Community teams with Tesco to improve its UK garment supply chain

The partnership between IndustriALL Global Union affiliate, Community, and Tesco, the world’s third largest retailer, comes off the back of serious concerns about the treatment of workers in the UK garment sector.

It includes cases of under payment and non-payment of the minimum wage, excessive working hours, fraudulent declaration of earnings, worker abuse, illegal deductions from earnings and unauthorized sub-contracting.

The new agreement will see Community and Tesco working in partnership to end these ongoing abuses in the company’s supply chain.

Roy Rickhuss, General Secretary of Community, said:

"We believe that Tesco are genuinely committed to ethical trade and improving conditions in its UK garment supply chain. That's why we have developed this groundbreaking agreement that will use the skills and expertise of both our organizations to ensure that happens. The aim is to make the UK garment sector sustainable in the long term and a world-class manufacturing hub once again."

The agreement will establish a model for Tesco’s UK garment suppliers to benchmark standards and a new chapter of cooperation between the retailer and Community.

What the agreement will do:

• Tesco and Community will collaborate to undertake tailored multi-stakeholder ethical audits of Tesco’s UK garment supply base, designed specifically around the issues prevalent within the UK/Leicester garment sector.

• Tesco will provide ethical trade audit experts for these audits, either internal or independent. Community will also actively participate in the audits, leading some areas and ensuring workers have access to representation.

• The audit process is intended to result in improved representation for workers, a clear assessment for Tesco of conditions in their supply chain – and confidence for all parties that any concerns identified have been addressed and resolved.

• In addition Tesco and Community will explore opportunities to work together to provide active support to Tesco’s suppliers in areas such as Health and Safety, which can provide direct benefits both for workers and for the sustainability of suppliers’ operations.

• In recognition that some suppliers may already have recognized unions in place, the partners will work within the boundaries of existing relationships.

Armenia: rubber workers protest over unpaid wages

On 4 December, more than 1,000 employees of the Nairit rubber plant gathered outside the presidential residence demanding to clear 18-month wage arrears. Workers also protested against a notice of dismissal sent out to many of them. The protestors were back 8 and 15 December to continue to voice their demands.

Currently only 770 people are working at the plant, but there are 1,667 more employees that have been on a forced paid leave for the last four years.


Recent protests were launched after the management declared a massive layoff. More than 1,500 workers who have been furloughed for four years face layoffs in February, as the new contracts will be signed with 500 people only to ensure the plant’s future maintenance. Before that, protestors want the plant to clear the wage arrears estimated at a total USD13 million. On 2 December, employees received one-month wages despite their demand to pay the wages for the last 1.5 years.


At a meeting with the Nairit representatives on 13 December Prime Minister Hovik Abrahamya advised that the workers should rather seek solutions from the plant’s Board of Directors. According to the Prime Minister, international experts from the World Bank are due to conduct a feasibility study on the possibility of resuming Nairit’s operations and are expected to provide a conclusion in February-March 2015.

Nairit was the only plant in the Soviet Union to produce chloroprene rubber, a synthetic rubber used as insulation material and a base for adhesives. The plant was closed in 1989 for environmental reasons and resumed partial operations in 1992. In 2006, 90 per cent of Nairit’s shares were sold to British Rainoville Property Limited. The remaining 10 per cent belong to the Armenian government. In December 2013, Russia's oil giant Rosneft announced its plan to invest USD 400 million in the Nairit rubber plant, but the company was forced to cancel the plans.

National general strike in Belgium rejects austerity

Prime Minister Charles Michel was sworn into office in October, forming a government of the New Flemish Alliance (NVA) and Reformist Movement (MR). The centre-right coalition is introducing wide-ranging austerity cuts that will dramatically reduce the quality of life for working people in Belgium.

This 24-hour general strike on 15 December was part of a month of rolling actions and strikes across regions and industrial sectors.

The proposed austerity measures being protested by the huge general strike include:

Listen to these union members explain their reasons for striking on 15 December. A Facebook account is needed to access these videos. https://www.facebook.com/media/set/?set=vb.171238582919259&type=2

IndustriALL General Secretary Raina stated in his solidarity letter to Belgian affiliates:

Your global trade union stands with you shoulder to shoulder throughout this month of action, and particularly on Monday 15 December in your united general strike. When all of your trade unions in Belgium fight together, with the FGTB-ABVV and ACV-CSC confederations uniting all workers, your action will get the world’s attention.

