Beyond Bangladesh, OECD countries must act to save lives in the garment industry

A bloody line had been crossed. People in countries around the world began caring who made their clothes, and how. Having dismissed warning after warning, global apparel brands could no longer ignore the dangerous working conditions at their supplier factories. Self-regulated safety audits were exposed as shams.

Global unions, IndustriALL and UNI, seized the moment and produced the Bangladesh Accord on Fire and Building, an unprecedented, independent, legally binding agreement between trade unions and brands. The goal: that no worker need fear fires, building collapses, or other accidents that could be prevented with reasonable health and safety measures. It meant that brands had to take responsibility for making their supplier factories safe, and pay towards it too.

Expert fire and building safety engineers working for the Bangladesh Accord have since inspected more than 1,600 factories making garments for over 200 brands and retailers. Initial inspections identified 118,500 fire, electrical and structural hazards of which 84% have been corrected. The Accord training team has conducted 2,838 safety committee training sessions with workers at over 1,000 factories.

The Bangladesh Accord works because it has teeth. Two international brands that failed to meet their legal commitments have been successfully taken to the Permanent Court of Arbitration in The Hague. This has led to millions of dollars in reparations being used to remedy life-threatening hazards at the brands’ supplier factories. A further US$300,000 has been paid into a fund to support IndustriALL and UNI’s work to improve pay and conditions for workers in global supply chains.

Five years on, the Bangladesh Accord stands as a model for industrial relations, and shows that brands and unions can work together to solve systemic problems. The Bangladeshi ready-made garment industry is undoubtedly safer, and lives have been saved.

However, the work of the accord, which expired at the end of May 2018, is not complete. Too many life-threatening hazards at supplier factories remain, which is why more than 180 brands (and counting) have signed the new 2018 Transition Accord, which already covers approximately 2 million garment workers in Bangladesh, most of whom are women.

The 2018 accord has greater scope to cover home textiles and footwear and, crucially, gives more power to workers. The new agreement meets OECD Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector, recognising that workers are not peripheral to the due diligence process, but core to it. It upholds the importance of freedom of association in ensuring workers have a genuine say in protecting their own safety. It will also establish a training and complaints protocol to ensure that this right is respected.

Without labour rights, the gains made in health and safety will not be maintained. Severe anti-union violence and discrimination continues in Bangladesh making it very often impossible for workers to organise and bargain collectively.

OECD countries must use their voice to condemn the attacks on workers and trade unions in Bangladesh. OECD member countries promise to uphold fundamental labour rights and sign up to guidelines to commit multinational enterprises to take responsibility for workers in their global supply chains. This must also include working with trade unions on a national or sector-wide level to achieve wages that, at the very least, meet the basic needs of workers and their families.

The EU, as Bangladesh’s biggest trading partner, also has a major role to play. Bangladesh benefits from preferential trade tariffs under the EU’s Generalised System of Preferences. In turn, Bangladesh is expected to put into practice key UN human rights and International Labour Organization conventions. This is clearly not happening and yet Bangladesh is given chance after chance to put matters right. OECD countries, many of which are also members of the EU, cannot turn a blind eye to these violations. They must speak up.

The Bangladesh Accord will continue its work until 2021, or until the Bangladesh government is ready to take over its functions.

We have the tools to make a better garment industry. We must use them. Public pressure to improve the working conditions of garment workers has never been greater, and now is the time to push for change. The lives of garment workers in Bangladesh and in many places beyond depend on it. 

This article was written by IndustriALL Global Union and UNI Global Union and was originally published in the OECD Observer

©OECD Observer August 2018

Belarus: Two independent union leaders convicted despite absence of proof

During the court trial of the case dubbed as “trade union case” no convincing evidence was presented. Most of the evidence presented in court looked either rigged or collected in violation of legal norms of Belarus or were not relevant to the trialled period of 2011-2012. In their final defense opinion both lawyers demanded full acquittal for both union leaders.

