General Motors India illegally retrench 1,086 workers

General Motors India workers refused to accept the VSS offer it was forced upon them by the company. The workers are represented by the General Motors India Employees Union, which is a constituent of IndustriALL Global Union affiliate Shramik Ekta Mahasangh (SEM). 

Earlier, the company set a 4 July deadline for accepting the VSS and about 30 percent of the total workforce accepted this plan. Union members reported that for the most part, workers who transferred after the closure of GM’s Halol plant in Gujarat in 2017 and relocated to the Pune plant accepted the VSS offer. On July 12, the company retrenched 1,086 workers who had not accepted the VSS, unliterally paying meagre compensation directly into their bank accounts and calling it a full and final settlement. No prior permission of the State Government, as mandated by Indian law, was taken prior to the action, making it illegal.

The union has challenged the company’s decision at the Maharashtra Industrial Court on July 15 and called on the court to issue a stay order for retrenchment and the sale of the factory. On the next day, the court held an urgent hearing and the management committed not to proceed with the sales process until 3 August, by which time it will file a formal reply. GM management has stopped production at the Pune plant since December 2020.

Dilip Pawar, president of SEM said,

“The GM workers in India are facing very difficult situation due to the illegal retrenchment done with the intention to force workers to accept lower compensation. We have been demanding the General Motors management to provide appropriate separation compensation or continue employment with the prospective buyer of this plant. These workers spent most part of their working life to this company, and they are demanding a dignified resolution. The GM India workers will pursue all legal means to get justice”.

Apoorva Kaiwar, IndustriALL South Asia regional secretary said that,

“The ongoing industrial dispute at the General Motors Talegaon plant is very worrisome. The issues should have been discussed with the union before any such action was taken. Such unilateral decisions go against established principles of industrial relations  and the management should find mutually acceptable solution in consultation with the trade unions.”

Indian auto workers face growing precarity and industrial relations crisis

The meeting assessed technological transformation in the automobile industry and the impact of the Covid-19 pandemic on workers’ rights. The Indian automobile industry faced a double blow as poor economic growth was already affecting industry sales before the sharp increase in Covid-19 cases when the second wave hit India in April and May 2021. While the general lockdown was observed by provincial governments, many manufacturers were allowed to operate, and tier one suppliers operated their factories.

Continuing to work regularly at automobile plants risked workers’ lives and many workers suffered infections. In many auto plants, workers launched protests to call for shutdowns and improved Covid-19 safety measures on the shop floor. Many companies used the pandemic to deny wage increases agreed in the collective bargaining agreement. Some companies reduced workers’ wages, claiming that the company is facing losses.

A large number of contract workers, apprentices and trainees were relieved from work and not paid their wages for the days when companies were closed due to the pandemic. Many lost their jobs and returned to their home towns. When companies resumed work after lockdown, they retrenched contract workers who had worked in the company for a long time and hired new, young contract workers on low wages. The National Employability Enhancement Mission (NEEM) is used as a pretext to use students for cheap labour in the auto industries. Auto companies across the country have almost stopped recruiting regular employees. 

Georg Leutert, IndustriALL automotive director, said:

“The technological transformation towards building emission-free battery run, autonomous and connected vehicles in the automobile industry across the world is happening rapidly. The trends suggest that auto workers will face imminent threats of job losses in the near future. The pandemic seem to have accelerated this process with implications for workers’ rights. It is important that unions prepare for this transition, build international solidarity and strengthen union power to defend workers’ rights.”

Apoorva Kaiwar, IndustriALL South Asia regional secretary, said:

“During the pandemic health and safety has become a key area of concern for auto unions in India. Covid-appropriate standard operating procedures should be followed to safeguard workers. The economic slowdown has already affected industry deeply. The government and employers should ensure that the negative impacts of the economy and the pandemic are not used as excuse to trampling upon workers’ rights. Trade unions need to work together and evolve collective strategies.”

