Garment company in Indonesia reinstates union leader

Rahmawati became local union president at PT Tainan in August 2021. In January 2022, the company started issuing warning letters to Rahmawati, claiming she was unable to achieve the production target.

After three warning letters, Rahmawati was dismissed on 18 May after 16 years of service. Garteks criticized the multinational garment company for union busting and filed a complaint with the North Jakarta labour office.
 
In August, the industrial relations mediator stated that PT Tainan had violated the Manpower Regulation and the collective agreement. It ruled that the company should reinstate Rahmawati in her original position with back pay.
 
Following interventions from IndustriALL Global Union and US brand Jcrew, who sources from PT Tainan, the company signed a settlement agreement with Garteks where Rahmawati will be reinstated to her original position on 1 November.
 
In addition, the company promised to respect workers’ freedom of association and to end gender-based violence.
 
“We thank IndustriALL for supporting the struggle in reaching an agreement. And thank you Jcrew and PT Tainan for joining the social dialogue which meant arriving at a satisfactory result,” says Garteks general secretary Trisnur Priyanto.
 
The three union leaders were dismissed by PT Tainan in August 2021, soon after the local union was established. At the time, they signed a settlement agreement with the employer accepting the termination on the condition that the company stop interfering with the Garteks members’ right to organize.
 
“We welcome the reinstatement of Rahmawati, and take the opportunity to reiterate that PT Tainan must allow workers to organize freely. This would include reinstating all sacked union leaders among their workforce,” says IndustriALL textile director Christina Hajagos-Clausen.

What are unions demanding at COP27?

The labour movement believes that we cannot address climate change and decarbonize the global economy without also addressing structural inequalities. Addressing climate change will require massive, globally coordinated investment in new, green infrastructure. This is our opportunity to fight for highly quality, unionized jobs to replace dirty and dangerous work. We demand that the worlds’ governments find the money to fund this investment, including by adequately taxing the super-rich and multinational corporations. We demand that all stakeholders, including unions and communities, are involved in developing transition plans.

Union delegates have been meeting ahead of COP27 to coordinate their activities. For unions this year, our political interventions at COP27 will focus on:

To help affiliates prepare for COP27, IndustriALL is organizing a series of webinars:

Join our social media storm

Please help us to raise labour voices by being active on social media before and during the conference.

Join our social media storm on 4 November to make our demands ahead of COP27 clear.

On 4 November, please post messages on Twitter, Facebook, Instagram and your other social media channels, with your union’s demands for COP27. Please use the hashtags #COP27 #JustTransition #JustFuture to coordinate the activity.

You can download our Just Transition poster, available in English, French and Spanish, and take pictures of people holding it.

Sample messages:

United for a just future! Trade unions will be at #COP27 to demand a #JustTransition for workers and their communities. Let’s build a #JustFuture together.

To prevent disastrous climate change, we need to transition our economies to net-zero. Trade unions must be part of the plan to make this happen. Let’s create new, high quality, green union jobs. #JustTransition #COP27 #JustFuture

Who will pay for #JustTransition? Time for the rich to pay up. Unions will be at #COP27 to demand #ClimateFinance to build a #JustFuture for all

Confused by #COP27? Download the trade union guide of practice for a #JustTransition and see the steps to negotiate and implement agreements that build a #JustFuture: https://bit.ly/3DraDES 

Unions welcome revival of IndustriALL’s campaign against Glencore

The union network meeting was held against the backdrop of cobalt’s role in the low carbon energy transition and the DRC’s strategic role in the battery supply chain. 

Participants observed the difference in Glencore South Africa operations in comparison to its behaviour in the DRC, mentioning industrial relations, stakeholder engagement, tripartite dialogue, the advancement of women employment and just transition. 

Conditions of mineworkers at Glencore’s operations, including surrounding communities and the environment, do not reflect the value attached to the minerals that workers produce ; for example the commodities boom, as reflected in Glencore’s balance profits. 

