Unions prepare campaign to keep Ford factories in Russia

The 15 and 16 March meeting in St. Petersburg was initiated by IndustriALL Global Union affiliate, the Interregional Trade Union Workers Association (ITUWA) and the Ford Workers' Primary Trade Union Organization, who jointly represent workers’ interests at Ford Sollers plant in Vsevolozhsk, Russia.

IndustriALL automotive director Georg Leutert, Ford European Works Council secretary Hans Lawitzke and chairperson of the Confederation of Labour of Russia (KTR) Boris Kravchenko also attended the meeting.  

The results of the review started by Ford at the beginning of 2019 are to be revealed in the second quarter of the year, but workers are already concerned about their future at the firm. Ford has announced it will shed at least 5,000 jobs in Germany, while it plans to close plants in France and a number of other European countries, with a further plant closure announced in Brazil.

Ford Sollers lost RUR 23.8 billion (US$ 369.5 million) in 2016 and although in 2017 the situation improved, the company still finished the year losing other RUR 13.6 billion (US$ 211 million). The results for 2018 are not yet available.

After a comprehensive analysis of Ford’s strategy, global trends and the Russian automotive industry, the unions decided that safeguarding the plant in Vsevolozhsk is their biggest target. The unions will try to stay informed and involved in the decision-making process on Ford’s future restructuring in Russia, and also seek support from local and global allies including the federal government. The unions plan to accompany their actions with a strong media campaign.

IndustriALL’s automotive director, Georg Leutert, said, “It was a productive meeting, and now we have clear directions for the work ahead. For us, the cornerstone is that the unions should be involved at all levels of discussion on the future of Ford workers in Russia. And we will extend our full solidarity support to them in this process.”

IndustriALL National Women’s Council of South Africa is founded

The Council, made up of NUM, NUMSA, SACTWU, CEPPAWU and UASA, is meant to initiate and facilitate collective action to:

In the meeting, the INWC-SA agreed on a statement on the case of Gugu Ncube, a young woman who put forward allegations of sexual harassment by her manager, while employed by a service contractor of UNISA Early Childhood Centre.

While the allegations are yet to be determined, how the police has handled the case, the public shaming of Gugu, and UNISA’s refusal to take responsibility, arguing that she was hired through a subcontractor, has led to an outcry in South Africa.

The INWC-SA is calling for a picketing action to be held on the 29 March at UNISA in Pretoria.

Towards living wages in North Macedonia

There are about 40,000 workers in the textile, clothing, leather and shoe industries in North Macedonia. IndustriAll-affiliated STKC has organized 4,000 of them, and there is considerable potential for union growth.

Therefore, the national seminar focused on training on organising and putting together an organising plan, based on a detailed mapping of the factories and brands present in North Macedonia. They include GFA brands Inditex, Esprit and ASOS as well as ACT members C&A, Next, Primark and PVH.

Kemal Özkan, IndustriALL Global Union assistant general secretary said:

“About half of the ACT member brands, including three that have signed a global framework agreement with us, are sourcing from North Macedonia. All these brands have committed to help transform the way wages and working conditions are set in the textile, garment and footwear sector. We will use that brand leverage to help our affiliate strengthen union structures and bargaining power. There is a good base for achieving progress towards living wages and a sustainable textile industry in that country.”

Increasing labour costs in Asia have improved the competitiveness of South-East European countries, located close to European markets. But as Eva Ellereit, country director of German Friedrich Ebert Foundation put it, there is a lack of workforce as tens of thousands of young people have left the country in recent years due to low wages and poor working conditions.

Goran Reshevski from the Ministry of Labour and Social Policy explained that the government had tried to address the problem by raising the gross minimum wage considerably to 280 euros per month. Hundreds of companies received state subsidies to partially cover increased costs over a transitional period.

Angel Dimitrov, president of the Organisation of Employers of Macedonia (ORM) said that brands need to increase prices to suppliers to enable payment of higher wages.