The meeting saw participation from IndustriALL affiliate union representatives of Bosch, TATA motors, Ashok Leyland, Tenneco, SEG and other automotive first tier suppliers. 

Picture: Tata Nano factory. CC El Auto Perfecto

Striking Myanmar miners hurt military revenue

The miners’ strike has taken a toll on Myanmar’s copper exports. In February, copper exports to China fell 55 percent on a year-on-year basis. While the copper exports to China increased to 37.6 percent in March, markets believe that the Chinese-owned multinational mining company Wanbao Mining Copper was selling its inventory.

The striking miners are affiliated to IndustriALL Global Union through the Mining Workers’ Federation of Myanmar (MWFM). They work at Wanbao Mining Copper, Myanmar Yang Tse Copper, Sinohydro Power China and Pay Pauk Aukshin.

Both Wanbao Mining Copper and Myanmar Yang Tse have a revenue-sharing agreement with the military-owned Myanmar Economic Holdings Limited (MEHL). The US state department has recently included the two companies in its sanctions list.

The two companies are part of the huge conglomerate network of China’s North Industries Group Corporation (NORINCO), a state-owned manufacturer of military equipment for the People’s Liberation Army.

Maung Maung, the president of the Confederation of Trade Unions in Myanmar (CTUM) says:

“The miners’ strike has effectively cut off part of the military regime’s revenue. I urge the international community to support the struggle of the 4,800 brave miners. Their resistance is very much dependent on undivided international solidarity.”

Valter Sanches, the general secretary of IndustriALL, says :

“This long-lasting strike is a clear demonstration that the mineworkers represented by MWFM won’t allow the illegitimate military government to use the revenues from exports of minerals to crack down on the Burmese people carrying out the civil disobedience movement. We commend the bravery of the sisters and brothers from MWFM and will continue to mobilize international solidarity until the Burmese people restore democracy in the country.”

Myanmar military general Min Aung Hlaing staged a coup on 1 February, which sparked a strong wave of civil disobedience in the South East Asian country. The military ruthlessly repressed the movement, killing 931 people, including  MWFM member Chan Myae Kyaw.

IndustriALL has called on multinational companies and brands to ensure respect for human and labour rights in their supply chains in Myanmar, mobilizing IndustriALL members to contribute to a global strike fund and working with other global unions to challenge the legitimacy of the military regime at the International Labour Organization.

The labour movement of Myanmar is calling for comprehensive economic sanctions and a boycott of the country to starve the regime of resources.

Myanmar trade unions call for comprehensive economic sanctions

Interview with Khaing Zar

“There are no trade union rights without political freedom”, explained union leader Khaing Zar, president of IndustriALL Global Union affiliate the Industrial Workers Federation of Myanmar (IWFM), and an executive committee member of the CTUM.

“Our unions cannot operate. Many of our leaders have been arrested or are in hiding after arrest warrants were issued. Collective bargaining agreements have been cancelled, and employers are passing the names, pictures and personal information of trade union members to the military. Employers use the situation to get rid of permanent workers and employ casual workers at less than the minimum wage, in unsafe factories with no Covid protections.

“Global brands investing in Myanmar have not acted enough to protect workers. Workers’ lives will not improve until we remove this regime. To do this, we need to cut off all their access to resources. If they have no money, they cannot buy arms to shoot people, and they will lose control.”

The CTUM initially issued the boycott call in a May Day message to the international trade union movement, calling for support to “starve and drive out the regime”.

Global unions challenged the legitimacy of the military regime at the International Labour Conference, and in June the ILO adopted a resolution calling for a return to democracy. IndustriALL affiliates participated in a number of solidarity actions and the executive committee adopted a solidarity resolution in April.

Myanmar adopted a new constitution in 2009 and had a civilian government from 2012 until the military coup on 1 February 2021. Under civilian rule, despite serious challenges, unions made significant progress. The CTUM negotiated through tripartite social dialogue structures, and won significant improvements in the minimum wage and working hours.