The findings of The Road to Ruin? – Electric vehicles and workers’ rights abuses DRC’s industrial cobalt mines by corporate watchdog Rights and Accountability in Development (RAID) and Centre d’Aide Juridico-Judiciaire (CAJJ), a Congolese legal aid centre specializing in labour rights, mirror IndustriALL’s report after a mission to the DRC in 2018. 

“It is unacceptable that large scale mining is involved, with almost impunity, in these large scale abuses of mineworkers’ rights. The situation has not improved since IndustriALL’s mission in 2018. There is still no local dialogue with management, even global dialogue, although not institutionalized with IndustriALL, continues unsystematically, ”

says Glen Mpufane, IndustriALL mining director. 

According to the workers, Glencore has ignored concerns about the need for accountability and transparency raised at their national network meeting in June 2021. 

Workers said that “it is not easy to be in contact with Glencore unless it is a legislative requirement or a collective bargaining agreement requirement. There has been no dialogue since 2021 with Glencore, except for collective bargaining negotiations”. 

“Due diligence in the supply chain requires stakeholder consultation. It is a travesty that trade unions, the most organized formation of civil society, are not consulted in ensuring due diligence in the production of the minerals in the DRC, critical for the low carbon energy transition” 

says Glen Mpufane.

In March 2018, IndustriALL issued a warning to the auto sector to ensure the respect of workers’ rights in the DRC.
Union leaders voiced their anger at Glencore’s absence of a strategy to address the gender employment gap and to advance the meaningful employment of women, to reduce reliance on expats at high-level job categories, and to implement a skills transition programme. 

The meeting was supported by German FES. Affiliates expressed appreciation to IndustriALL and the local FES office for continued support and solidarity, and for the implementation of the project on Decent work in battery supply chains: Steps towards responsible cobalt mining in the DRC.

Sub Saharan organisations demand end to illicit financial flows

This was discussed at a regional workshop on IFFs in Accra, Ghana, 24-25 October, which was held with support from FES Ghana and attended by 30 participants from Ghana, Kenya, Liberia, South Africa, Tanzania, Togo, and Zambia.

The participants were from IndustriALL Global Union and Public Service International affiliates, ITUC-Africa, and civil society organizations that included the Alternative Information Development Centre, Oxfam, Tax Justice Network Africa, and Third World Network Africa. Officials from Ghana’s ministry of finance participated in the workshop.

Discussions stated that close to $88.6 billion leaves the African continent yearly destined for tax havens in Panama, British Virgin Islands, Seychelles, and other countries mainly for the benefit of developed countries.

This huge financial loss is enough to finance nearly 50 per cent of the costs required to meet Sustainable Development Goals targets. Experts at the workshop said this has been confirmed by UNCTAD research which states that IFFs are multiple times more than the foreign direct investment inflows into the continent. 

Although the theme of the regional workshop was “Illicit financial flows in the gold mining sector in Ghana” it was mentioned that Ghana is not the only African country facing IFFs. Giving examples from case studies in Ghana, South Africa and other countries, the experts said IFFs often take the form of capital flight, tax evasion and avoidance, money laundering, concealing of assets, and commercial malpractices like mis-invoicing of trade shipments, and transfer pricing.

Criminal activities that include illegal markets, corruption, and theft for terrorism financing are also forms of IFFs. According to research, IFFs continue to drain much needed revenue from developing countries in Sub Saharan Africa that could otherwise be used to eradicate poverty, create decent jobs, reduce the high levels of unemployment, and contribute to industrialization. 

Additionally, the workshop discussed the importance of using the African Mining Vision (AMV), which outlines how mineral resources can be used for economic development, as one of the instruments to curb IFFs alongside other mineral governance initiatives. However, the AMV has not been domesticated by most countries with only Lesotho having developed a national mining vision. Most countries were also not enforcing their minerals and mining laws, and this allowed multinational companies to ignore tax and infrastructural development commitments in their mining licences.