ORM has signed a general collective agreement with the SSM confederation, which covers all the private sector workers in the economy. But North Macedonia is the only country in the region, which also has branch collective agreements (CBA) in the textile and footwear industries. Their coverage is however limited to workers and companies that are members of their organisations.

Ljubco Radovski, president of the STKC union, recognises the need to increase CBA coverage both by organising more workers and encouraging companies to join the employer association. Radovski was positive about the ongoing revision of the Labour Code and the central collective agreement, in which unions are negotiating as full partners.

STKC has agreed to cooperate with two NGOs active in the textile industry, Open Gate/La Strada and Glasen Tekstilec, which have given publicity to problem cases and the goal of living wages. 

The Dutch Fair Wear Foundation (FWF) has worked on freedom of association and raising wages with its 18 member brands which have 54 factories in North Macedonia. Biljana Solakovska explained that FWF’s labour costing tool helped clarify the shared responsibility between a buyer and a supplier.

Luc Triangle, industriAll Europe’s general secretary said:

“The future of North Macedonia is in Europe, and in the European Union. But that requires a good labour law offering workers security and protection. It also includes quality jobs with living wages. We are not there yet. Government has its tasks, and companies have to act in accordance with principles of good governance and social responsibility. Our affiliates must be able to do their work and organise workers not only in garment and textile industry, but in all industries”.

The seminar in Skopje on 12-13 March was part of an EU-funded project “Strengthening the capacity of trade unions in South-East Europe to improve wages and working conditions in the garment and footwear sectors”, carried out in cooperation between industriAll Europe and IndustriALL Global Union. The project targets seven countries; Albania, Bulgaria, Croatia, North Macedonia, Montenegro, Romania and Serbia.

Ukrainian unions demand strong industry development strategy

“We need a clear industrial policy” was the main message of IndustriALL’s national affiliates’ meeting on 18 March in Kiev on the eve of the presidential elections in Ukraine. The adopted Joint Declaration entitled “Resolution on the development of national industry and solidarity actions of all-Ukrainian trade unions” will be communicated to the presidential candidates. 

The manufacturing industries in Ukraine continue to decline. Sergey Komyshev, IndustriALL’s coordinator in the country, reported that over the past few years, 2.5 million jobs were lost in the country, 80 per cent of which were in industrial sectors. In addition, the quality of the remaining jobs is deteriorating and health and safety regulations have been dismantled.

IndustriALL Executive Committee member, Valery Matov, said industry in the country is an important contributor to GDP, but the government of Ukraine is lacking a state industrial policy.

Despite the annual increase in the legal minimum wage, Ukraine has the lowest wages in Europe and millions of Ukrainians of working age leave the country seeking job opportunities abroad.

Furthermore, the country’s track record in trade union rights is getting worse. In 2018, Ukraine was one of the 25 short-listed countries at the International Labour Conference in connection with violations of ILO Convention No. 81 on Labour Inspection. In 2019, Ukraine is likely to be shortlisted again for discussion at the Conference in connection with violations of several conventions, such C95 on Payments of Wages.

Viktor Turmanov, president of the Trade Union of Coal Industry Workers of Ukraine, and Natalia Levitskaya, vice-president of the Independent Trade Union of Miners of Ukraine, highlighted the heroic struggle of workers in state-owned coal mines against massive wage arrears. While coal miners engage in actions to seek payment of their wages, the meeting expressed full support and solidarity in their ongoing struggles.

The Ukrainian affiliates had an extensive discussion about the social dimension of progressing relations between the EU and Ukraine around the Association Agreement. The participants agreed that the relationship with the EU must have a strong labour dimension in advancing workers’ rights and constructive social dialogue.

