Just Transition and oil and gas – what it means for workers

In December 2020, before Europe’s current energy crisis, the Danish government passed a binding law for climate neutrality by 2050. The law includes phasing out oil and gas extraction with Just Transition measures and cancelling the current licensing round.

According to Oliver Warwick from Danish union confederation FH, unions welcomed the government’s ambitious goals with one exception; the cancellation of the last round of licensing, which would not impact climate goals, but which would have a negative impact on workers.

At the North Sea Summit in 2022 in Denmark, leaders from Germany, Belgium, the Netherlands announced a common aim of a fourfold increase of offshore wind capacity by 2030, and tenfold by 2050.

“This much investment in renewable energy requires significant investment in training and reskilling. The social partners have created an offshore academy where trade unions and companies make sure that the skills of workers match the skills needed in the new industry,” Warwick said.

Anya Kartoffel from ver.di in Germany explained that German unions have been heavily involved in and supportive of the country’s plan to phase out coal. However, with the current crisis and the country’s dependance on oil and gas imported from Russia, there are challenges to phase-out coal according to the original timeline.

Although facing the same crisis as the rest of Europe, France’s electricity is decarbonized due to nuclear power generation.

“We need to invest in efficient energy consumption, and companies involved in energy transition need to invest in training a skilled workforce for the transition,”

said Christophe Beginet from CFDT France.

Netherlands’ national center FNV supports government climate policies but insists on the creation of coal funds to support transitioning workers. FNV is working on influencing Dutch pension funds to divest from fossil industries and instead invest in more sustainable industries. Together with the government and businesses, unions are working on a responsible business conduct platform for the renewable energy sector.

In the Americas, a more hopeful picture for unions is emerging. The Inflation Reduction Act in the US aims to create clean energy jobs, drive investment in renewable energy, revitalize the manufacturing sector and lower health care costs. The act is projected to create 1.5 million jobs in construction and manufacturing sectors.

“This is the first time we have had anything that looks like industrial policy in the US, much less one that is climate and energy oriented,”

said Brad Markell from AFL-CIO.

“This is a positive development, although there are still concerns around the transition itself. Increases in clean energy will bring reductions in the use of coal and oil, and internal combustion vehicles. But when it comes to workers in these industries there are still no provisions for them. The act has its limitations and unions will continue to fight for those workers.”

Markell concluded.

Daniel Gaio from CUT, Brazil, gave an update on the upcoming elections and the commitments of former President Lula to more action on climate change and Just Transition.

“The Bolsonaro government has been terrible for the environment and for workers. They cancelled investments in renewables by Brazil’s state-owned oil and gas company Petrobras, depriving the state of a key tool to drive Just Transition. Privatization and increased use of contract workers at Petrobras have resulted in job losses, as well as making jobs worse. But we have high hopes for a potential Lula government,”

said Daniel.

Canadian unions have fought for a national Just Transition law, expected late this year or early 2023. According to Tara Peel from the Canadian Labour Congress, the main lesson from Canada’s Just Transition task force on phasing out coal is that unions must have more than an advisory role.

“We need to be at the table making decisions and that is the demand of the Canadian Labour Congress and its affiliates.”

Sari Saarinen from Canadian Unifor said that real action is needed that workers and communities need to be a part of the transition to ensure good paying jobs for their communities.

“That's the real challenge and what's missing is having industrial and sectoral policies and training to provide the skills for the next generation of workers. This is a key role that both federal and provincial governments need to take on,"

said Saarinen.

This Just Transition initiative, organized by the International Trade Union Confederation (ITUC), LO Norway and IndustriALL Global Union, provides unions with a global platform to exchange information on Just Transition in the oil and gas value chain.

Cambodian police harass unionists campaigning for minimum wage

As the Cambodian National Council on Minimum Wage (NCMW) kicked off tripartite negotiations on 2023’s minimum wage in August, IndustriALL Global Union affiliates FTUWKC, Coalition of Cambodian Apparel Workers Democratic Union (CCAWDU) and Collective Union of Movement of Workers (CUMW), launched a campaign to demand a minimum wage of US$215.

On 1 September, police suspended production at the Shoe Premier factory 2 in the Takeo province, ordering FTUWKC to remove campaign postings from the union’s Facebook page.