Sani Baba, regional secretary, Public Service International and Arab Countries said:

“The current economic situation in Ghana, especially high inflation, and a depreciating currency, is taking a toll on workers and citizens. Government should take drastic measures, some of which include reducing the amount of tax incentives to multinational companies to raise adequate revenue to invest in health, education and infrastructure, and limit outsourcing of labour in the mining sector.”

“Greater participation and collaboration of key stakeholders in the gold and other mining sectors to clamp down on illicit financial flows and ensure the effective mobilisation of domestic revenue towards sustainable socio-economic development is required in Ghana. The strategies that we need must include the formalization of artisanal and small-scale mining through the creating of legal frameworks, beneficiation of minerals, including the refining of gold bars as this will create jobs and maximise returns on mineral wealth,” said Abdul-Moomin Gbana, the general secretary of the Ghana Mine Workers Union. He further emphasized the importance of the participation of local industries and an industrial policy framework that supported linkages to ensure value addition and the creation of decent jobs.

Glen Mpufane, IndustriALL director for mining says:

“Illicit financial flows is a scourge on the continent that deprive much needed economic benefit and development of the host country and it must be exposed for what it is, an act of criminality. A continental and regional campaign is needed to stop it.  The lost revenue could be used to ensure that trade and industrial policies address sustainable mining that benefits resource-rich African countries, and policies that include clauses on environmental protection, human rights, workers’ rights, and the rights of communities in the mining areas. The export of raw materials should also be replaced by value addition of the minerals on the supply chains as this creates and supports manufacturing industries.”

Sri Lankan workers struggle due to high inflation

Trade unions are demanding that the national minimum wage be increased to 26000 LKR (US$ 71) but the government has not budged.

Food inflation rose to 95 per cent in Sri Lanka in September while wages remain stagnant. In some factories, workers are being paid as low as 16000 LKR (US$ 44) which is the national minimum wage. Wages for migrant workers in free trade zones are insufficient to pay for housing. The ongoing wage crisis in the region has taken the worst form in Sri Lanka, which is yet to recover from an unprecedented economic crisis.

Before the crisis workers were able to stay afloat despite low wages because of overtime pay, attendance bonus, transport facility and other incentives; however, since these benefits were discontinued, the take-home pay has decreased drastically. Companies are citing low orders as a reason for taking away the incentives. 

Workshop participants made it clear that to overcome the challenges unions need to ensure a living wage by building union power on the ground and fighting for decent wages collectively. Unionists discussed mechanisms such as sectoral bargaining, global framework agreements and tripartite forums, that must be used effectively to campaign for a living wage. 

Global apparel brands’ representatives who were present at the roundtable held on 21 October to discuss the need for a living wage, shared that currently, the garment industry is operating in survival mode due to high inflation across the globe. 

Manufacturers in Sri Lanka are facing tough competition from other South Asian countries that are keeping prices low and acheiving on-time delivery. Brands assured that they will keep the factories running in Sri Lanka for workers to keep their jobs. 

Anton Marcus, joint secretary of IndustriALL affiliate Free Trade Zones & General Services Employees’ Union, says:

“Brands must fulfil their social responsibility by ensuring that orders are not stopped. If manufacturers cannot pay a 10000 LKR (US$ 27) Economic Relief Allowance to workers, then brands should support the manufacturers. This is the time to show solidarity with Sri Lankans.”

The necessity for an industry-wide change in the apparel industry to guarantee that workers receive decent wages was acknowledged by both unions and brands.

Apoorva Kaiwar, south Asia regional secretary of IndustriALL, said:

“Trade unions are clear that wages need to increase across the country and especially in the RMG sector which employs a large number of women workers, many of whom are single mothers. We need an industry-wide bargaining mechanism to achieve that. We call upon brands and manufacturers to engage with trade unions to discuss industry-wide wage bargaining in the apparel sector.”