The meeting welcomed the General Secretary of industriAll European Trade Union Luc Triangle who transmitted a solidarity message from unions belonging to the European federation and emphasized the importance of close relations and cooperation between the unions in Ukraine and Europe. He also said that if Ukraine wants to be part of the European Union, it should put in place higher social standards, modernize the economy, and fulfill the political and social norms of the European Union. 

The trade unions agreed to put on a series of activities towards joining the European Union.

The meeting also received solidarity messages from Western European trade unions. Speaking at the meeting, Reijo Paananen, General Secretary of Nordic-In, expressed solidarity with the Ukrainian unions in their struggles and noted that respect for democratic principles and the rule of law as well as the real fight against corruption were essential. Solidarity messages included IG BCE and IG Metall from Germany as well as OS KOVO of Czechia.

IndustriALL and its Ukrainian affiliates organized a press conference on 19 March to communicate the demands outlined in the Joint Declaration.

“As we approach the presidential elections, we want to make it clear that Ukrainian workers and trade unions are not alone. The global and European trade union movement has always given support and solidarity and we will continue do so in the future,”

said Kemal Özkan, IndustriALL’s assistant general secretary.

“While our Ukrainian affiliates campaign for better rights and working conditions for workers, IndustriALL Global Union, together with our European sister organization, will continue to give our support, particularly in liaising with the European Union and intergovernmental institutions, among other actions.”

South Africa: Workers striking against precarious work at Arcelor Mittal

IndustriALL affiliate, the National Union of Metalworkers of South Africa (NUMSA), has 3,000 members at ArcelorMittal’s six South African operations and is calling on all workers to join the strike.

Most of the workers are employed through labour broking firms, Real Tree Trading, Monyetla and others. Real Tree Trading tried to stop the strike through a court interdict, but the request was thrown out. NUMSA is questioning why Real Tree Trading considers itself a ‘service provider’ and not a labour broker when it is one of the subcontractors to ArcelorMittal.

Workers say ArcelorMittal is paying contracted artisans with the same qualifications and experience about 50 per cent of what permanent workers earn. Further, newly qualified artisans are underpaid, with entry level pay pegged at the minimum wage of R3500 (US$244).

NUMSA won a landmark Constitutional Court case in 2018, which ruled that labour brokers cannot employ a worker beyond three months. When that happens, the contract becomes permanent according to the law.

 

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“We must shutdown the operations of the company in order to defend the rights of all workers. It is immoral for workers who do the same work, to earn less, just because they were brought in by a contractor,“ says Mokete Makoko, NUMSA regional secretary for Sedibeng.

"They do the same work as other workers directly employed by ArcelorMittal, yet they earn lower salaries and do not receive the same benefits. NUMSA’s ultimate demand has always been to ban labour brokers.”

ArcelorMittal’s offer of permanent jobs for contractors after three years was rejected by NUMSA.

The striking workers also want health and safety standards at the company to be improved after recent accidents.

Says Adam Lee, IndustriALL director of organizing, campaigns and base metals:

“IndustriALL supports NUMSA’s struggle for permanent jobs. We urge ArcelorMittal to act as a responsible employer and provide all of its workers with stable, decent work.”

Ten striking workers were arrested by the police, but have since been released.

IndustriALL Global Union organizes a global network of unions at ArcelorMittal, which will meet in Brazil in April and discuss the strike.

1,700 workers strike at Hankook Tire in Hungary

IndustriALL Global Union affiliate, the Federation of Chemical Workers of Hungary (VDSZ), which represents workers at Hankook’s Dunaújváros plant in central Hungary, say that 70 per cent of 2,400 shift workers have joined the indefinite strike that began on 12 March.  

The union is ready to reach a compromise with a 14 per cent pay rise, but is frustrated at not being able to make the proposal at the bargaining table.

After a two-hour warning strike on 6 March, which had a 100 per cent participation by workers, the company paid a 13.6 per cent pay increase, but VDSZ says the rise does not benefit everyone equally.

For example, longer-serving employees are only receiving a 2 – 6 per cent increase, where as recently-hired workers are getting as much as a 22 per cent increase, says the union.  