Natalia Matskevich, Gennady Fedynich’s lawyer, stated, (statement in full)

“Whichever of the proofs presented by the state prosecution you take, upon a closer examination, it crumbles like sand. They were either obtained through an obvious violation of the law (that is, they are unacceptable), or cause justified doubts about their reliability, or have nothing to do with the presented charge.”

The judge found Gennady Fedynich and Ihar Komlik guilty of tax evasion and sentenced them to a fine of BYN 47,560 (over US$23,000), a four-year suspended imprisonment and a ban on holding senior positions for 5 years. Both leaders will have to pay also all the court expenses along with administrative fines. The judge did not follow the prosecutor's request for confiscation of union leaders’ property, and also canceled the arrest issued on their private apartments, lands and cars.

If the sentence is sustained despite appeals prepared by the union lawyers, Gennady Fedynich will not be able to continue as president of the union, similar situation regards also Ihar Komlik. The announced suspended imprisonment is not much better than imprisonment, since private freedom of move for both leaders will be restricted by numerous regulations.

The announcement of the verdict was met with shouts "Shame!".

In the morning of the day of announcement of the verdict, tens of union members and civil society representatives submitted an appeal to the head of the state in Administration of President demanding to stop the case against union leaders.

During the verdict announcement a picket line was organized near the House of Justice. Riot policemen detained the most active picketers, including activists of the REP union Pavel Mrochko from Brest and Alexander Chmyhov from Bobruisk.

IndustriALL covered the court hearings in a special blog. In addition, at most hearings there were observers from national affiliates of IndustriALL, all of them agreed that the case was politically motivated and no trustful evidence was presented by prosecutors.

Kemal Ozkan, IndustriALL assistant secretary general and Vadim Borisov IndustriALL regional secretary attended the verdict announcement.

Kemal Ozkan called both leaders “political prisoners” and said:

"IndustriALL Global Union believes that even though the trade union case was against two individuals, for us it is something against trade union itself and in a broader sense against the rights of independent trade unions. IndustriALL and our affiliates will continue to support REP, Gennady Fedynich and Ihar Komlik in their struggle for defending and advancing workers’ rights in this country.”

Gennady Fedynich, chairman of trade union REP and member of IndustriALL Executive Committee , comments on the verdict,

”By todays verdict the Belarusian authorities showed that they do not bother to fulfill the international norms which they signed earlier. We expect now that Europe will react to this, because this nonchalance to the norms according to which the entire Europe lives is inacceptable.”

Ihar Komlik, chair of Minsk city organization of REP, and chief accountant of REP union, says the verdict is a “reward” to the trade union REP, and its leadership for the work done by the union, 

“The verdict confirms one more time that Belarus cares the least about international and national legislation. The pronounced verdict is not based on proofs, its only reason was the political motivation that the trade union REP represents a threat to lawlessness including in labour relations taking place in Belarus.”

IndustriALL will continue monitoring situation in Belarus and escalate the campaign in support of Belarusian independent trade unions through various actions including approaching intergovernmental agencies.

Croatian shipbuilders strike over non-payment of wages

Workers are striking at the Uljanik yard in Pula and the Third of May (3. Maj) yard in Rijeka on Croatia’s Adriatic coast. The strike committee, made up of the three unions at the yards, issued a statement calling for the payment of their salaries, and for the resignation of the management of the company.

IndustriALL Global Union affiliate, the Croatian metalworkers’ union SMH-IS which represents workers at the yards, has called on the government of Croatia to intervene and cover salary costs in the short term until a restructuring plan is finalized.

SMH-IS supported an application by the Croatian government to the European Commission for approval to underwrite loans to the company to help it meet existing orders. IndustriAll Europe worked with the Croatian Permanent Representation to the EU and the Commission to highlight the importance of the loan so that workers would be paid. In January, the Commission approved a 96 million euros loan guarantee, saving thousands of jobs.