Police officers intimidated the local FTUWKC president Sao Thoeurn, demanding that she sign an agreement on not posting any more on Facebook that “can lead to problematic issues that affect society”.

“This intimidation and harassment by authorities is unacceptable. We have the right express ourselves in the nation-wide minimum wage campaign. I urge the authorities to stop harassing FTUWKC,”

says Sokny Say, FTUWKC vice president.

The war in Ukraine and the subsequent energy crisis has significantly increased the cost of living for Cambodian garment workers. With the inflation rate surging to 6.5 per cent in the first half of 2022, Cambodian unions are calling on the government to increase the minimum wage in the country’s textile and garment sector from US$194 to US$215.

“Cambodian garment workers need a minimum wage of US$215 in 2023. Profits in the sector continue to grow, and at the same the cost of living is rapidly increasing,”

says Athit Kong, CCAWDU president.

Christina Hajagos-Clausen, IndustriALL textile director, says:

“Unions in Cambodia are demanding an increase reflecting the increasing cost of living. IndustriALL supports the demand for setting the minimum wage in the textile and garment sector at US$215.
"But it is crucial that trade unionists are free to make their demands public and their freedom of expression should not be interfered with.”

Unions campaign for decent work in artisanal and small-scale mining

A union delegation that is part of an international exchange programme, witnessed the harsh conditions in artisanal and small-scale mining (ASM) when they visited some open cast mines in Tarkwa District, Ghana on 30 August and resolved to continue campaigns for better conditions.

The delegation from IndustriALL Global Union affiliates, Ghana Mine Workers Union (GMWU) and Mineworkers Union of Zambia (MUZ) was accompanied to the mining sites by members of the Ghana Small Scale Miners Association.

They visited three types of mines: those owned and operated by a company and employing about 320 workers, those belonging to a concession, and those owned by communities and supported by the government. However, at all the sites the unions saw the poor working conditions of the miners who did not even have personal protective equipment.

Kwarko Mensah Gyakari chairperson of the GMWU said:

“We continue to call upon the government of Ghana to ratify ILO Convention 176 and adopt measures from Recommendation 183 on safety and health in mines as these are important to ASM.”

”We will discuss the inclusion of artisanal small-scale miners in our constitution at the next national congress later this year. This is aimed at promoting decent work in the informal sector and building union power which are part of the objectives of the ILO Recommendation 204 on the transition from informal to formal economy,”

added George Mumba, MUZ general secretary.

Paule France Ndessomin IndustriALL regional secretary for Sub Saharan Africa said:

“We welcome the campaigns by the GMWU and MUZ for a better ASM sector. This sector can contribute to the attainment of Sustainable Development Goals especially SDG8 on decent work and economic growth. It is important for the governments to continue providing concrete support for the growth and formalization of ASM.”

The exchange visit is part of the activities of the union transformation innovative project which promotes formalization of ASM in Ghana and Zambia. The project is supported by Union to Union, Sweden.

Government and employers must ensure safe mining in Pakistan

According to IndustriALL affiliates there has been around 60 accidents in Pakistan’s mines this year, killing more than 90 workers and severely injuring around 40.

In a tripartite consultation organized with the support of IndustriALL affiliate the Australian Manufacturing and Energy Union on 18 August in Pakistan, employers, government representatives and the Pakistan Central Mines Labour Federation (PCMLF) agreed on the importance of working together for safe mining.

Participants all agreed that occupational health and safety is a top priority, and discussed the importance of safety equipment on mining sites, including rescue apparatus, adequate lighting, firefighting equipment, methane gas detection equipment, and proper ventilation system.

“Mine owners must take responsibility to ensure workers’ health and safety. They need to provide training so that work can be carried out safely, and also inform workers about the occupational hazards associated in mining. We urge the government to carry out periodic inspections of mining sites to identify lapses in safety mechanisms,”

said Sultan Khan, PCMLF general secretary.

The government’s mine inspector argued that mine owners are held accountable when not following operating procedures and are charged with a hefty fine if safety lapses are found during inspections, a statement contradicted by the unions.
Pakistani law requires one doctor and an ambulance at every mining site, but this is not implemented. As there are no hospitals or pharmacies for miles around the mines, workers are robbed of emergency care in the event of an accident.

