New minimum wage in Pakistan is a union win

When the government of Pakistan’s Sindh province announced an increase in minimum wage for unskilled workers from PKR17,500 (US$103) to PKR25,000 (US$146) per month as of 1 July, the Employers Federation of Pakistan,among others, submitted a petition to court, accusing the Sindh government of trying to score political points.

In return, union leaders in the province, including IndustriALL affiliates NTUF and HBWWF, filed a petition for the implementation of the minimum wage at PKR25,000 per month.

After hearings in September, the Sindh High court announced on 15 October that it upheld the government of Sindh’s decision and that the minimum wage rate be kept PKR25,000 per month.

The court further declared that female workers should be paid a minimum wage equal to male counterparts in the same category. The court fixed minimum hourly wage at PKR120 (US$0,7).

Nasir Mansoor, NTUF general secretary, said:

“If the state institutions take decisions in the light of the Pakistan’s constitution to ensure the provision of basic rights to the workers, then there is no reason why the problems of the workers could not be resolved. The provincial court’s decision reflects the needs and rights of millions of labourers in the province.”

A stronger commitment is needed for binding UN treaty

Following the conclusion of the latest round of discussions, involving governments, company representatives, unions and civil society organisations, unions are also critical of business associations for their lack of commitment to successful negotiations.

If successfully negotiated, a binding UN treaty would represent an important step in establishing the accountability of corporations in international law and would improve access to remedy for people affected by human rights violations. But to achieve that, the US and the EU must give their full support to the negotiations.

Says IndustriALL assistant general secretary Kemal Özkan:

“Covid-19 has exposed the deficiencies of unsustainable global supply chains, particularly relying on voluntary reporting mechanisms without the ability to ensure the respect for workers’ rights. The world needs binding and enforceable instruments to protect from human rights abuses and a UN Treaty on Business and Human Rights is critical. All governments, particularly in the EU and the US, must make a serious engagement. If not now, when?”

The unions, including the ITUC, ITF, BWI, EI, IndustriALL, UNI, ITF and PSI, have engaged in the process to develop a business and human rights treaty by calling for:

Caterpillar global union network reinforces global solidarity

On 3 November, around 50 trade union representatives from Australia, Japan, Europe, Brazil and the USA met as part of the Caterpillar global union network. The US giant has a history of anti-union, anti-worker and anti-dialogue behaviour at its operations all over the world. At the same time, the global union network is becoming more and more mature and ready to counterweigh the company’s attitude by extending solidarity to colleagues in countries affected by management decisions in the USA.

 

"Caterpillar treats its employees with disrespect, in the USA, in Germany, worldwide. But we will fight back and the Caterpillar network will raise workers' voices and make sure they are heard. Solidarity will prevail and the company will pay a high price in the end if they continue to avoid dialogue,”

said Matthias Hartwich, IndustriALL director for mechanical engineering.

Participants discussed collective bargaining and working conditions in the different countries, where varying attitudes by management was of particular interest. For example Japanese management behaves more civilized than management in Germany. Also, the different systems of special gratifications like bonuses or primes were discussed and compared. Participants agreed to share bargaining demands and results on a platform.
Caterpillar, like many other companies in the sector, are experiencing a huge demand and good production numbers.

But largely driven by short-term profit expectations, corporate management makes decisions that are difficult to make sense of; Caterpillar has decided to close four production sites in Northern Germany where ship’s engines and energy generating equipment is designed and produced, although this market is promising. And management in the USA announced the decision in a 7-minute online meeting without any information or consultation with the union, slashing 950 jobs at Caterpillar, in addition to several thousand at suppliers and subcontractors.

IndustriALL affiliate IG Metall has launched a campaign to fight for the jobs, engaging in politicians, supplier companies and customers in discussions and holding demonstrations. And the network extended its solidarity to the German workers and will continue to support their struggle.

IndustriALL assistant general secretary Kemal Özkan said:

“Caterpillar continues to display the worst kind of corporate greed. Every year, we have cases where hundreds of jobs are threatened. Last year it was Northern Ireland, this year it is Germany. Our German sisters and brother from IG Metall are fighting for their dignity, jobs and future. Our global union network continues to show solidarity; the fight in Germany is also the fight of all. The struggle continues!”