A restructuring plan developed by Uljanik management entails the investment of 24 million euros in Uljanik by Kermas Energija, owned by shipping magnate Danko Končar. This would make Kermas Energija the majority owner. Kermas Energija has paid half this amount, enabling the company to settle some debt and maintain production, but not enough to pay salaries.

An expected loan from the government-owned Croatian Bank for Reconstruction and Development (HBOR) has not yet materialized. The restructuring plan is subject to approval from the European Commission. Workers at the yards are calling for the deal to be finalized and the remaining money to be paid so that their jobs can be saved.

In an interview on Croatian TV news, SMH-IS president Siniša Kosić stressed that a funding gap need to be bridged so that production could be maintained and jobs saved:

“We need capital to resume production. 3. Maj and Uljanik have orders that need to be fulfilled, and if they are fulfilled that will bring fresh capital….

“There should be a way to overcome these two critical months.”

In a solidarity letter to SMH-IS, IndustriALL general secretary Valter Sanches wrote:

“It is vitally important that the workers at Uljanik receive their salaries and that their jobs are saved. Shipbuilding is a cornerstone of Croatian industry. These are skilled jobs within a complex supply chain which is critical to the local economy.

“It is also vital that a long term strategy to ensure the sustainability of these yards is found. Workers suffer as the company lurches from crisis to crisis, and the government cannot keep lending public money to privatized industries.”

One of the world’s oldest shipyards, Uljanik was founded in 1856 for the Austro-Hungarian navy. In 2013, ahead of Croatia’s accession to the European Union, Uljanik was privatized, and the newly formed company also acquired the 3. Maj yard. The company is responsible for 6,500 jobs in the Rijeka and Pula regions. Union members hold just under 50 per cent of the shares in Uljanik.

Liberian unions demand better working conditions at Firestone rubber plantations

Led by IndustriALL Global Union affiliate, the Agriculture Agro-Processing and Industrial Workers Union of Liberia (AAIWUL), in collaboration with the Golden Veroleum Oil Plantation workers and the Sigma group of companies, the unions want Firestone-Liberia to fulfil its promises on improving the wages and the living and working conditions of workers. According to the unions, this failure to act undermined the government’s pro-poor agenda. 

When the president and managing director of Firestone-Liberia, Edmundo Garcia, recently told the House of Representatives that the least paid worker earned US$8.36 per day, the workers immediately demanded that they be paid that amount and went on strike to push for the promised earnings.

The announcement was contrary to the minimum of $5.60 per day that Firestone pays which is low for the hard work that workers were doing. In some instances, this back-breaking work includes tapping at least 500 trees per worker before mid-morning, and collecting the latex in the afternoon.

Medical staff at the plantations also worked under precarious conditions. For example, medical doctors and nurses were not paid overtime in violation of the Decent Work Act 

Unions are also demanding that the 2008 agreement to employ 50 per cent Liberians should be implemented. Firestone should also provide technical assistance to small holder farmers to enable them to enter the rubber industry.

Firestone, which has a monopoly on rubber production in the country, often with government support, has produced rubber from Liberia for over 90 years. The company has also been condemned for dumping toxic waste into rivers where local communities got drinking water.

Edwin Cisco, AAIWUL general secretary, wants the government “to stand firm and demand that Firestone-Liberia meets its obligations as required by the law.” He says the company must stop “providing inaccurate and misleading information that makes a complete mockery of the valuable service provided by the workers.”

Said Paule France Ndessomin, IndustriALL regional secretary for Sub Saharan Africa: “It is incumbent upon multinational companies like Firestone to pay living wages and improve working and living conditions of workers. Companies cannot continue to declare profits at the expense of suffering workers.”

Australia: 1,600 Alcoa workers strike over job security

Members of IndustriALL Global Union affiliate the Australian Workers’ Union (AWU) from the Kwinana, Pinjarra and Wagerup aluminium refineries, the Huntley and Willowdale bauxite mines, and Bunbury Port started industrial action on August 8, after Alcoa applied to Australia’s workplace regulator to terminate the collective agreement. About 1,200 people gathered at the Pinjarra sports grounds to show their support.

