NIH funding cuts contribute to lost work hours for San Diego sheet metal workers

New policies around federal funding are hitting home for sheet metal workers in San Diego, where cuts to funding from the National Institutes of Health led to the pausing of two huge construction projects and dozens of sheet metal workers losing out on pending jobs. With the funding cuts hitting right when other projects were winding down, Local 206 members are experiencing high unemployment numbers for the first time in years.

“It was like a perfect storm. We had some of the biggest jobs we’ve ever had in San Diego: the airport expansion, the Gaylord Pacific Resort down in Chula Vista, at the bay front, and some other really big pharmaceutical jobs,” said Local 206 Business Manager Dave Gauthier. “So a lot of that was trickling down and slowing down, and then with the NIH funding cutting, we lost, on just two jobs alone, over 100,000 work hours.”

Under President Trump, billions of dollars have been terminated in NIH grants nationwide, including at institutions like University of California San Diego. SMART members may not think of themselves as being affected by the NIH, but that funding is often used for construction that requires sheet metal workers, especially in labs and hospitals. A new lab and a hospital expansion project were the jobs that Local 206 members were slated to take on before the NIH funding cuts hit.

Now, after years of 100% employment, 19% of Local 206 members are out of work.

“Over five years, we haven’t had any mass layoffs. We’ve been organizing like crazy — we’ve grown our membership by close to 30% in the last five years. For a lot of our members who have joined in the last five years, they’ve never seen a layoff. They’ve never received that check,” Gauthier said. “I’d say that the Trump administration and all their funding cuts … is affecting our members.”

“I think our members that are now on the out of work list for the first time, or the first time in a long time, are starting to realize the affect that this administration is having even on a construction worker here in San Diego that’s trying to feed his or her family,” he added.

The negative impacts of federal policies show the importance of local politics, according to Local 206 Business Representative Dom Luyo. Over the years, the local has worked tirelessly to secure project labor agreements with cities and school districts throughout San Diego County. This has put union sheet metal workers on an enormous range of jobs, and it offers a road map for Local 206 moving forward. Even as work slows — whether resulting from federal funding freezes, shifting tariff policies that spook some investors and developers, or other factors — Luyo encouraged fellow SMART members unionwide to build relationships with pro-labor candidates at the local level.

“Getting local politicians on your side will help regulate local rules for your membership,” he said. “I think we’ve done a great job doing that collectively, not just the sheet metal workers but with all the other building trades unions together: working to get the right politicians in place to help us secure more work from more labor-friendly candidates.”