John Deere global union network discusses future of social dialogue

10,000 workers at John Deere plants in the USA have been on strike since mid-October. The strike, the first in 35 years, was launched when John Deere offered a below inflation pay deal that amounted to a US$1 per hour wage increase for most workers, and eliminated pensions for new hires, at a time when the world’s largest farm equipment company is making record profits.  
 
In his opening statement, Chuck Browning, vice president of US affiliate UAW, stressed the importance of the solidarity and support from IndustriALL, Brazil and the European Works Council (EWC) for the striking workers.

 

“UAW John Deere members have worked through the pandemic after the company deemed them essential, to produce the equipment that feeds America, builds America and powers the American economy. As a company, John Deere is doing well and workers want their share, not only in the US, but also elsewhere around the world.”

 

“This network shows what networking in multinational companies mean – exchange, support and solidarity among workers in different countries. Not stabbing your brothers and sisters in the back by taking over work that is meant to be done where a strike is going on,”

said Matthias Hartwich, IndustriALL mechanical engineering director.

“A successful company like John Deere must treat its workers with respect. We are living in a changing world – and employers need to understand that they depend on a skilled workforce. Digitalization and "greening" mechanical engineering are challenges that will only be successful if the workforce is taken onboard."

The network also discussed collective bargaining around the world, and also the new structure within the EWC. The network agreed to keep all members informed about developments by exchanging information over economic developments and collective bargaining also in the future.

 

IndustriALL assistant general secretary Kemal Özkan said:

“Our Deere and the Company perfectly functions as an efficient solidarity machine. Network participants have shown a great example in supporting their sisters and brothers in their rightful struggle. The company has to listen the voice of its organized workforce. Respect fundamental labor and trade union rights and recognition of collective voice of workers and their unions are the basis for a meaningful dialogue.”

Algeria: Release jailed unionist Ramzi Dardar

For many years, independent trade unions in Algeria demanding rights and recognition have faced repression, which has now intensified with the emergence of the mass movement for democracy, the Hirak. Mass dismissals of union leaders and members, union offices closed and sealed by the police, harassment and imprisonment make up the ongoing repression which has entered a new and dangerous phase.

On 30 June, Algerian police arrested trade union leader Ramzi Dardar, an auto mechanic and elected leader of the Union Algérienne des Industries (UAI), which represents informal industrial sector workers and is affiliated to the independent confederation COSYFOP. Dardar is accused of terrorism and of undermining the morale of the army and national unity through his publications on social networks.

Global unions IndustriALL, PSI and IUF called on the ILO to intervene and demand that the government releases Dardar and drops all charges against him. The Algerian government responded by transferring Dardar to a prison block for death row inmates. A trial date has yet to be set. Alarming reports indicate that his physical and mental health are deteriorating.

Please sign and share the LabourStart campaign calling on the Algerian government to immediately and unconditionally release Ramzi Dardar and fully respect the trade union and democratic rights set out in international standards, including ILO Conventions.

IndustriALL’s third Congress passed a resolution condemning the repression of free trade unions in Algeria, and calling for the release of all pro-democracy activists, in particular trade unionist Ramzi Dardar.

The resolution, which was passed, says:

Christine Olivier

Christine Olivier was elected as Assistant General Secretary of IndustriALL Global Union at its 3rd Congress on 14-15 September 2021. 

Christine Olivier is from Atlantis, in the Western Cape province of South Africa. She started working at an electronic factory in 1987 and worked there until it closed in 2015. In the late 1990s, Christine was elected shopsteward at the plant, then became chairperson of the local union branch and in 2003 deputy chairperson of NUMSA Western Cape. Christine became the first woman regional chairperson in NUMSA when she was elected chairperson of NUMSA Western Cape in 2005.

During her trade union career, Christine has also held the positions as COSATU Western Cape Provincial Office Bearer – Treasurer and NUMSA National Gender Chairperson. Between 2008-2013, Christine was 2nd Deputy President of NUMSA, and 1st Deputy President between 2013 and 2016. 

For many years, international relations have been central to Christine’s work, and she is a former Executive Committee member of IndustriALL and has also served as co-chair of IndustriALL’s Women’s Committee and of IndustriALL’s Automotive Committee. 

Since 2017, Christine has worked as NUMSA’s international officer. 