The workers are striking to defend the current agreement. Negotiations broke down because the company wants to end minimum staffing levels but failed to provide assurances about job security. Workers want a guarantee of no forced redundancies. The company used threats of termination in an attempt to intimidate the workforce into accepting new working conditions. AWU Western Australia branch president Andy Hacking, who works at the Kwinana refinery, was quoted in local media, saying:

“This is all about Alcoa being prepared to talk. Many of us are long-term employees who have never caused them any grief but they won’t provide assurances about not casualising employment, outsourcing contractors or agreements on manning hours.”

IndustriALL convenes a global network of unions in Alcoa. Unions in the network, including FICA-UGT in Spain, Industri Energi in Norway and the Machinists' Union (IAMAW) and United Steelworkers (USW) in the US and Canada have written to the AWU to pledge their support.

In a solidarity letter to the AWU, IndustriALL general secretary Valter Sanches wrote:

“IndustriALL Global Union condemns in the strongest terms Alcoa of Australia’ intransigent stance, which would deny workers any job security. Furthermore, we find it unacceptable that the company is threatening workers with termination, as a way of pressuring them into accepting substandard working conditions.

“We stand strong in solidarity with our sisters and brothers at Alcoa's Pinjarra, Wagerup, and Kwinana refineries, and the Huntley and Willowdale bauxite mines, and you can count on our full support, which will include coordinating international solidarity from unions with membership at Alcoa’s sites worldwide.”

Alcoa is a US-based multinational aluminium producer. More than a thousand members of the USW have been locked out of the Bécancour refinery in Quebec, Canada, since January this year. The refinery is 75 per cent owned by Alcoa.

The Australian refineries account for around 8 percent of the world’s alumina supply. On 22 August, workers demonstrated in Solidarity Park outside the provincial parliament in Perth.

New Zealand: workers at Sistema Plastics campaign for fair contract

The workers at Sistema are primarily migrant workers from the Pacific Islands, India and the Philippines, often employed on 12 month working visas with little knowledge of their rights. Most migrant workers began employment accepting whatever was offered.

Sistema Plastics employs approximately 500 workers at their Auckland plant, of whom 200 are organized by E tū.

Employees are required to work 60 hours a week for minimum wage, minimum sick leave and minimum health and safety. The current dispute has been ongoing for about 10 months but the issue of low pay and poor conditions has endured for several years.

“In the manufacturing sector in New Zealand it is common for workers to get overtime after 40 hours per week at time and one half the hourly rate, long-service pay and / or long-service holidays, and a daily shift allowance. We have estimated that Sistema is saving around five million dollars a year by not paying what other employers in this industry pay in New Zealand,”

said Neville Donaldson, E tū union representative.

The E tū has launched a public campaign where people can show their support by sending a letter to the CEO calling for an improved collective agreement for Sistema workers. To show international solidarity, send an open letter to Sistema’s CEO telling him to negotiate a collective bargaining agreement with decent pay and conditions for the workers in Auckland.

“IndustriALL is outraged with the working conditions at Sistema Plastics in New Zealand. It is imperative that Sistema Plastics negotiate in good faith with the E tū union a collective employment agreement with decent pay and conditions,”

said Valter Sanches, IndustriALL general secretary in a letter to the company’s CEO.

New project launched for young Latin Americans

The first national seminars that are part of IndustriALL’s Regional Youth Education and Empowerment Project for Latin America and the Caribbean took place from 26 July to 10 August this year, and others will follow until 2020.

IndustriALL and DGB Bildungswerk, which is the support organization of German trade union centre, DGB, are organizing two-day seminars in Argentina, Brazil, Mexico and Nicaragua. Their purpose is to kick-start the project aimed at training young trade union leaders who are involved and engaged in their unions as well as in IndustriALL’s global structures.