Salaries at the plant for shift workers are much lower than in other enterprises. Workers at a nearby factory earn around 300,000 forint (US$957) per month, compared to workers at Hankook Tire who average less than 200,000 forint (US$638) per month.

In the meantime, Hankook, which normally produces 45,000 tires per day at the Dunaújváros plant, has hired scab labour and harassed and intimidated workers to try and break the strike, says VDSZ. Since industrial action began, production has dropped to 10,000 tyres per day.

Union membership at the tire plant has grown by 1,000 workers in recent months.

Hankook has a history of anti-union hostility in Hungary, with several disputes escalating to the courts.

In a solidarity letter to VDSZ president, Tamas Szekely, IndustriALL’s general secretary, Valter Sanches, said:

“IndustriALL Global Union fully supports the struggle of VDSZ members at Hankook Tire Hungary Ltd’s factory in Dunaújváros to bring the company back to the negotiating table, and to put an end to violations of fundamental workers’ rights.”

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Shell worker abuses in Nigeria taken to UN Human Rights Council

In a joint statement to the General Assembly of the Human Rights Council, IndustriALL Global Union and Swiss organization, Europe-Third World Center (CETIM), said:

“Contract workers at Shell Nigeria are living in poverty, with no job security and poor healthcare that is costing workers’ lives. Contract workers face dismissal if they join a union or ask for a pay rise. They lack safety equipment and risk death in the field.”

IndustriALL, through its oil and gas trade union affiliate, NUPENG, represents contract workers at Shell Nigeria.

A recent IndustriALL mission to Port Harcourt in Nigeria found that most, if not all, of Shell Nigeria’s blue-collar workforce are employed by a complex network of recruitment companies on behalf of Shell, making it extremely difficult for workers to organize into trade unions and defend their rights.

A full written statement of the human rights violations of Shell contract workers in Nigeria was submitted to the General Assembly of the UN Human Rights Council and officially published last week.

“My recruiter doesn’t pay on time,” says a Shell contract worker in the statement. “I haven’t been paid for six months. My wage is only 50,000 naira (US$137) per month. I'm going to go home and beg my neighbour for food. For six months, my children can’t go to school. I’ve been working at Shell for 11 years, but I don’t have a carpet in my house. I don’t have a radio at home.”

IndustriALL has informed Shell of its mission findings but the energy giant has shrugged off the report and refuses to enter into discussions with IndustriALL.

“Shell is violating the human and labour rights of Nigerian workers with impunity, highlighting the urgent need for an international legally-binding instrument to regulate the activities of transnational companies,” continues the oral statement.

IndustiALL and CETIM are calling on the authorities in Nigeria to honour their commitment to human rights and international labour standards by taking action to ensure that Shell Nigeria respects the rights of workers working on its behalf to safety, health, a decent income and freedom of association. They also call on the Human Rights Council to urge the Dutch government to hold Shell to account for violations committed on Nigerian soil.

In addition to the written and oral statement, CETIM and IndustriALL also organized a side-event on 7 March in parallel with the 40th session of the Human Rights Council to denounce human rights violations by Shell, and mining companies, BHP and Vale.

Activists in Kazakhstan face continued repression

Independent trade unions in the Kazakhstan continue to be destroyed and their members are persecuted. An international union mission in November 2018 confirmed a serious escalation of the persecution of unions and their members.

The Confederation of Independent Trade Unions (KNPK) has been dissolved along with several affiliates. The leaders, including former chairperson of KNPRK, Larisa Kharkova, chair of the trade union of Oil Construction Company (OCC), Amin Yeleusinov, and Nurbek Kushakbayev, labour inspector, have faced criminal prosecution.

The latest in a long line of harassed union leaders is Erlan Baltabai, chair of the Fuel and Energy Workers' Union (FEWU), suspected of embezzling trade union funds. His relatives have been interrogated, police have conducted searches at home and in the office of the FEWU, and seized trade union documents.

