Issue 54: How Many More?
Another MSO Worker Dies At Work, Mass. Business Owners and Workers Blast the State's Cannabis Investigators, and I beg MSOs to Stop Calling Workers "Family."
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For now, let’s get into what is sadly another heavy issue of Burn After Reading.
Another MSO Worker Dies At Work
Even as details continue to emerge, it’s hard not to ask if conditions at GTI’s Rock Island facility played a role
Julie Devinney, a 60 year old worker at a Green Thumb Industries facility in Rock Island, passed away shortly after collapsing at work last Friday.
An online obituary posted by Devinney’s family said that Julie had a positive impact on every person she met:
She loved everyone around her and would drop anything to help the people in her life. She loved to garden, and was always on the lookout for the newest and most odd looking plants. She had such a love for any animal she came across; but specifically her beloved dogs Bandit, Finn & Cooper. She was an expert Grandma to her grandchildren Alayna & Ollie and even to her Grand - pups Sawyer, Moose, Dexter, Bruno, Dixie & Huckleberry. She loved a good time and could always be counted on to liven up any situation.
The story was first reported on by Alex Halperin at WeedWeek. You can read the initial report of the fatal incident here.
As soon as details surrounding this fatal incident began to emerge, it was impossible not to notice the numerous ways that it mirrored the January 2022 death of Lorna McMurrey, a worker at Trulieve’s now-shuttered Massachusetts cultivation facility who collapsed and later died after complaining of breathing problems.
Here are some of the commonalities between the two incidents:
Both workers were allegedly involved in the manufacturing of pre-rolled joints, a task that often involves the use of industrial-grade grinders to process large amounts of cannabis at once. Many workers have noted that this process can create a large amount of particles in the air that seem to cause coughing and breathing problems.
Both incidents happened at very large cultivation/manufacturing facilities, where cannabis is grown and produced into manufactured products at a scale that was unprecedented until the relatively recent emergence of large, multi-state cannabis companies. Both GTI and Trulieve are among the largest cannabis companies in the world.
Both McMurrey and Devinney had complained about breathing problems in the past while working at their respective facilities, and both had been previously hospitalized because of these issues.
Statements from both companies denied responsibility and spent time attacking the media for the way they reported on the death.
There are also some important differences in the stories. Unlike McMurrey, Devinney reportedly had a known pre-existing condition in the form of COPD, a disease that impacts the lungs. Devinney also collapsed before her shift truly began; she was reportedly in the middle of what’s being described as light “mandatory pre-shift exercises” when the incident took place.
More Details
Reports suggest that the manufacturing side of the business was not Devinney’s first choice of job; a worker quoted by Cannabis Business Times said that she was moved from an office role after the company recently downsized.
Rock Island’s deputy coroner determined the death was due to “natural causes,” and GTI’s CEO Ben Kovler said in a statement on LinkedIn that “to the best of our knowledge, Julie’s death was not related to the working environment.”
Green Thumb has been cited for multiple OSHA violations in recent years, and there are currently two active investigations into their Rock Island facility. Details are currently sparse, but one of the current Rock Island investigations seems to be related to a fall.
WeedWeek also reported that a worker who posted about the fatal incident on social media received a threatening call from GTI’s HR department, demanding that the post be deleted.
Although the Rock Island facility is not unionized, the Teamsters released a statement demanding action.
"While it's still too early to conclusively determine the circumstances that led to this individual's untimely death, what we do know is that there have been significant concerns about occupational hazards at this operation – particularly regarding respiratory health – in the past," said Jim Glimco, President of Teamsters Local 777.
Complaints about unlawful intimidation, harassment, and retaliation at the facility date back to at least 2019.
Warning Signs
Obviously, it’s impossible to know what role – if any – that conditions at GTI’s Rock Island facility played in this fatality, but an employee from this location expressed concerns about air quality to Cannabis Business Times:
“They have the machines where they’re packing the cones or whatever—the prerolls. And that really kicks up a lot of trichomes into the air,” the worker said. “And, you know what, I’m in good shape: I’m strong, I’m a runner and stuff, but I’m in there for 20, 30 minutes and I start coughing. So, I know if somebody’s in there every day, that’s going to add up … it accumulates in your lungs.”
While it’s clear that more research needs to be done on this topic, studies suggest that cannabis companies who are refuse to treat the issue of cannabis dust seriously are willfully putting their employees at risk. It’s easy to treat this as a new issue, but data dating back as far as the 1960’s showed that hemp workers were vulnerable to lung damage from plant-derived dust.