Prime Minister Michel’s austerity programme received support during the 15 December general strike from the International Monetary Fund (IMF). The IMF mission chief Edward Gardner, concluded his annual review on the day of the massive strike by describing the pace of austerity changes as “adequate” and calling for change to Belgians’ “generous access to social transfers”.

The IndustriALL Executive Committee, meeting in Tunis on 4-5 December, resolved to fully support the Belgian Sisters and Brothers at this time of confrontation. The IndustriALL Executive particularly criticized the government’s lack of dialogue with unions before pushing through the drastic cuts.

Union changes status of precarious workers at Siemens, India

When Siemens started a satellite factory in India in June 2011, 42 workers were recruited as trainees. The traineeship was to last for a year, after which the workers were to receive permanent contracts.

But instead, upon completing the training the company changed the workers’ title to Trainee Officers. They were also informed in writing that they could not form or join any union.

In June 2012, the 40 Trainee Officers became members of IndustriALL Global Union affiliate Siemens Workers Union (SWU). After filing a complaint with the Industrial Court, the union got an injunction against firing the workers while the case was still pending. On 2 December 2014 a settlement between the company and the union was reached.

The workers were relocated to another company and received a range of benefits including: a 19 per cent increase in their monthly salary; permanent contracts with proper working hours; five more days of paid leave; bus transportation; improved food and healthcare facilities; and access to credit.  

SWU will continue to organize Siemens employees across India.

Workplace accident finally recognized

Since his workplace accident at the Tenaris plant in Colombia 13 years ago, Rubén Montoya has struggled for his survival. The accident left him unable to work but his employer has until now refused to pay his pension and other benefits. Driven to despair, Montoya has been on hunger strike and twice attempted suicide.  

Finally, together with the mobilization of Colombian union SINTRATUCAR, affiliated to IndustriALL Global Union affiliate FETRAMECOL, and massive support by the Tenaris Workers’ World Council and LabourStart, a financial settlement has been made and Montoya now receives his pension.

IndustriALL assistant general secretary Fernando Lopes says:

We are pleased that a settlement has been made and that Montoya finally receives his due pension. But the time it has taken is outrageous and Montoya has paid a very high price.

1 million workers strike across Indonesia

The day of action follows on demonstrations one week earlier, where unions reacted to the new minimum wage for 2015. Minimum wage in Indonesia is set according to the province of the country.

On 10 December three of Indonesia’s trade union confederations KSPI, KSBSI, KSPSI organized a national strike, involving around 1 million union members in large cities in the country. In Jakarta alone, around 50,000 workers demonstrated on the streets.

The unions are opposed to price increase on fuel introduced by the president. The hike will effectively mean that workers lose 50 per cent of their purchasing power.

Unions are urging Governors of every province to increase the minimum wage to USD 272,7 and to increase the number of items for living cost calculation from 60 to 84 items.

A pension reform was agreed to enter into force on 1 July 2015, but there are growing concerns on what how it will be implemented.

Said Iqbal, president of trade union confederation KSPI, says:

“The law already exists, what we need is for the government to make a decree so that the law can be implemented. Once it is implemented, 44 million workers will benefit from the pension system.”

A universal health insurance meant to apply to all citizens in Indonesia as of January 2014, still leaves more than 10 million people lacking cover. Unions are demanding that this level of health insurance should be fully implemented for everyone by 1 January 2015.

The striking unions are also demanding a stop to outsourcing, which is growing fast in Indonesia.

Said Iqbal says:

We want to see 16 million agency workers converted to direct employment. And if the government strictly follows the law, this should happen.

On 11 December 2014, the confederations met with the Indonesian House of Representatives to present their five demands. Rusli, spokesperson of IndustriALL Global Union affiliate Federation of Indonesian Metal Workers Union (FSPMI) said:

"We will see how the government reacts to the demands we raised in today's rally. If they fail to respond we will stage a nationwide strike.”

Unity among unions

As IndustriALL Global Union affiliates in the Indonesian National Council met for a unity building meeting on 11 – 12 December, they expressed their support for the unions involved in the struggle.

IndustriALL unions in Indonesia are currently working together on drafting a model collective bargaining agreement, as well as on a high profile campaign for 14 weeks maternity leave for all Indonesian women workers.

IAM workers stoical despite 10-week strike

130 workers from both IndustriALL Global Union affiliate, IAM, and the Service Employees International Union have been on strike since 29 September after rejecting punitive health and pension proposals by the company.