In November 2019, the IWFM and IndustriALL negotiated freedom of association guidelines that were endorsed by ACT member brands, covering 200 factories and 130,000 workers. This provision has been extremely useful for the IWFM’s organizing and making employers respect the right to peacefully demonstrate.

The military staged a coup on 1 February, claiming electoral fraud and arresting the president, party officials and other public figures. This provoked massive resistance, with a civil disobedience movement effectively shutting the country down. The military responded with brutal oppression. More than 900 people have been killed, over 10,000 have been arrested, and many more are in hiding. About 250,000 people have been internally displaced. As the pandemic has spread, the military has monopolized oxygen supplies, creating a health crisis.

The trade union movement in Myanmar believes that a combination of internal resistance and external solidarity and pressure is necessary to remove the regime. The international community must isolate the regime, end diplomatic and business relationships, and recognize the National Unity Government as the legitimate representative of the people of Myanmar.

IndustriALL general secretary Valter Sanches said:

“The spirit and actions of the people of Myanmar, who are risking their lives daily to overthrow the military dictatorship, are inspiring. To win this fight, the demands of the Myanmar trade unions need to be taken seriously and implemented internationally.

“The military dictatorship must be removed from UN bodies and the international community, as it was at the latest ILC, and the National Unity Government must be recognized. This must be implemented immediately, at the upcoming UN General Assembly, by all international governments that respect democracy and basic human and trade union rights.

“It is also crucial to cut off the dictatorship’s revenue stream to through comprehensive sanctions.

“We will continue to promote solidarity action, along with our affiliates and the global unions, until the people of Myanmar restore democracy and respect for human rights in the country.”

IndustriALL holds successful test event for online Congress

Congress was initially scheduled to be held in Cape Town, South Africa, in 2020, but was postponed due to the Covid-19 pandemic. The test event was held in a studio at Palexpo, at Geneva airport, whith remote participation.

IndustriALL general secretary Valter Sanches said:

“The pandemic has propelled trade unions into the future, forcing them to adopt online systems for holding meetings and conducting business. This has been a huge culture shift for our movement. It has been difficult, but one positive aspect is that we have greatly increased participation. Our meetings are more transparent, more accessible and more representative.

“We have helped our affiliates expand their digital capacity, and we’ve been working to develop a number of innovative systems to ensure that participants in our Congress have the best possible experience. We’re using technology that will allow union delegates to vote in our decision-making processes, and feel part of our great movement from wherever they are in the world.

“This is going to be a dynamic Congress that will shape the future of this powerful organization at a time when the union voice is needed more than ever. We look forward to welcoming you.”

Here are some social media posts that provide a teaser:

Kenya unions support proposals for unemployment insurance fund

The proposed fund, which will become operational in 2022, will also benefit workers who have lost their jobs because of the Covid-19 pandemic. According to the Kenya Bureau of Statistics over 1.7 million jobs were lost at the beginning of the pandemic last year.

The fund, which will be under the department of social protection of the Ministry of Labour and Social Protection, will pay workers part of their wages for up to six months in the event of retrenchment. Kenya is also implementing cash transfer schemes for poverty alleviation.

According to reports, the fund will be like South Africa’s Covid-19 Temporary Employer/Employee Relief Scheme (TERS) which has so far paid over $4 billion to workers whose jobs were affected by the Covid-19 pandemic. TERS is part of the Unemployment Insurance Fund in which workers and employers contribute. Workers can claim benefits from the fund when they lose jobs. In addition to UIF, South Africa provides universal old age and disability pensions, and child grants.

Social protection policies benefit workers who in most cases provide not only for their own families but for relatives as well. Social protection, which includes income security, has been identified as one of the strategies to attain the United Nations Sustainable Development Goals.

Rose Omamo, Amalgamated Union of Kenya Metalworkers general secretary says:

“Unions have long fought for income security and unemployment benefits for retrenched workers. We support the setting up of the unemployment insurance fund and will continue to engage the government in the negotiations towards the launch of the fund. We have made demands for such schemes through collective bargaining and in social dialogues platforms that we are involved in as labour.”