Heidelberg needs to engage in social dialogue

For IndustriALL assistant general secretary Christine Olivier

“Network meetings provide a platform for sharing experiences, challenges, and brainstorming strategies.”

Olivier added that

“The cement industry is a major player in our economies, and it is one of the major contributors to CO2 emissions and has a high energy consumption which requires large pressures to change production methods and equipment. Trade unions are not opposed to changes but they cannot be done at the expense of workers.  It is our duty to make sure that workers are not paying the price for changes in any industry.  Transformation must take place in a just and socially responsible manner.” 

BWI general secretary Ambet Yuson said that the recent BWI Congress expressed support to Trade Union Networks in MNCs and urged Heidelberg Materials to finally engage in a constructive global dialogue that will recognize global unions as global partners.

“Multinational companies, talk the talk and they need to walk the walk. We will make sure that the shareholders of Heidelberg Materials hear the story of the workers and the number of unresolved issues if the management is not willing to listen to us. By signing an agreement with the BWI very recently, Argos Cement in Latin America has shown that it is possible and beneficial for both the company and the workers in the cement sector. We must take this campaign for social dialogue to the next level," 

said Yuson.

"We condemn the war on Ukraine. The energy crisis puts everyone at risk. We are in favour of a Just Transition and guarantees on fair agreements." was the message delivered on behalf of Tom Deleu, EFBWW general secretary.

Gerard Rijk from Profundo provided an overview of Heidelberg Materials and gave insights into the financial status of the company, its demographics, and the climate risks for the company.

The delegates gave an overview of the cement industry and the challenges they face in their respective countries. The overall sentiment was concern regarding the deaths at the company operations, the lack of women and youth, and the lack of social dialogue. 

All participants were adamant that the company needs to open dialogue with the respective unions and find ways to combat these challenges. Therefore, the meeting put emphasis on bringing the global campaign on Heidelberg Materials to the next level.

Alexander Ivanou, IndustriALL materials industries’ director said that

“Heidelberg recently removed ‘cement’ from its name and is likely to go through serious transformations that will impact workers and their jobs. Unfortunately, the company still turns a deaf ear to our invitation to establish a social dialogue at the global level and address workers’ concerns. Therefore, delegates gave us a clear mandate to take our campaign to the next level.”

The meeting was organized with the support of Friedrich Ebert Foundation FES.

We can’t achieve climate goals without carbon capture and storage (CCS)

Waste to energy with Carbon Capture and Storage (CCS) can provide end-treatment for unrecyclable waste, it removes CO2 from the atmosphere and produces local heat and electricity. But experts explained that the right framework and conditions are needed to roll out the technology.

There are a lot of emissions in European heavy industry, such as petrochemicals, iron and steel, and non-metal minerals, and – outside of green steel – few commercially viable ways to reduce these emissions. CCS is therefore an important solution for these hard to abate emissions. There is a lot of opportunity to develop CCS technology and Norway is one of the leading countries in the world investing in it.

“CO2 capture represents the largest market in the CCS value chain. It is important that we get the opportunities for emission cuts and transition jobs known”

said Are Tomasgård from LO Norway.

Scientific institutions in Norway have done research for unions about job creation and opportunities in CCS to create a comprehensive business plan. Employers’ organizations and unions have been working together to look at Just Transition through CCS.

The findings show that numbers are high when it comes to job creation in CCS, both in capture and, transportation of CO2 to the storage sites, and that CCS can help to keep existing jobs  in industry while reducing emissions. To unlock the potential for jobs, there is a need for investment and government support and focus on extending a full-scale project.

“Unions must make sure that the workers are organized. Know-how gives international potential. The full-scale project could contribute qualified technology, solutions and experience that would be beneficial on a global scale.”

Tomasgård continued.

