The cannabis industry is facing challenges with the rise of alleged fake unions, which are believed to hinder legitimate labor unions and benefit companies instead of protecting workers' rights. Ascend Wellness (OTC:AAWH), a New York-based multistate operator, has two competing labor organizations with signed workers at its Ascend dispensary. Some workers are unionized with the United Food and Commercial Workers (UFCW), while others are with Cannabis Engineers Extractors and Distributors (CEED) with a local unit number 420. Labor experts believe CEED 420 operates like a “company union,” or a sham labor organization.