing Strikes, Walkouts & Employer Pushback

Strikes and unfair labor practice allegations have increased as unions expand their cannabis footprint. Work stoppages in Pennsylvania, Illinois, and Ohio illustrate growing tension between workers and employers over wages, safety, and contract negotiations.

At the same time, not all campaigns succeed. Some shops have voted against unionization or sought to decertify existing unions when expected gains didn’t materialize or when operators mounted well-funded anti-union campaigns. This divide underscores the financial stress many cannabis companies face, balancing rising labor demands against shrinking margins, taxes, and compliance costs.

Labor Peace Agreements Add New Complexity

Labor Peace Agreements (LPAs) have emerged as one of the most influential—and controversial—regulatory trends. States like New York, New Jersey, and California require cannabis businesses to sign LPAs as a condition of licensure, obligating employers to remain neutral during union drives.

But these rules are facing pushback. Recent court rulings, including challenges to Oregon’s LPA mandate, argue that state-imposed neutrality may conflict with federal labor law. The legal uncertainty has left operators navigating a patchwork of requirements and potential future changes.

What It Means for Cannabis Businesses

Unionization is no longer an isolated issue—it’s shaping wage expectations, safety standards, training programs, and employee benefits across retail and cultivation. Operators who approach labor relations proactively, investing early in communication, safety, and career development, tend to face fewer organizing conflicts and maintain stronger workforce stability.

As the industry consolidates and competition intensifies, cannabis companies that treat workforce strategy as a core operational pillar—not an afterthought—will be better positioned for long-term resilience. Unionization, whether welcomed or resisted, is increasingly part of that reality.