Markus Hole from Celsio, an actor in the Norwegian Longship project, explained that the Longship is the Government’s full-scale carbon capture and storage project. It is the first ever cross-border, open-source CO2 transport and storage infrastructure network and would offer companies across Europe the opportunity to store their CO2 safely and permanently underground. 

“Phase one of the project will be completed in mid-2024 with a capacity of up to 1.5 million tonnes of CO2 per year.”

Said Hole.

Olav Øye from BELLONA, an environmental NGO that works together with Norwegian employers and trade unions to get solutions to climate change, explained that their recommendation on CCS is to

“create a legal framework and funding for CO2 transport and storage; capture and store emissions rather than shut down industries; and to not wait for green hydrogen until 2035 -start CCS now!”

There were several questions from participants on whether captured CO2 can be used for products or in industrial processes. Experts explained that research and pilot projects show promising results for CO2 use in synthetic fuels, chemicals, and building materials. However, not all uses of captured CO2 result in emissions reductions. It depends on how much energy is used to convert the CO2 to products amongst other factors. Life cycle evaluation of emissions is critical. 

Another concern especially coming from the global south and considering the large investment needed to enable the infrastructure for CCS large scale projects was how it appeals to smaller economies that are large emitters. In Africa where solar power is in abundance CCS has less appeal due to the significant investment needed and the existence of alternatives for energy generation.

Fossil fuel in the Middle East and North African (MENA) region is important due to the dependance of regional economies on the production and export of oil and gas. It provides lots of jobs and revenues. In Iraq more than 90 % of the country’s budget comes from oil and gas, at the same time MENA region is the most impacted by climate change from drought to water shortages, heat waves and damage to ecosystems.

“There have been some initiatives in the region to reduce emissions of CO2. This includes shifts to renewable energies and investment in CCS. Solar power is also of huge potential in the region. The reason CCS is so attractive for the Gulf States is because it would enable them to reduce emissions. The technology is especially interesting for the unions in the region because it would help to not shut down the industry immediately but clean it up as a first step.”

Said Ahmed Kamel, IndustriALL MENA regional secretary.

Under the US Inflation Reduction Act (IRA) there is federal funding to establish CCS hubs in different regions. In the Ohio Valley, a cluster of states, industrial actors, and unions including the United Steelworkers, USW, are working together to apply for funding to build a CCS and hydrogen complex to cut emissions from steel, mining, and coal fired power facilities.

USW also represent refinery workers in the USA, who are concerned about losing their jobs. There is substantial federal funding in the US for industrial projects that can reduce emissions. The USW are looking at how they can influence where some of these resources go to ensure that it deals with the refinery plants.

“EXXON and others have plans to build the world’s largest CCS facility in the Gulf of Mexico to capture emissions from refineries, chemicals plants, and oil depots. It will require a lot more funding even with the money that the government is providing since the infrastructure for it is huge. But overall unions are not seeing enough efforts to save jobs.”

Said Mike Smith from USW.

Significant progress needed in UN binding treaty negotiations

Cases of abuses of workers’ rights by companies are on the rise. According to ITUC Rights Index 113 countries exclude workers from their right to establish or join a trade union, up from 106 in 2021 to 113. 87 per cent of countries violated the right to strike and four in five countries blocked collective bargaining.
 
Pressure has been increasing for regulatory action to hold companies accountable for human rights abuses at national and regional levels with new legislation coming into force. Next week’s negotiations for a binding treaty will put the need for action to end corporate abuses of human and labour rights in the spotlight.
 
Global trade unions are calling for the following priorities to be strengthened:

Says IndustriALL assistant general secretary Kemal Özkan:

“The world cannot continue with the current abusive and exploitative business model in the global supply chains. We need immediate regulations, binding and enforceable, for a level playing field. These negotiations have been going on for years already; we cannot wait much longer. IndustriALL Global Union, together with ITUC and other global unions, will continue to fight for a binding treaty as per our Congress action plan.”

Caterpillar network on a mission to build global solidarity

This anti-union and aggressive behaviour has now reached a new level.  There are conflicts in almost every country which is present in the network.