 “Income security is important in the context of the Covid-19 pandemic that has caused massive job losses. Millions of workers have lost jobs in Kenya and other African countries. With limited income security because of low wages and inadequate basic healthcare, most of the workers are forced into poverty as they fail to provide for their livelihoods. In this respect, the proposals to introduce an unemployment fund will provide some much-needed income security to the retrenched workers,” says Paule France Ndessomin, IndustriALL regional secretary for Sub Saharan Africa.

IndustriALL affiliates in Kenya are the Amalgamated Union of Kenya Metalworkers, Kenya Engineering Workers Union, Kenya Glass Workers Union, Kenya Petroleum Oil Workers Union, Kenya Shoe and Leather Workers Union, Kenya Union of Hair and Beauty Workers, Tailors and Textile Workers Union.

Ukrainian uranium miners fight for their jobs

The publicly-owned Eastern Mining and Processing Plant, SkhidGZK, has been in crisis for some time and recently halted operations, putting at serious risk the jobs of 8,000 workers as well as the safety of the mines, with potentially devastating environmental consequences.

On 7 July, Atomprofspilka, the Nuclear Power and Industry Workers Union of Ukraine, picketed the ministry of energy in Kiev, demanding immediate solutions to ensure the sustainable operation, maintenance and development of the plant and to preserve the jobs of its 8,000 workers. 

The Independent Miners’ Union of Ukraine (NPGU) mobilized its members for a protest in the Kirovograd region, where uranium mine workers and their family members blocked the road from 12 to 16 July, while other miners refused to enter the uranium mines, demanding the sustainable operation of the company and the elimination of wage arrears that have reached UAH 89 million (US$ 3.26 million).

The unions’ demands are as follows:

IndustriALL general secretary Valter Sanches, in a letter to the Prime Minister of Ukraine, called on the government:

“…to act immediately to ensure the development and implementation of sustainable industrial policy, including energy policy, with genuine social dialogue with unions as the only way to solve issues while reforming the energy sector, and to ensure, in particular, the sustainable operation and development of the SE SkhidGZK and timely wage payments for its workers”.

Union busting at PT Schneider Electric in Indonesia

As part of a strategy to get rid of union leader Mr Zulkarnain, PT Schneider Electric changed his job to one that do not match his skills and work experience. Despite being employed as a metrology engineer for more than 10 years, the company arbitrarily changed his position to supplier quality engineer in May 2020, with new responsibilities. The company claimed it was for his self-development, and that his current work load was too light.

He was forced to accept the position, because management said he could either take the offer or leave.

On 10 March 2021, management gave him both a first and second warning letter, alleging under-performance. Mr Zulkarnain was dismissed on 21 May 2021, with the company claiming that the union leader was incapable of carrying out his work.

Management threatened Mr Zulkarnain not to appeal the dismissal through the union, otherwise he would receive only 50 percent of the compensation package.

FSPMI has filed a complaint with the district labour department. PT Schneider Electric failed to attend the mediation meetings on 1 July and 8 July. The district labour department said under-performance could not be a reason of dismissal.

The president of FSPMI, Riden Hatam Aziz, says :

“The dismissal at PT Schneider Batam is clearly union busting. This is a real threat for workers to continue to fight for their fundamental rights in the workplace. We will continue to fight against the unfair dismissal, and international support is very much needed.”

Kan Matsuzaki, IndustriALL director of ICT Electrical and Electronics says:

“It is not acceptable that the company is bullying Mr Zulkarnain. The attitude taken by the management violates the company’s Global Anti-Harassment Policy.”

General secretary of IndustriALL, Valter Sanches, wrote to the company, saying:

“The dismissal of Mr Zulkarnain is an act of union busting disguised as a job transfer.

“The threat not to be involved in trade union activities blatantly violates Indonesian labour law as well as international norms and standards.