“The fact that they are here is because someone in their unions is betting on them having what it takes to become a trade union leader. I have just turned 66 years old. We need to promote the generational renewal of which we talk so much,” said the Vice-President of IndustriALL’s Executive Committee, Raúl Mathiú, at the opening of the first seminar which took place in Argentina.

IndustriALL’s regional secretary, Marino Vani, together with Julieta Avalos, IndustriALL’s regional advisor, will be mentoring the young people over a period of three years during which they will draw up a trade union action plan with a view to developing a youth policy that also promotes gender equality.

Each country will have its own coordinator who will be responsible for monitoring the whole process. The group of coordinators will meet twice a year to articulate the work at the regional level. The first meeting of this group will take place on 16-17 August in the regional office in Uruguay.

This meeting will provide an opportunity to analyse the challenges the project will face in the different countries and to determine which activities they will undertake in order to achieve the goals for the second stage of the project in each country, starting in September this year.

For DGB, the project is also intended to allow young men and women to shape the political agenda in Latin American society in order to help the region become more representative and inclusive for future generations. It is also proposed that by 2020 at least half of the trade unions participating in the project should have created new youth secretariats and formal representative structures.

“Young people in the region will have great opportunities to get training and to strengthen their unions. The project will help build up their leadership skills and empower them so that they can face up to the challenges of today and tomorrow. The central axis of this project is to develop policies for the inclusion of youth, structures designed to ensure youth participation in the unions and to train people who have the capacity to become leaders with a national, regional and global vision,” said Marino Vani, IndustriALL’s regional secretary in conclusion.

USA: IndustriALL backs workers at Ciner Wyoming ahead of union vote

Employees at Ciner Wyoming’s mine and soda ash refinery in Green River recently signed authorization cards saying they support union representation by IndustriALL affiliate, the United Steelworkers (USW). This lead to an order by the National Labor Relations Board for union elections, which will be held on 23 and 24 August.

Local management of the Turkey-based conglomerate, Ciner, has been waging an anti-union campaign to stop workers from voting yes to unionization. Employees are required to attend mandatory meetings where management claims unions are bad for business and that workers will lose out if they vote to join the Steelworkers.

The worst of these claims is over medical insurance. The US management of the company recently presented a new insurance plan that is considerably better than the one currently in place. During meetings, management stated if workers vote in favour a union, they will be stuck with their old insurance plan throughout negotiations. The United Steelworkers have filed federal charges against these law-breaking moves by Ciner,  but the Labor Board will not rule on these charges before this week’s vote.

US management has also wrongly branded the messages of solidarity support from IndustriALL affiliates that represent Ciner workers in Turkey, as fake.

Turkish affiliates Maden-Is (mineworkers) and Tes-Is (energy, gas and water workers), which represent Ciner workers in Turkey under multiple collective bargaining agreements, have strong historical links with USW and are supporting the workers in Green River. Paradoxically, Ciner has constructive labour relations with unions in its home country and respects trade union rights.

If the union vote passes, Ciner will be bound by federal law to address all working conditions, wages and benefits through a negotiation process.

In a statement of solidarity to Ciner Wyoming workers, IndustriALL’s assistant general secretary, Kemal Özkan, who is a former Turkish labour leader, said:

“IndustriALL Global Union stands in solidarity with workers at Ciner Wyoming. We urge you to stay strong and vote YES to a union. By sticking together, you are in the best position to bargain for your rights. Ciner’s dirty tricks to coerce workers into voting no are nothing short of blackmail. It’s a fact that unionized workers get paid more, have better benefits and greater security. Ciner has constructive relations with our trade union affiliates in Turkey, and it can be the same at Green River. In joining United Steelworkers, you will have the protection of a great union, as well as the support of Ciner workers in Turkey and millions of workers worldwide in the IndustriALL family.”