Beyond the issue of dust, it’s a fairly common occurrence for workers in cultivation facilities to experience some sort of allergic reaction to conditions inside grow rooms. Given how little we understand about this issue, it would be wise for businesses to treat these reactions as potentially significant, as there are plenty of anecdotal reports out there that these reactions can become more and more serious over time.
Free Advice
So instead of hiding behind vague statements and denying the lived experiences of cultivation workers, here are some basic steps that companies can currently take to protect their employees.
Ensure that any employees who have pre-existing breathing issues aren’t exposed to cannabis dust.
Mandate respirators and other protective equipment in areas where cannabis dust may be present.
Make it clear to your employees that their job will not be at risk if they start experiencing health impacts that warrant a move to a different department.
Carefully monitor work conditions and air quality, and don’t dismiss employees concerns or experiences just because you can’t quantify a problem with the facility’s air quality.
While I’m offering free advice to large cannabis companies, here’s something else that’s been on my mind lately…
After Another Worker Death And More MSOs Layoffs, Enough With The Corporate “Family” Nonsense
Cannabis corporations acting all familial is an insult to worker’s intelligence
In April, Curaleaf was in big trouble in New Jersey.
The state’s Cannabis Regulatory Commission had just denied renewal of the company’s three retail licenses, citing the fact that they were not properly notified of layoffs at Curaleaf’s since shuttered cultivation facility in Bellmawr.
The company quickly leapt into action, organizing a worker protest outside the CRC offices ahead of an emergency meeting to reconsider the denial.
The protest’s goals were met. The decision to deny Curaleaf’s license was reversed, theoretically saving all the jobs that were threatened by New Jersey’s regulators attempting to shut the company down.
Following the reversal, Curaleaf CEO Matt Darin celebrated the win, claiming it saved the jobs of his employees:
“The decision by the CRC Board to vacate their unprecedented action last week is an incredible victory for our 500 NJ team members and vindication for what we knew all along: Curaleaf is in good standing with the CRC and has fulfilled every requirement necessary for the renewal of our licenses,”
This “incredible victory” for many of Curaleaf’s workers was short lived. Flash forward to this week, and the company is laying off 49 of these same workers whose jobs they claimed were saved. The company’s statement blamed the state’s CRC for this move, taking absolutely zero responsibility for the business decisions that directly led to these layoffs.
Curaleaf is hardly the only large cannabis company to treat their workers as expendable. Layoffs across the industry, a rash of OSHA violations, worker injuries — and even deaths — have made that clear.
The actions of cannabis executives say one thing, but their rhetoric says another. Despite the fact that large cannabis businesses regularly treat their employees poorly, MSOs like Curaleaf, Trulieve, GTI and plenty of others continue to refer to their workers as “family” in press releases, website copy, and interviews.
While we’ll probably never get these large, publicly-traded companies to actually prioritize their workers over shareholders, maybe we can make a more simple ask: please stop with this “family” facade.
Family Matters
Despite canna-bosses referencing family more than Vin Diesel in the Fast and Furious franchise, I think we’re far past the point where anybody is buying the idea that cannabis suits feel like they have any sort of metaphorical blood ties to their workers.
Cannabis corporations are not somehow immune from the simple truth that businesses are found to create wealth for ownership. No amount of flowery rhetoric can erase the fact that the ultimate goal of a corporation is to create value for its shareholders, and that singular goal often doesn’t align with what’s in the best interest of workers.
Use of this familial language is hardly limited to the cannabis sector – and I’m hardly the only person to call for an end of this type of corporate speak – but it’s particularly absurd when you consider that legal weed companies are much more likely to treat employees like excess ballast on a sinking ship than members of their own household.
If large cannabis corporations truly are family, that means the parental and maternal figures of these companies have cast thousands of their “children” onto the streets in the past few years via layoffs — making executives objectively shitty “parents” who are worthy of a visit from protective services.
So instead of pretending that their budtenders and cultivation workers are somehow their long lost extended relatives, cannabis executives should try just being honest with their employees. Let’s be real about the transactional and temporary nature of the employee/employer relationship, and not insult the intelligence of workers by pretending they’re somehow corporate kin.
Massachusetts Operators Rip State Inspectors During Hearing
Current operators and former workers take issue with how issues are investigated
A number of figures in the Massachusetts cannabis space used this week’s Joint Committee on Cannabis Policy hearing at the Massachusetts State House to sound the alarm over what they say are issues with the Cannabis Control Commission’s investigation department.
Lab Fraud and CCC Retaliation
MCR Labs CEO Michael Kahn used the hearing to continue criticizing the Commission’s investigation staff for what he says is a targeted campaign of retaliation for his public issues with their methods and behavior.