Just Transition declaration adopted at COP26

The Declaration was signed by countries in the Global North with the economic weight to make it a reality, including the US, Canada, UK, the European Commission and a number of individual European countries. Wealthy countries have pledged funding for climate change mitigation and decarbonization efforts in poorer countries, and this funding will now be subject to the Just Transition principle

They will also apply the principles of the Declaration in their domestic Just Transition plans.

The text of the declaration was prepared in close collaboration between the UK government’s Just Transition lead, the ITUC, IndustriALL Global Union and IndustriAll Europe.

The Declaration builds on the Paris Agreement, the International Labour Organization’s  (ILO) Guidelines for a Just Transition, and the Silesia Declaration that was adapted at COP24 in Katowice, Poland.

It recognizes that the effects of climate change and of decarbonizing the economy will fall disproportionately on those in poverty or insecure work, those in carbon-intensive industries, and those in fossil-fuel dependent countries, and that it risks exacerbating gender, racial, age and other inequalities. It aims to ensure that no one is left behind as the world transitions to a climate-friendly economy.

The principles of the Declaration are:

IndustriALL assistant general seceatry Kemal Özkan said:

“All the parties are talking about Just Transition at this COP. This is alone huge victory for us, and it shows our interventions have broken through. But there has always been a struggle over definitions, to make sure we are talking about the same thing. There has also been a lack of detail about how Just Transition will be carried out in practice.

“This Declaration sets a very important precedent. Unions in every country should disseminate it widely and ensure that their governments, companies and other stakeholders understand its contents, and lobby hard to ensure that these principles, as well as the ILO Guidelines, are adhered to.”

IndustriAll Europe deputy general secretary, Judith Kirton-Darling added:

“We are not simply talking about another declaration. We are talking about clear commitments by governments to effective social dialogue with workers and about governments accepting responsibility and accountability for the implementation of Just Transition principles within the reporting process of the Paris Agreement. Unions have high expectations towards these governments and request to be fully involved.”

The Declaration follows intensive lobbying by the labour movement over many years. Last week, IndustriALL Global and industriAll Europe launched a joint declaration, calling on governments to go beyond words on paper and implement a Just Transition with concrete measures with respect for social dialogue and workers’ participation.

Participants at a COP26 Just Transition meeting at the office of Unite the Union

At COP26 this week, unions held a number of side events to promote Just Transition initiatives. At Energy Day on 4 November, the parties announced a decarbonization partnership worth $8.5 billion for the South African energy sector that was cautiously welcomed by unions. Unions will watch developments in South Africa closely, as it provides a good test case for a large scale, international Just Transition process.

IndustriALL Global and industriAll Europe are looking forward to discussing Just Transition further at their joint side event in the EU Pavilion on coming up on Wednesday, 10 November with unions, employers, politicians and the European Commission.

Unions uneasy over South African Just Transition finance deal announced at COP26

However, they say that the multilateral Just Energy Transition partnership agreement announced by United States' President Joe Biden at COP26 on 2 November, lacks details on how the energy transition will happen. The partnership worth US$8.5 billion aims to assist South African plans to close coal mines earlier and move to renewable energy sources.

The partnership, which will provide funds for the energy transition from carbon intensive coal to low carbon renewable energy sources that include solar and wind, was signed by the governments of South Africa and France, Germany, United Kingdom, US, and the European Union. It will be implemented over three to five years. The agreement is the first of its kind and a possible model for other developing countries.

South African president Cyril Ramaphosa described the partnership, which is made up of concessional finance, as a “watershed moment” that will increase the country’s energy security by “creating jobs and harnessing new opportunities for investment, with support from developed economies.”
 
“Climate change is an existential challenge that confronts us all and South Africa is committed to playing its part in reducing global emissions” he said, adding that there will be investments in electrical vehicle manufacturing and green hydrogen.

According to the government, the agreement will benefit coal miners and communities. Unions say over 100,000 coal miners will lose jobs. Another 100,000 people in the communities, who make a living from the coal value chain, will need compensation when the mines are closed. Studies estimate that the just transition cost for coal mineworkers will include compensation, retraining, relocation and rehabilitation of communities and other costs related to regional economic development.

The partnership is also expected to provide funds to power utility Eskom for the decommissioning of coal-fired power stations that are concentrated in the Mpumalanga Province. South Africa is the world’s 12th highest polluter and the highest in Africa.