The employers argued that workers’ negligence also cause accidents, which was refuted by unions saying that safety is management’s responsibility.

“There is a complete lack of safety protocols in Pakistan’s mining areas. Employers must invest in safety infrastructure to prevent workplace accidents. We call on the government of Pakistan to ratify the Convention 176,”

said Kemal Özkan, IndustriALL assistant general secretary.

Attendance records are often poorly kept, which not only promotes wage theft but also results in denial of compensation in case of death and/or injury.

The lack of access to drinking water or restroom facilities at work, as well as the fact that workers are paid poverty wages and are not covered by social security, were some of the other issues that were raised by union members.

Pakistani workers win wage raise after strike

Over 40,000 power loom workers in Faisalabad have been on strike since 1 August. Unions were demanding a 17 per cent wage raise for power loom workers, as mandated by the government, with effect from 1 July.

In the last month, inflation in Pakistan has reached an all-time high. The price of essential commodities, especially food, has risen sharply amid the catastrophic floods in the country. Not earning a living wage further deteriorates workers’ situation.

To secure the government-mandated wage raise, unions put up a strong fight when pressured by authorities to end the strike. Workers carried on the struggle until an agreement was signed with the employers. Striking workers in Sudhar Industrial Zone secured a raise of 15 per cent in wages, while those protesting in Ghulam Muhammadabad Industrial Zone secured a raise of 14 per cent.

Niaz Khan, general secretary of ILUCIP, says:

“This is a big victory for the workers who resisted the pressure to end the strike and fought hard. Now, unions must make sure that the agreement is effectively implemented and that workers receive the benefits outlined in the agreement.”

The agreement is valid from 1 July, with the raise applied to wages paid in June. The agreement also states that factory owners will contribute towards social security for the employees. Factory owners will also have to provide facilities to ensure workers’ health and safety.

Apoorva Kaiwar, IndustriALLSouth Asia regional secretary, says:

“IndustriALL congratulates our affiliates for standing strong and winning this fight. It’s terrible that factory owners refused to comply with the government order for a wage raise in March, forcing the unions to take direct action. The agreement is a testament to the power of a unionized workforce.”

Madagascar’s revised mining code must include workers’ and human rights

During consultative meetings on the code, the unions had presented their expectations, which included the protection of workers’ rights and the rights of women in the mining sector, improved working conditions including curbing long working hours, ensuring health and safety in the mines, and paying living wages that catered for the cost of living.

Unions want the mining code to include artisanal and small-scale mining, protection of community interests, and for mining resources to contribute to local development. Amendments to the mining code is an opportunity to adopt and domesticate the recommendations from the African Mining Vision (AMV), which argues that mineral resources can be used for economic development and industrialization.

“The unions want a mining policy framework that benefits the Malagasy people. Without a sound policy and legal framework, it is impossible for the mining sector to support sustainable development. The mining code must promote better mineral governance that benefits the Malagasy citizens and protect the environment. The AMV, to which Madagascar subscribes as an African Union member state, highlights the critical role that can be played by policies that maximize the benefits from mineral resources,”

says Remi Henri Botoudi, IndustriALL Madagascar chairperson.

20 participants from IndustriALL affiliates participated at the meeting in Antananarivo on 25-26 August

To build trade union capacity and a labour perspective on the mining code, the IndustriALL Sub Saharan Africa regional office commissioned a study by two experts Mutuso Dhliwayo, from the Zimbabwe Environmental Law Association and Toky Ravoavy, an independent consultant, to help unions develop a deeper understanding and learning of the provisions of the mining code and what it means for workers.

The experts presented their findings at the meeting after analysing the 14 chapters of the mining code and concurred on the issues raised by the unions, as well as on the critical importance of collective bargaining agreements, inclusion of civil society organizations and local communities in policy making, and the AMV. Additionally, the meeting heard that mining companies must include environmental protection in their operations.

“Madagascar is rich in minerals that can be exploited for the development of the island, and these minerals are mined by workers. The union demands for decent work guarantees in the mining code must be supported. While recognizing that mining is a male-dominated sector, it is important to stress that women miners should not be discriminated through exclusion from the mining code. The code should address women miners’ concerns including those on gender-based violence and harassment,”

says Paule France Ndessomin, the IndustriALL regional secretary for Sub Saharan Africa.