Trade union representatives and shop stewards, at every level, are disrespected, this contempt sets a negative standard in the industry. This year, the network saw deteriorations in Northern Ireland and Japan, with a total disrespect for workers‘ rights in Northern Ireland and consequently strikes.   

At the same time, the global union network is becoming more effective when organizing solidarity activities and campaigns, these efforts were seen this summer when the company mistreated their workers in Northern Ireland. IndustriALL Global Union, the UAW, and the European Works Council (EWC) conducted solidarity activities within days to support Unite, IndustriALL’s affiliate who is present on-site.

Above these specific instances, participants discussed collective bargaining and working conditions in different countries. The varying management attitudes were of particular interest.

Thomas Weber, administrative assistant of the UAW vice president Charles (Chuck) Browning and his team addressed the network about the latest developments in the USA, at a corporate level, but also about the situation in UAW. At this stage, the different locals in the USA prepare for entering into negotiations with Caterpillar in the spring of 2023. This information session was done on behalf of the network chair, Charles Browning, who is UAW’s Vice President.

Among several topics, the shortages of semiconductors, within the company, are a major concern for the representatives. If the supply cannot be improved, some facilities will go into short-time work and/or simply cannot deliver the ordered machinery. The delegates also discussed the possibility of an in-person meeting of the union network next year. If possible, this could be held in a new setting, along with other company networks from the same sector. IndustriALL and UAW will discuss this possibility and develop proposals.  

IndustriALL’s assistant general secretary, Christine Olivier, addressed the network, introducing the latest discussions in IndustriALL regarding its position on social dialogue with Multinational Corporations.

"Caterpillar treats its employees with disrespect, and does not act in good faith, and this is evident at a majority of the international sites. We will fight back and the Caterpillar network will raise workers' voices and make sure corporate management will not overhear them,”

says Matthias Hartwich, IndustriALL director of mechanical engineering.

Deere network discusses future strategies

The network discussed the situation in the different countries, especially the question of supply chain interruptions, actual and past collective bargaining in the different regions, countries, and plants.

The core topic of this network was the implementation of better health and safety measures. In addition, the meeting also focused on ways to open a dialogue with the corporate management over the possible terms of future dialogue. The delegates’ discussion revolved around green technologies and the future of heavy machinery in farming and construction, with respect to electrification and/or hybrid systems.

The European delegation reminded other countries that it would be helpful to integrate the countries, in the network, that are not on board yet.

Thomas Weber, administrative assistant, agricultural implement department, and his team informed the network about the latest developments in the USA, at a corporate level, but also about the situation in UAW. They also emphasized what they called the Striketober, the October 2021 strike, when many sites in the USA, namely in Agricultural Implement, especially at Deere, went on strike. Thomas delivered this address on behalf of the network chair, Charles Browning, UAW’s Vice President.

One of the many concerns that attendees had was how high global inflation rates were having an impact on ordinary workers’ purchasing power.

IndustriALL’s assistant general secretary, Christine Olivier, addressed the network, introducing the latest discussions in IndustriALL regarding its position on social dialogue with multinational corporations.

All participants agreed that it is important to further grow this network and that close cooperation with similar USA-located companies, namely Caterpillar and CNH, was instrumental. In addition, the network members proposed that the next network meeting possibly be held in person. Representatives reminded the meeting that all participating trade unions should strengthen the role of women in the sector, within the company, and in the network.

“Our sector, the agricultural implement segment of mechanical engineering, is a showcase of the double challenge that workers and trade unions are facing today: the greening of machinery and equipment as well as the greening of production patterns. This goes hand in hand with digitalization. Both developments require even better networking among the trade unions. We have to coordinate our efforts to make sure that this transition is a just transition. IndustriALL will do its best to pilot our affiliates through these changes,”

says Matthias Hartwich, IndustriALL director of mechanical engineering.