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    Data centers face backlash, but unions are fighting for the jobs they create

    The growing backlash against data center construction in the U.S. has created a new political battle over jobs, The Wall Street Journal reports.

    Public opposition has largely focused on electricity costs, water consumption and noise, while some communities have also objected to tax breaks offered to attract data center investment. 

    As politicians on both sides of the aisle slow approvals or increase oversight ahead of the 2026 midterm elections, construction unions are pushing back because data centers create thousands of building-related jobs. Some unions are even threatening to withhold campaign support from politicians who oppose these projects and are breaking with longtime political allies to support candidates who favor construction. 

    Data centers are important to AI companies such as OpenAI and Anthropic because they provide the infrastructure needed to develop more powerful models and support growth. During construction, workers are needed to pour concrete, install electrical systems and set up equipment such as generators and cooling systems. Once completed, data centers employ fewer workers but can generate significant tax revenue for local governments. 

    Technology companies including Meta, OpenAI, Google and Microsoft have also partnered with unions and invested in training skilled workers because labor shortages are a major challenge for the AI industry. However, not all unions support rapid data center expansion. Some white-collar labor groups are more concerned about AI’s effects on job quality and employment. 

    The Wall Street Journal has the full story. A subscription may be required.

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