RHI Monofrax is attempting to enforce workers to pay US$4,500 a year more for a healthcare scheme with less coverage than they had before.

The company also wants to freeze the Defined Benefit Pension to replace it with an alternative standard matching 401K with far less value.

“The stakes are very high; the proposals in front of them are draconian to say the least, and the company isn’t budging. That seems to be the spark that keeps the membership unified and strong,” says John Carr from IAM.

“Our members are not only resilient, but remain committed,” adds Carr. “However, even with donations and support from within the IAM and the labour community, it’s tough.”

The RHI Monofrax plant in Falconer, New York State, manufactures refractories for turning nuclear waste into glass.

It is part of the Austrian multinational group, RHI, which employs more than 8,000 people at 33 sites around the world.  

RHI Monofrax has responded to the strike with further proposals that are even worse than the ones that led to the walkout, says IAM.

There are also many language changes that would negatively impact the Bargaining Unit such as those regarding worker rules and disciplinary policy, as well as having to divulge the medication needs of each employee to comply with drug and alcohol policy.

“This is another glaring example of outrageous conduct by a foreign-owned company against US workers that they wouldn’t be able to do in their home country,” said IAM’s Eastern Territory General Vice President, Lynn Tucker. “Our members are standing strong and deserve the support and gratitude of all trade unionists for fighting against corporate greed at its worst.”

In a message of solidarity to IAM’s International President, Thomas Buffenbarger, IndustriALL’s general secretary, Jyrki Raina, said:

“The company is seriously undermining workers’ rights under the bogus argument of remaining competitive in the marketplace. In addition, the company’s proposals would also impact negatively on the Bargaining Unit.

“IndustriALL Global Union demands that RHI Monofrax desists of its intransigent stance and sit down with IAM members to negotiate in good faith a fair agreement, concerning heath care plans and retirement plans, covering decent and well-deserved conditions and benefits for workers and their families.”

Murder exposes rampant sexism in South African mines

Mosiane was 27 years old and had been employed at the mine for three months when, on 6 February 2012, while working alone in an isolated area, she was brutally attacked. She was found alive by another colleague some time later reportedly lying in a pool of her blood with a discarded condom nearby. She died shortly after.

Acting NUM National Spokesperson Livhuwani Mammburu said:

“As a vulnerable woman and a mineworker, she risked her life to support her family and faced all kinds of safety hazards underground. The news of her untimely and brutal murder was difficult to bear for the NUM and its members. We hope that since her brutal death Anglo American Platinum has taken steps to improve the safety of women working underground so as not to deter women from seeking employment underground.”

Shortly after Mosiane’s death Chamber of Mines spokesperson Jabu Maphalala reportedly said: “The Chamber deals with safety issues such as rock falls, dust and noise, and does not deal with gender-specific safety issues”.

This is unacceptable given that the Mining Charter states that women should form 13 per cent of mining companies’ workforces yet most mines have not made sufficient attempt to accommodate and integrate women workers they employ and address the issue of their safety.

Anglo Platinum has been noticeably silent on the verdict. The company undertook to conduct its own investigation, the findings of which have not been made available and to improve safety of women working in their mines, exactly how they are doing this is unclear. It is reported that at the time there were 3815 workers of which 262 were women working at the mine.

Mosiane has not been the only victim off gender based violence underground in South Africa’s mines that has had a fatal end. Cynthia Setuke was attacked and murdered on October 9 2013 at Aquarius platinum mine's Kwezi shaft in Rustenburg. Her sister Ceciliah Setuke links the lack of action after Mosiane’s murder to the attack of her sister and asks how many murders it will take before working conditions for women underground are addressed.

Setuke says:

“Cynthia was a member of the National Union of Mineworkers. My understanding is that the unions fought for women to also have equality in areas where previously men predominantly worked. Fine, we were all happy that women can go and work in the mines underground but does this actually open doors to further abuse and humiliation to women? Is this what the union fought for? My understanding is that women must be able to work anywhere without any fear”.

The NUM welcomed the final judgement of the gruesome murder suffered by Pinky Mosiane saying that the sentencing would bring closure to this painful chapter for her family, relatives and friends. Sanki Molefe, a female miner and NUM Rustenburg Women's Structure Chairperson said: "The sentence itself cannot bring back the life of Pinky Mosiane. But we are happy that justice has finally been served."