Dmitry Seniyavskiy, local leader of FEWU, was attacked and brutally beaten in November 2018.

IndustriALL is urging the government of Kazakhstan to comply with national labour legislation, and international labour standards, including Convention 87 on Freedom of Association and Protection of the Right to Organize, and Convention 98 on the Right to Organize and Collective Bargaining of the International Labour Organization (ILO), which were ratified by Republic of Kazakhstan.

IndustriALL general secretary Valter Sanches says:

“There needs to be an immediate stop to the repression of unions and union activists. IndustriALL is calling on Kazakh authorities to release 19 activists arrested for participating in peaceful rallies, and to start a social dialogue with workers and the unemployed.”

Sanand Ford India workers protest against meager wages

The Sanand Ford India workers union, Karnavati Kamdar Ekta Sangh, has been negotiating for a collective bargaining agreement for the period of 2018 to 2020. Currently the workers receive extremely low wages of about INR 17000 (US$ 244) as net pay. Workers are demanding wages that reflect their work experience.

Most of the 864 union members at the plant have more than nine years of work experience. After series of negotiations, the management has marginally increased the wage offer from INR 9800 (US $141) to 10000 (US$ 144), to be phased in during the three years of the agreement.

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Maldevsinh Jadeja, the union president, says:

“We are in a very difficult situation as management refuses to increase our wages. We are the lowest paid automobile workers in country, and we can’t provide our families with decent living conditions. Management is applying pressure by subjecting workers to disciplinary actions on flimsy grounds and insisting that we should report to the factory even if we are sick, in order get it examined by the company doctor.

So to express our concerns in a decisive but peaceful manner we continue to boycott the food provided by the company”.

Georg Leutert, IndustriALL automotive director says:

“That one of the world’s leading auto manufacturers pays their workers a pittance is unacceptable. Ford management should refrain from any pressure tactics, and instead take on board the workers’ concern, engage in dialogue and find an acceptable solution to the demands.”

Workers at the Ford India plant at Sanand are among the lowest paid in India’s auto industry, as the compairison below shows. 

The net monthly wages at other auto plants in the region and across the country for workers with similar qualifications and work experience:

Brazil: protests against Ford plant closure

The decision to continue the fight came after unsuccessful talks on 7 March between Ford's CEO James Hackett and leaders of the ABC Metalworkers' Union –  members of the National Confederation of Metalworkers (CNM-CUT), which is affiliated to IndustriALL Global Union.

On 19 February, Ford announced that it would shut the factory in Brazil, which has operated since 1967, failing to first discuss the closure with worker representatives in the region. Ford said that the shutdown was part of its international reorganization and followed its decision to stop producing and selling trucks in South America.

The closure will affect  2,800 workers permanently employed at the plant, as well as an additional 1,700 temporary workers. The union estimates that it could have an impact on a total of 10,000 people, taking into account the entire production chain.

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Why are som many auto plants closing?

Union leader Wagner Santana called on members to keep up the struggle:

"We mustn't give up. We have to keep fighting and put pressure on Ford to go back on the decision. Each worker here, each mother and father, helped to build the company's wealth from the ground up, and you are its most valuable asset."

Santana also urged workers to to stay at home and not go to work, and to meet again on 13 March to decide on the next steps. He said that he would continue to meet with authorities to get Ford to withdraw its decision and keep negotiating.

To garner support, union leaders have already met with a number of politicians, including members of parliament, the local mayor, city councillors and the country's vice president.

IndustriALL's general secretary, Valter Sanches, participated in an event with the workers held in São Bernardo do Campo, on 7 March:

"Ford has to rethink its strategy and find new investments and products to remain competitive. It's a difficult time, but what unites us is our solidarity. IndustriALL will do everything it can to help Ford workers around the world whose jobs are under threat."