Irvin Jim, NUMSA general secretary says:

“We are concerned that this announcement will accelerate a rush to close coal fired power stations before a viable solution for a consistent energy supply is found. Currently renewable energy cannot meet the needs of industry. If there is to be a transition, the government must deliver a social plan to develop provinces and regions that will be affected, with specific pathways on how to replace jobs and industries.”

 

“While funding the transition is key, the process followed is more important to the union. The union needs assurance that workers and working-class communities will not be negatively affected. Presently, it is not clear what this money will be used for, under what conditions it will be accessed, and if a significant part of it will be used to protect workers and communities. The unions remain uneasy about the deal,”

says William Mabapa, National Union of Mineworkers (NUM) acting general secretary.

The country’s energy transition policies include the nationally determined contributions (NDCs) that are part of the Paris Agreement. Additionally, the Integrated Resource Plan (2019-2030) outlines how coal will be replaced by renewable energy and gas sources.

Diana Junquera Curiel, the IndustriALL director for the energy industry says:

“This is an important partnership because climate change mitigation needs global cooperation especially between the developed and developing countries. Further, the South African government must further engage with trade unions and negotiate with them to protect the interests of the workers and communities. This can be done through a detailed Just Transition plan which stipulates on fair compensation, training and other benefits for workers, and communities.”

No return on copper for BHP workers in Chile

On 26 October, Chilean BHP unions came together in an online workshop organized by IndustriALL Global Union to explore issues of human rights due diligence in global supply chains, as well as occupational health and safety.

According to IndustriALL mining director Glen Mpufane, copper is the most critical metal for global economies and is much in demand for the energy transition.

“As a result, BHP shareholders enjoy attractive returns, but what are the returns for workers, communities, and the country as a whole,”

asked Mpufane.

According to BHP unions, the only way to seek redress for rights violations is through the courts. This approach fails to consider human rights’ due diligence mechanisms, like the UN Guiding Principles and the OECD Guidelines for Multinational Enterprises, which provide a blueprint for responsible business conduct.

“These mechanisms should be used to the full to hold BHP to account. Environmental, social and governance issues are today seen as the biggest risk to the mining industry. BHP can no longer evade these issues. It must show respect for workers, communities, and the country as a whole,”

said Mpufane.

The workshop, which was organized as part of an FES project, also addressed the issue of health and safety and the campaign for the ratification of ILO C176 on health and safety in mines.

Industriall is conducting a global campaign against BHP against a background of a constant rebuttal of calls by workers for BHP to enter into social dialogue with IndustriALL to address its poor record of ill treatment of workers, communities and environmental degradation across its global operations. 

Electrolux workers reach agreements in Chile and Mexico

In Chile, workers from unions 1 and 2 at Compañía Tecno Industrial (CTI S.A.), owned by Swedish multinational Electrolux, have brought an end to their long fight for the right to collective bargaining.

In a ruling on 14 June, the Santiago employment court unanimously rejected the company's initial proposal, which was simply to maintain the bargaining floor and pay a termination bonus and an additional union contribution. In the ruling, the court expressed its disappointment that it had taken seven months for Electrolux to deliver such a weak proposal, which was also rejected because the multinational had failed to comply with the original collective bargaining deadlines.

Even though company management and the union are still at loggerheads, workers decided to come to an agreement with Electrolux because the process was dragging on and the costs of the legal battle were mounting.

On 26 October in Mexico, a settlement was reached with the six dismissed workers who had refused to accept voluntary resignation and had taken the case to court. This was after 18 months and many meetings between Electrolux management in Sweden and the USA, IndustriALL, and Swedish union Unionen on behalf of the works council. The workers had not received any compensation for their unfair dismissal from Electrolux's plant in Ciudad Juárez in April 2020.

However, Electrolux did not offer the workers full compensation for their unfair dismissal or agree to pay the wages due since the dismissal date. Even though they did not obtain everything they had asked for, the workers signed the agreement in order to at last bring an end to the situation and avoid spending another year in the courts. The six workers received their compensation cheques on 29 October.

"We are happy that settlements have been reached in both cases. We will continue our dialogue with the Swedish unions and Electrolux and seek ways to improve dialogue and  working conditions through our global framework agreement,"

said IndustriALL assistant general secretary Kan Matsuzaki.