In his testimony, Kahn gave more details about a March 2023 incident where inspectors allegedly harassed employees and acted aggressive during an unannounced inspection. He said that the inspectors requested 20,000 pages of documents and about 30,000 hours of video feed, and that it was clear to him that CCC staff were retaliating against the company because of the fact that Kahn has been critical of the prevalence of lab fraud in the state.
(As always, I want to disclose I formerly worked at MCR.)
“Three minutes is not nearly enough time to describe the waste, fraud, and abuse that we have seen and documented with our interactions with the CCC,” Kahn said, referencing the time limit placed on people submitting testimony.
“I reached out to the CCC with concerns about public health on multiple occasions over the past several years. Instead of listening or taking action, CCC staff – in my opinion – retaliated by opening an investigation into our laboratory,” he went on to say.
A spokesperson for the CCC has previously denied that the commission’s investigators behaved inappropriately.
Kahn wasn’t the only lab-involved speaker to take aim at the CCC’s Investigation department. Dan Delaney, executive director of the Association of Cannabis Testing Laboratories, also said that many in the space fear retaliation for speaking out.
“Licensees recognize the power that the CCC has, and understandably fear retaliation if they contest the commission’s intent or actions. I’ve heard it from other labs and I’ve heard it from other licensees outside the lab testing space,” he said.
Jeff Rawson, President of the Institute of Cannabis Science, also took aim at the Commission, saying that staff in charge of regulating labs have conflicts of interest and a limited understanding of cannabis science.
“Instead of creating a government agency, the State of Massachusetts has created a malevolent kingdom that doesn’t care much about us, but only cares for its own power,” he said.
Alleged Inaction
Business owners weren’t the only ones to accuse the CCC’s investigation team of potential improper conduct.
Matt Dunkum, a former employee at Greatest Hits Dispensary, says that his attempts to alert the Commission to a number of serious allegations about the company he worked for were largely ignored, until he expressed concerns about a conflict of interest to someone who worked above the investigator who was assigned to his case.
"It shouldn't be easier to be a criminal than it is to be a whistleblower," he said.
Dunkum has been vocal on LinkedIn and elsewhere about the alleged illegal behavior involving Greatest Hits, including allegations that the company was running an unregulated grow facility at a residential address to produce free – but untested – samples to employees and friends.
He has also shared evidence that appears to show representatives from the company using threatening language in an attempt to dissuade him from speaking publicly.
(More to come on this story soon).
The Legislation
Two of the bills being discussed at the hearing were S.58 and H. 106, both of which are pieces of legislation that aim to insert a special audit unit with the Cannabis Control Commission. I previously spoke to the sponsor of the Senate bill about why he introduced this proposal.
You can catch the full recording of the hearing here.
This post was slightly edited to correct Matt Dunkum’s Quote.
New England
KHALIFA KUSH PRODUCTS COMING TO MASSACHUSETTS CANNABIS CONSUMERS VIA CRESCO LABS
Khalifa stated: “We are excited to launch the Khalifa Kush brand in our tenth state and second alongside the Cresco team, bringing our exclusive genetics, KK and Khalifa Mints, to the people of Massachusetts. Grown by one of the industry's best cultivators, it’s everything the East Coast needs.”
ANALYSIS: Zero details regarding the specific cultivation methods that Cresco will use. Zero explanation of why we should care about Wiz’s so-called exclusive genetics. Zero mention of any purpose behind Wiz’s brand (other than lining his pockets).
Like a lot of press releases, this news was likely aimed at potential/current retail investors as much as it was aimed at consumers, but I’m not sure why either group should think this is something to get excited about.
[VT] CANNABIS CONTROL BOARD STARTS ASSESSING FLOOD DAMAGE
Gov. Phil Scott has said Federal Emergency Management Agency funds aren’t available for any businesses affected by the flood, however loans from the state will be, and the U.S. Small Business Administration is on the ground in Vermont to offer assistance. His administration is working with Vermont’s congressional delegation in hopes of securing federal funding to help small businesses.
ANALYSIS: The Vermont Grower’s Association has a resources page to assist business that have been impacted by the storms. If anyone out there has an idea or means to assist Vermont’s small cannabis businesses, the VGA are probably the folks to reach out to.
Rest of U.S / National
CANNABIS PANEL DEBATES HOW TO HELP APPLICANTS WITH PRIOR MARIJUANA CONVICTIONS (Sophie Nieto-Munoz | New Jersey Monitor)
The Cannabis Regulatory Commission voted in June to give those applicants — called social equity applicants — the first shot at wholesale, distributor, and delivery services licenses for one year starting in September. But Tuesday, the commission voted to limit the time period after critics said the June decision would hurt cannabis entrepreneurs who were harmed by the drug war but do not fit the definition of social equity applicant.