20 participants from IndustriALL Global Union affiliates, Federation des Syndicats Travailleurs des Entreprises Franches et Textiles (FISEMA/SEMPIZOF), and Sendika Kristanina Malagasy (SEKRIMA), and Syndicalisme et Vie des Societes (SVS) attended the meeting in Antananarivo on 25-26 August, which was held with support from ACV-BIE Belgium. The regional office study was conducted in cooperation with Union to Union, Sweden.

Asia Pacific cement unions focus on organizing and gender equality

During a regional, virtual workshop on 26 August, 30 participants from the cement industry in Indonesia, Japan, Philippines and Thailand discussed challenges faced by cement workers in the South East Asia region.

Overcapacity remains a major problem in the cement sector worldwide. With the war in Ukraine there are other challenges too, like high energy costs which a significant impact on the sector.

Prices for coal used in clinker production in South East Asia soared from US$20-30 to more than US$400 per ton, forcing companies to look for alternative fuel. While sustainable alternatives to coal to reduce emissions and costs exist, their impact on workers’ and nearby communities is not always known and requires union involvement.

Participants shared experiences over the increasing cases of employers using outsourced workers to replace permanent workers when they retire.

“Organizing precarious workers is a must. At the moment, most of the cement workers are outsourced workers with no job security, They are afraid to join the union due to intimidation. The union busting at PT Conch South Kalimantan Cement, subsidiary of Chinese MNC Anhui Conch Cement, has a chilling effect,”

said Agus Sarjanto, general secretary of Federation of Indonesian Cement Workers' Union.

They also raised the issue of gender inclusivity in the cement sector.

The Japanese Taiheiyo Cement Labor Union said that in 2013, the employer and the union set a goal to achieve gender equality. The company wants women to make up 30 percent of the workforce, and has increased the number of female managers to nine.

“We have conducted trainings on sexual harassment at the workplace. Women-only facilities, like rest rooms, changing rooms, bathrooms and pantries, have been set up to ensure a women-friendly working environment,”

said Akira Furutani, president of Taiheiyo Cement Labor Union.
The global energy crisis has driven cement companies to increase the use of alternative fuel and raw materials (AFR) by 20-30 percent. Using waste is the major AFR in the region.

“We are satisfied by the expansion of the network. Our Japanese colleagues joined us for the first time and shared their encouraging experience of gender issues. IndustriALL will continue to assist cement affiliates in developing a sustainable industrial policy in the region. We will closely follow the cement oversupply in Indonesia. We welcome the decision of union merger in Thailand, and further development of collective bargaining in the Philippines.

“The cement industry is going through significant changes and we must campaign for a Just Transition, supporting workers’ transition to new decent green jobs through social dialogue and stakeholder engagement with economic strategies of sustainable development based on due diligence applied throughout the entire supply chain of cement industry,”

said Alexander Ivanou, IndustriALL materials director.

South Asian shipbreaking workers prepare for recycling boom

Participants at a regional shipbreaking meeting held in Kathmandu, Nepal, on 24 and 25 August, discussed the implications of an expected boom in demand for shipbreaking over the coming decade. The meeting was part of a project, supported by the Dutch trade union confederation FNV, to support organizing campaigns in shipbreaking yards. Shipbreaking is considered one of the most dangerous jobs in the world, and the project seeks to improve conditions by organizing unions.

About 20 participants from five IndustriALL Global Union affiliates participated: ASSRGWA and SEWA from the Alang shipyards and Bhavnagar downstream industry in India, NTUF from the Gadani yards in Pakistan, and BMCGTWF and BMF from Chittagong in Bangladesh.

The shipbreaking industry will undergo dramatic changes in the near future. The Hong Kong Convention for the Safe and Environmentally Sound Recycling of Ships (HKC) is expected to be ratified by Bangladesh next year, a huge step forward to fulfilling requirements for its entry into force.

Shipyards will then have two years to upgrade their facilities to meet HKC standards, involving significant overhauls to the yards. Demand for shipbreaking is expected to grow substantially during this period, due to a number of factors, including a growth in the world commercial fleet. As these ships approach the end of their operational lifespan, the need for recycling will increase. The shift to new fuels and new technologies, as well as legal requirements around carbon emissions, mean that the expected lifespan of a ship is getting shorter.