ITB Plastics workers strike for permanent jobs in South Africa

The arrested workers who were neither aggressive nor violent were only released when the National Union of Metalworkers of South Africa (NUMSA), an affiliate of IndustriALL Global Union, sent lawyers to represent them. Further, the Labour Court in Durban rejected, on 16 August, ITB Plastics’ application for an interdict to stop the strike. So, the strike continues.

The right to strike is a constitutional right. Therefore, NUMSA is shocked that ITB Plastics and Isithebe Consulting Solutions (ICS) — the labour broking company which is contracted by ITB —are denying workers their rights. Most of the workers at ITB Plastics are employed by the broker. The Constitutional Court recently ruled that labour brokers cannot employ a worker for more than three months on a temporary contract. If they did that, the worker became a permanent employee.

However, some employers use labour brokers as a form of cheap labour to avoid paying benefits to workers. Following the Constitutional Court victory workers who have been employed for more than three months at ITB Plastics took the matter to the Commission for Conciliation Mediation and Arbitration to be confirmed permanent employees.

Further, by installing cameras in toilets, the union says the company is also violating workers’ right to privacy using the excuse of preventing theft. Says NUMSA: “ITB Plastics is violating the dignity of our members daily. They have installed cameras in the bathrooms. It is shameful that they have not been censured for this.”

NUMSA is determined to fight the company and salutes its members for “their courage and determination despite attempts to exploit and violate their rights.”

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

“It is shameful for companies like ITB Plastics to continue with their bullying tactics instead of giving permanent jobs and improving working conditions. Intimidation should be resisted, and NUMSA is reminding them to be a responsible employer.”

IndustriALL creates a ‘macro sector’ for manufacturing industries

As IndustriALL's regional secretary, Marino Vani, put it:

“The aim was to create a ‘macro sector’ for manufacturing workers from across the region. We also looked at developments in manufacturing industries and discussed strategies and initiatives to further empower trade unions in the region. In addition, IndustriALL Global Union was there to encourage its affiliates to become more actively involved in implementing the global action plan.”

One of the main topics under discussion was the challenges raised by the restructuring of the economy and the emergence of industry 4.0. Participants exchanged ideas on what steps the trade-union movement can take to address these changes and together come up with solutions.

Among the changes discussed were those affecting the global production system, and especially global supply chains across Latin America and the Caribbean. Particular attention was paid to how equal opportunities could be created for young people, women and indigenous populations in the future world of work.

After analysing the challenges ahead, participants shifted their focus to possible strategies for protecting workers at multinational companies. Such strategies include entering into global framework agreements, organizing trade-union networks for multinational companies in the macro-manufacturing sector in Latin America, and running campaigns to prevent precarious work from becoming more prevalent along value chains.

"Multinationals have a lot of power: they have shareholders, money, and political influence. But if we are united and prepared to fight, we can make sure we have more power than they do. Working together will make us smarter and ensure that we adopt the right strategies to tackle the challenges ahead,"

said Tom Grinter, sectors director at IndustriALL.

Edson Dias Bicalho, general secretary of the trade union FEQUIMFAR and member of IndustriALL's executive committee, agreed with Grinter and added:

“Multinationals and neoliberal governments are going after the working class – the labour reforms in Brazils are proof of that. The only way to save the working class is to be united in our struggle and in our actions.”

Finally, Lucineide Varjão, president of CNQ/CUT and regional co-chair of IndustriALL, concluded by saying:

“This IndustriALL meeting has generated many fruitful discussions. We have agreed on strategies to tackle the challenges that lie ahead. These strategies include strengthening unionization, addressing the issue of precarious work and empowering trade unions in today's increasingly globalized world. We are coming out of this much stronger and better prepared for the struggle ahead.”

IndustriALL's macro sector comprises the following manufacturing industries: chemicals, pharmaceuticals, pulp and paper, rubber, plastics, glass, machinery, raw materials, capital goods, domestic appliances, and industrial and environmental services.