She adds:

“After Pinky’s murder, The Department of Mineral Resources has issued a directive that women should not be made to work alone in an isolated area underground but when another woman was murdered at Aquarius, the mine claimed to not know of this. The directive must be implemented in all mines and measures put in place to ensure the safety of women workers underground.”

Justice for Mosiane worked too slowly to save another victim. Despite a limited pool of suspects, confined to those that were underground at the time of the attack on Mosiane, it took 20 months to arrest Tutu Rooi Oliphant, a contract worker at the Anglo Platinum. Oliphant was arrested while in prison on a 25 year sentence for raping a 5 year old child, an attack carried out after he raped and murdered Mosiane.

Swiss shoe giant must take responsibility for Sri Lankan supplier

Twelve months on,100 workers are still mobilizing to demand reinstatement with support from their FTZ&GSEU union, an IndustriALL Global Union affiliate.

Swiss-based global shoe brand Bata was the primary buyer from the Palla factory at the time of the mass sacking and union busting. 

The Clean Clothes Campaign (CCC) and IndustriALL are calling on Bata to act following this grave violation by their supplier.

Contrary to its corporate code of conduct, Bata pulled out completely from Palla in late 2013. The appropriate action would have been to ensure that the factory reinstated the sacked workers; recognized the union; and pay the wage increases that were due.

At the very least, Bata must ensure that the dismissed workers receive proper settlements and are removed from a blacklist of union agitators. By blacklisting the workers, Palla has made it impossible for them to find another job.

FTZ&GSEU’s president, Anton Marcus, who is also a member of IndustriALL’s global executive committee, says:

“These workers were producing for Bata and the company is ignoring its responsibility. Therefore IndustriALL and the Clean Clothes Campaign have launched the public campaign, and we hope that Bata will change its position without further delay.”

IndustriALL’s assistant general secretary, Monika Kemperle, says:

“Please, Bata, take responsibility. Take this opportunity to put things right so that these workers get compensated and their jobs back.”

For the latest on their struggle, watch this interview with Anton Marcus.

Follow IndustriALL’s social media channels next week to join the call for Bata’s intervention in this case.

Background to the violation: http://www.industriall-union.org/industriall-and-ccc-denounce-palla-shoemaker-in-sri-lanka

Labour market policies key to wage growth, says ILO report

Introducing ILO’s Global Wage Report for 2014/15, the organization’s director general, Guy Ryder, says:

“In many countries, the distribution of wages and paid employment has been a key factor in recent inequality trends. This highlights the importance of labour market institutions and policies – including minimum wages and collective bargaining – that have an effect on income distribution.”

Wage growth in developed economies has slowed to almost zero, with actual declines in some countries. According to the report, average wage growth in developed economies fluctuated around 1 per cent per year since 2006 and then slowed further in 2012 and 2013 to only 0.1 and 0.2 per cent respectively.

“Wage stagnation must be addressed as a matter of fairness and of economic growth,” said Sandra Polaski, the ILO’s Deputy Director-General for Policy. “And because overall inequality is driven significantly by wage inequality, labour market policies are needed to address it.”

However, wages in developed economies remain on average about three times higher than in the group of emerging and developing economies.

In developing economies, the report reveals vast differences in regions.

In 2013, wages grew by 6.0 per cent in Asia and 5.8 per cent in Eastern Europe and Central Asia but only 0.8 per cent in Latin America and the Caribbean.

In the Middle East, wages appear to have advanced by 3.9 per cent, but only by 0.9 per cent in Africa, however the data for these regions is still incomplete.

The report also says that in a majority of countries where inequality has increased, such as in the United States or in Spain, changes in wages and employment have been the dominant force.

The wage gaps between different groups of workers such as women, migrants and workers in the informal economy also contribute to the overall inequality.

The gap between wages and productivity has also widened, especially in developed economies, meaning that although the value of goods has increased, it is not matched by higher wages.

“This trend means that workers and their households are getting a smaller share of economic growth while the owners of capital are benefitting more,” says the ILO.

“While fiscal redistribution mechanisms, including taxes and social protection policies are also part of the solution, they cannot bear the full burden of addressing inequality. A comprehensive strategy will include minimum wage policies, strengthened collective bargaining, elimination of discrimination against vulnerable groups, as well as progressive taxation polices and adequate social protection systems,” said Polaski.

Jyrki Raina, general secretary of IndustriALL Global Union, said:

“We welcome the conclusions of the report, which endorse our actions to achieve a living wage through both comprehensive national minimum wage campaigns and robust collective bargaining at industry level."