The growth in demand, combined with the need to meet HKC standards, is expected to create a crunch for the industry, with a lack of capacity to meet demand. This will raise the cost of shipbreaking, and shipyards will need to make significant investments to upgrade their facilities. This is likely to result in attempts to cut corners or find loopholes, and union vigilance will be essential to ensure yards comply with safety and environmental standards.

Meeting participants discussed the safety record of the shipyards, and drafted plans to reduce accidents through an active union presence. They also mapped social security systems in the different countries, including old age, unemployment and illness cover, to identify gaps and make plans to ensure that workers get the best coverage possible.

The unions will focus on increasing density and using collective bargaining to improve conditions.

IndustriALL industry director Walton Pantland said:

“The greening of shipbreaking yards in South Asia is an an opportunity to put Just Transition principles into practice: taking dangerous and dirty jobs, and investing to turn them into safe, green jobs. There is also an opportunity to develop a significant downstream recycling industry. This will only succeed if unions are involved in the implementation process.
“The shipyards of South Asia, and their downstream recycling industry, can provide thousands of quality, green, unionized jobs.”

Workers in South Africa strike for living wages

According to Statistics South Africa, annual inflation reached a 13-year high at 7.8 per cent in July and the prices of food, electricity, fuels, and medicine have gone up. Average households need about R5000 (US$294) for food. Unions says the national minimum wage of R3500 (US$206) needs review, and that the government should introduce a basic income grant of R1500 (US$88) to reduce financial pressure on workers who look after unemployed family members.

Unions are concerned by the high unemployment levels at 34.4 per cent, while the extended rate that includes discouraged job seekers is 44.4 per cent. According to official figures, seven million people are unemployed.

The strike, in which civil society and community-based organizations participated, was organized by the Congress of South African Trade Unions (COSATU) and the South African Federation of Trade Unions (SAFTU), to which IndustriALL Global Union affiliates also belong.

A miner from the National Union of Mineworkers, who marches in Pretoria, said:

“The union movement is exercising the right to protest and calling upon the government to address socio-economic issues. We want this strike to make an impact so that workers’ demands are addressed, and action taken towards improving livelihoods for workers and their families.’’

“We are striking to defend our rights to living wages as we do not have enough money to pay for our daily expenses. Unemployment is high, and our wages are not enough to cover the basics. Through this strike we are hoping that the government will get the message and act on our grievances,’’

added a garment worker from the Southern African Clothing and Textile Workers Union (SACTWU).

Paule France Ndessomin, IndustriALL regional secretary for Sub Saharan Africa, said:

“South African workers are feeling squeezed by the increasing cost of living, yet wages are not catching up. Hence unions are calling for above inflation increases to improve wages as seen in the recent wage negotiations in most industrial sectors. We support this strike and the continuation of social dialogue to create jobs and reduce the high unemployment, especially among young people.”

Unions in India protest changes in labour laws

The demonstrations were held ahead of a meeting with all of India’s labour ministers in the state of Andhra Pradesh, where Visakhapatnam is located. The meeting is to discuss the formulation and implementation of rules under the labour laws.

Since the new labour laws were announced, workers across India staged several demonstrations, opposing the government’s move to consolidate 44 labour laws into four labour codes. Trade unions view the changes in labour legislation as an attempt to undo the struggle of the workers’ movement that fought hard to win the rights that were enshrined in the earlier laws.

Sanjay Vadhavkar, executive committee member of IndustriALL and general secretary of Steel, Metal & Engineering Workers’ Federation of India (SMEFI), says:

“The current government has shown complete disregard for workers’ rights. The changes in the labour laws coupled with the increasing privatisation of public sector undertakings are going to exacerbate precarious employment and unsafe working conditions. We have no choice but to continue our struggle.”

In May, IndustriALL affiliates, SMEFI and the Indian National Steel, Metal, Metalmines and Engineering Employees’ Federation (INSMMEEF), staged a demonstration at the Vishakapatnam steel plant, opposing its privatization. An estimated 100,000 people who depend on the plant either directly or indirectly will be impacted by the privatisation.