Container Recycling Institute:

1. Container Recycling Institute: Striving to make North America a global model for the collection and quality recycling of packaging materials. NRRARecycling Jobs – Now and in the FutureCRI’s Jobs Study:Returning to WorkSusan V. CollinsContainer Recycling InstituteJune 5, 2012

2. Mission Statement CRI’s mission is to make North America a global model for the collection and quality recycling of packaging materials. We do this by: • Creating and maintaining a database on containers and packaging • Studying container and packaging reuse and recycling options and legislation, including deposit systems, and their environmental and economic impacts • Educating on recycling options for government, elected officials, for citizen groups, the print and broadcast media, publications and industry groups • Creating national networks

3. Prepared by: Sound Resource Management

4. Project Background • Development of performance indicators: • weight; volume; energy savings; pollution prevention; cost; and impact on domestic jobs • Limited specificity in data on jobs from recycling; • Need to further explore how & why these jobs are created, and provide a jobs estimate.

5. Project Goals Measure direct impacts on domestic jobs From increased recycling of beverage containers Glass, aluminum & PET Compare different types of recycling programs to landfill disposal Create a calculator: “Measuring the Impact from Recycling on Jobs” calculator (MIRJcalc) (user inputs available)

6. FLOW CHART: DOMESTIC LABOR (USA) DIRECTLY RELATED TO COLLECTION OF BEVERAGE CONTAINERS FOR RECYCLING AND DISPOSAL CONSUMPTION: AL; PET; GLASS SOLD/GENERATED (in tons) CONTAINER REDEMPTION: DEPOT RVM RETAIL WASTE/GARBAGE COLLECTION CURBSIDE COLLECTION: MANUAL AUTOMATED Transfer Transfer Primary Processing / Material Recovery Facility (MRF) Landfill Primary Processing / Material Recovery Facility (MRF) EXPORT EXPORT PET RECYCLING / RECLAIMERS GLASS BENEFICIATION ALUMINUM CLEANING END MARKETS/MANUFACTURERS: Glass Bottles; Fiberglass; Aggregate; Plastic products; Aluminum sheet VIRGIN PET POLIMERIZATION PX TPA MEG APLITE SILICA BORATE SODA ASH LIMESTONE NO IMPACT ON DOMESTIC VIRGIN ALUMINUM PRODUCERS

7. Study Methodology Primary data collection – data points each for “stage”: Collection (includes transport to MRF or transfer station) Operations at MRF, transfer station or landfill Transport to landfill Secondary processing End-use manufacturing (virgin or recycled content) Raw materials extraction and refining Administration/supervision/auxiliary positions

8. Study Methodology “NET Jobs impact from increased recycling” is calculated as: Number of jobs created when more beverage containers are recycled Minus the number of jobs lost when fewer containers are landfilled Minus the number of jobs lost in raw-materials extraction and processing when recycled content replaces virgin materials in product manufacturing

9. Model Exclusions Recycling-reliant employment Indirect effect Induced effect Out-of-country

10. Quantifying Jobs Impact Data • Identify a reasonable estimate for the number of employees (FTEs) per 1000 ton throughput of PET, Aluminum and Glass at each stage (collection, processing and secondary processing) • Identify a reasonable estimate for the FTEs for extraction and preparation of virgin material.

11. Recipes • PET: Paraxylene + ethylene oxide converted to MEG • Silica, soda ash, aplite, Limestone, Borates

12. Overview of Findings

13. Finding #3 • Material throughput is the primary driver of recycling jobs. • Policies that require more recycling can create more jobs • Residential, commercial, etc.

14. Findings on Curbside Collection • Urban, rural, geographically diverse • No significant difference for jobs from single- versus dual-stream • Critical factor was automated versus manual • Automated is .79 FTEs per 1,000 tons • Manual is 2.11 FTEs per 1,000 tons • Also included administration, customer service, mechanics, etc.