ANALYSIS: It’s easy to have loud opinions (trust me), but this story is a reminder of how complicated tackling issues around equity in the industry can be.
TRULIEVE CANNABIS, BLACK ENTREPRENEUR TRADE BARBS OVER ALLEGED $24M DEBT (Chris Roberts | MJBizDaily)
Trulieve filed a complaint against Harvest July 14 in the Franklin County Court of Common Pleas, according to the Dayton Daily News.
The complaint alleges Harvest executives used the Trulieve loans to “pay themselves six-figure salaries while simultaneously asking (Trulieve) to lend them even more money,” the Dayton Daily News reported.
Harvest of Ohio’s majority owner is Ariane Kirkpatrick, who claims to be the first Black woman to own a vertically integrated business in the state.
ANALYSIS: I wonder who is more exhausted at this point, Trulieve’s accountants or Trulieve’s legal department. Considering their beef with Harvest of OH is already resulting in a public war of words, this should be a pretty interesting lawsuit to follow.
AFTER AMBITIOUS LAUNCH, MEDICAL CANNABIS COMPANY TO SHUTTER PENNSYLVANIA OPERATIONS (Kris Mamula | Pittsburgh Post-Gazette)
Goodblend Pennsylvania LLC notified the state that it will end operations Sept. 15 at a 342,810-square-foot site on Beaver Avenue that houses a medical marijuana cultivation and processing facility, putting 76 people out of work. The closure is scheduled nine days after Allegheny County Court of Common Pleas Judge Christine A. Ward is scheduled to hear arguments on a motion to set a trial date for Goodblend’s alleged failure to meet the terms of its lease.
ANALYSIS: This is more bad news for Parallel, the MSO that owns Goodblend. Pennsylvania is expected to be a massive adult use market, so it’s going to be hard to spin news of this retreat as a positive.
The fact that the Parallel is privately-held makes it more of a challenge to gain insights into their financial situation, but there’s been other signs that they’re not doing so hot. The company’s portfolio includes 40+ Sunterra Wellness dispensaries in Florida, a low-THC license in Texas, and the NETA brand in Massachusetts.
International
🇰🇾 GIGI HADID CHARGED WITH DRUGS OFFENSES (Renae Stampp | Cayman Marl Road)
On Wednesday, 12 July 2023, GiGi Hadid and McCarthy appeared in Summary Court and were charged. They pleaded guilty and were each fined $1,000.00, and no conviction was recorded.
…
Cannabis or ganja is illegal in the Cayman Islands, but the use of CDB oil is allowed for persons who have the requisite doctor's certification to obtain it. Hadid has since claimed she had a medical card; however, officials said the card she had is not valid in Cayman.
ANALYSIS: Thanks to wealth and privilege, it’s possible that the biggest inconvenience of this whole ordeal for Gigi was the fact that she had her weed confiscated, and not the fact that she briefly arrested and subjected to a $1000 fine.
There’s plenty of places in the Caribbean where you can take a ganja-friendly vacation, but the Caymans aren’t one of them. Next time, Gigi should try Jamaica, St Vincent & The Grenadines, or St Kitts & Nevis (and she should make sure she buys local).
🇮🇱 PHILIP MORRIS BUYING ISRAELI CANNABIS FIRM FOR UP TO $650M, REPORT SAYS (Matt Lamers | MJBizDaily)
Multinational tobacco giant Philip Morris International is buying the Israeli cannabis tech firm Syqe Medical in a deal worth up to $650 million, according to the Israeli business newspaper Calcalist.
Syqe’s chief product is a metered-dose pharmaceutical-grade inhaler that allows patients to measure an exact dose of medical cannabis.
If completed, the deal would mark one of the biggest investments in the cannabis space by a tobacco producer in recent years.
ANALYSIS: I’m trying to think of something nuanced to say but the only thought that comes to mind is “gross.” There’s no reason to throw Big Tobacco a lifeline by allowing them into the cannabis space (other than greed).
Muscles and Mayhem: An Unauthorized Story of American Gladiators, on Netflix.
I was a bit too young to truly remember the American Gladiator craze (I’m part of the Nickelodeon GUTS generation) but this five part documentary series was an entertaining look back at one of the first “reality” shows ever made.
This week it’s Sheldon, a young spry guy who’s available for adoption at Baypath Humane.
Special Bulletins
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