“We urge you to stop all acts of union busting, and accept the demand of FSPMI to immediately reinstate Mr Zulkarnain.”

PT Schneider Electric Manufacturing Batam produces electrical devices used in automation, electrical installation and distribution systems.

Main photo: The union demonstrates against the Omnibus Law outside Schneider Electric, October 2020. FPSMI

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Unions discuss revival of the textile and garment sector in Africa

Other threats include a lack of clarity on how the African Continental Free Trade Area will benefit smaller economies, and how regional economic integration will be implemented. The meeting also discussed how unions can continue organizing and strengthening their capacity under the Covid-19 pandemic which is forcing some garment buyers to cancel orders. The unions also discussed energy transition and manufacture by robots.

Cheap Chinese imports have decimated the textile industries in Ghana, Nigeria, Uganda, and other countries. In Ghana, only 4 out of 30 textile companies remain operational, said the Industrial and Commercial Workers Union (ICU). The union said the country used to manufacture yarn for fabrics that were sold locally and in Sub Saharan Africa but not anymore.

Solomon Kotei, the general secretary of ICU said:

“The unbridled influx of cheap, inferior, Chinese textiles onto the Ghanaian textile market due to the so-called globalization, trade liberalization, trade agreements and protocols, dealt a devastating blow to the textile industry. Established patrons of the textile industry, switched loyalty and started buying the cheap, inferior Chinese textile imports.”

“What broke the back of the textile industry is that the Chinese pirated the designs of the Ghana textile manufacturers, especially the Tex Styles Ghana Limited, printed the inferior quality designs, and flooded the Ghanaian textile market at cheaper prices.”

 The unions have raised the issue with the government to tighten import licensing to protect the local industries.

In Nigeria, although the unions engaged the government in the formulation of the cotton, textile, and garment (CTG) policy that is meant to revive the sector, the meeting heard that cheap imports from China continue to undermine these efforts. This is worsened by insecurity in some parts of the country which facilitates smuggling and corruption.

Joachim Opara, the deputy general secretary of the National Union of Textile Garment and Tailoring Workers of Nigeria said:

“Under the CTG policy, unions reached an agreement with the government to source the army, police, and navy uniforms from the local garment industries. Further, the farmers also grew enough cotton and unions supported the manufacturing of better quality and quantity of textiles for the local market.”

The meeting heard that there are several ways to make unions sustainable. For example, the Southern African Clothing and Textile Workers Union (SACTWU) has implemented several strategies that included campaigning for a decent work agenda, collective bargaining agreements, social dialogue, and building the “social power of trade unions” to better service their members.

Simon Eppel, a SACTWU researcher, said:

“The union took a multilayered approach which identified that it is necessary to industrialize rather than export raw materials. We developed a monitoring system to detect fraud because we were losing factories. There were also boardroom negotiations, and we had allies in the media. To win employers support, we argued that factories should be run better with quick deliveries of quality goods at affordable prices. There were also street protests against job losses, and coalitions were formed with retail workers.”

Unions were also fighting against sexual and gender-based violence at garment factories in Lesotho.

“We partnered with international organizations that include the Workers’ Rights Consortium and local non-governmental organizations to stop sexual and gender-based violence at Nien Hsing and Hippo Knitting factories,” May Rathakane, the Independent Democratic Union of Lesotho, deputy general secretary told the meeting.

“Economic recovery in the textile and garment sector in Sub Saharan Africa must be fair, inclusive, and equitable. It must not be only to preserve shareholder value but to defend workers’ rights to job security and fair severance payments,” said Valter Sanches, IndustriALL general secretary.

Sector director Christina Hajagos-Clausen said:

“We support the call-to-action proposal by key stakeholders to form a global social protection fund for garment workers which will provide effective social protection to mitigate against the Covid-19 pandemic.”

The stakeholders include governments, banks and financial institutions, international organizations, brands and retailers, manufacturers, employers’ organizations, trade unions and development partners.