15. Finding #5 • Jobs gained in recycling far outweigh any jobs lost in extraction of virgin materials. • Increased jobs reflects a trade-off between labor and machinery • Does not necessarily mean an increase in cost

16. Finding #8 • Jobs gained in recycling far exceed any jobs lost in extraction of virgin materials, landfilling or domestic manufacturing. • Full report shows: • Increases from recycling • Decreases from landfilling, virgin material extraction and domestic manufacturing • Total net increase

17. Comparing the Jobs from Recovering Glass vs. Virgin Raw Material Extraction 9 8.3 8 7 6 5 FTEs per 1000 tons 4 3 2 0.6 1 0.1 0.04 0 Recycled raw Virgin raw Virgin raw Virgin raw material - 1000 materials for material for 1000 materials for tons of glass 1000 tons of tons of fibreglass 1000 tons of glass bottles aggregate

18. Finding on PET Virgin Production • Domestic, 83% • Imported, 17%

19. Comparing the Jobs from Recovering PET vs. Virgin Raw Material Production 12 9.9 10 8 FTEs per 1000 tons 6 4 2 0.6 0 Recycled raw material - 1000 tons of Virgin raw materials for 1000 tons PET of PET resin

21. Finding #6 • U.S. PET reclaimers operate at less than 72% of capacity (vs. 60% in report) • Increasing to capacity would: • Process an additional 230,000 tons annually in the U.S. • Create nearly 500 jobs in the U.S. • New capacity has come on line in 2012

23. Finding #7 • The U.S. exports 400,000 tons of PET to overseas markets each year • If this material were processed in the U.S. • It would create 800 jobs in the U.S. • Most of the exported PET is lower-quality bales

24. Conclusions As recovery tonnage increases, employment related to collection, processing and secondary processing also increases (excepting exports) Losses that occur in primary resource-extraction activities are greatly outnumbered by the jobs created in material-recovery activities.

25. Conclusions Improved material quality directly impacts U.S. jobs; clean/separated recyclables more likely to stay in the U.S. for use by domestic manufacturers rather than be exported to foreign markets

26. Beyond Jobs U.S consumer products manufacturers use recycled materials to meet other goals Reduce energy use Reduce emissions and other environmental impacts Reduce production and raw materials costs

27. Beyond Jobs, continued U.S consumer products manufacturers use recycled materials to meet other goals Meet internal or industry goals for recycled content and sustainability Satisfy public demand for “greener” products, packaging and business practices

28. Economic Value of Buried Materials 28

29. Beyond Jobs, Glass For every 10% increase in cullet use, there is a corresponding 4% savings in energy For every ton of cullet used, they save 1.1 tons of silica (sand), lime, dolomite and soda For every 10% increase in cullet use: Six degree celsius reduction in furnace temp, which reduces particulates by 7%, and extends furnace life 3% reduction in fossil fuel use; 6% reduction in oxides of nitrogen (Nox)

30. How can this research help me? • Use Impact Data to help estimate jobs impact for a recovery program • Support waste recovery systems that ensure high rates of capture and keep material clean/separated. This material will create more local and domestic jobs than would a dirtier mix of recyclables ton for ton.

31. Data Transparency • We included all data in appendices • We invite you to use it to your benefit

32. Jobs Calculator Input two-letter code for State to automatically calculate the number of jobs that will be created User can customize and change certain inputs Percent of households with curbside recycling Capture rates for multi-family, non-curbside single-family, self-haul, and away-from-home Curbside automated versus manual mix Allocation of materials to various end-markets

33. Jobs Calculator Input two-letter code for State to automatically calculate the number of jobs that will be created User can customize and change certain inputs http://www.container-recycling.org/ http://www.container-recycling.org/issues/jobs.htm Jobs page has CRI Study, “Returning to Work,” the jobs calculator, and links to several other studies on recycling jobs

34. To Get More Information Just type in:Container Recycling Institute! Visit us at… www. container-recycling.org Weekly Headlines newsletter (310) 559-7451