Towards sustainable industrial policy

One of the driving motivations for the creation of IndustriALL Global Union was to combine the forces of trade unions across extractive, manufacturing and processing industries to push for recognition of the importance of these industries to national economies and as providers of good quality jobs.

This ambition is reflected in the IndustriALL Action Plan, which commits IndustriALL to promoting industrial policy. It also recognizes the impact these industries have on sustainability and the opportunities they present for advancing sustainability.

We are now developing a program to engage affiliates across all sectors and regions on how unions can influence governments, industry and the institutions of global governance to promote these goals in the Action Plan. The program is called Sustainable Industrial Policy.

Sustainability is defined as meeting the needs of the present, without compromising the ability of future generations to meet theirs. That implies a healthy environment, a healthy economy, and a healthy society, built on sound foundations and maintained through good global governance.

An industrial policy is a plan to encourage desired patterns of industrial development and growth. It should strategically target specific industries and sectors, as well as consider broader needs such as transportation and communications infrastructure, education and skills training, research, and energy.

Sustainable industrial policy is not about creating conditions for companies to thrive at the expense of workers, society and the environment. It’s about creating conditions under which companies can operate in order to make a sustainable contribution to society.

Such policies encourage the development of greener technologies that address problems like climate change, while creating large numbers of decent jobs. They involve the effective implementation of labour standards including promotion of collective bargaining and labour laws which restrict precarious work. And they are underpinned by social protection policies addressing unemployment, retirement and health care, to which industry must be required to contribute.

In May, we are presenting a discussion paper Towards Sustainable Industrial Policy to launch the initiative and stimulate debate among affiliates.

This year we will hold regional thematic workshops in Sub-Saharan Africa, South Asia, South East Asia Pacific and Latin America to further develop the issues most relevant to those regions. We want to build the unions’ capacity to advocate sustainable industrial policy and to contribute to IndustriALL’s global understanding of the issues.

In the next two years, sustainable industrial policy will be discussed at all IndustriALL meetings at global, regional, industry and company level. Affiliates will be encouraged to participate in the debate and put forward their vision of how unions can contribute to the achievement of sustainability goals.

A key element is strengthening the role of governments. There needs to be a rebalancing of the power to dictate the terms of industrial development, away from multinational companies and back to democratically-elected bodies. Industrial policy needs to be revived, in order to correct for market failures through state intervention.

Unions must be part of industrial policy-making and have an equal seat at the table with industry. The transformation cannot happen without the active participation of workers.

Jyrki Raina

General Secretary

Partial success for mineworkers in Pakistan

MMC Duddar workers in Pakistan were on strike from 5 to 14 April, which ended after the high-level intervention of the Labour Secretary and Government Officials in Baluchistan. Production work in the mine resumed on 15 April.

The strike was partially successful as the wages were raised to 400 rupees per day for 8 hours of work compared to 200 rupees per day for 12 hours of work. However, management still does not accept the legal status of the union even after the labour department and mine department have recognized the union as the sole representative of the mineworkers in Duddar.

The Labour Secretary of Balochistan has issued a notice to the company and the union representative to engage in a dialogue to settle the industrial dispute. IndustriALL affiliate, the National Trade Union Federation (NTUF) will file the cases for the reinstatement of the 200 dismissed workers to the labour court, and also put forward a criminal case against the company of non-compliance with local labour regulations.

Chinese company, MMC Duddar Mineral Development Company Limited, mines for copper and other precious metals and minerals in the Duddar mountain area. Working conditions in and around the mines at the company are appalling; there are no safety measures in the workplace, which has increased the number of deaths and injuries. In response, on 23 September 2012, the workers registered their union, the Duddar Mineral Development Company Labour Union, affiliated to the NTUF. The formation of the union was initiated by the NTUF.

The union put their "Charter of Demands" to the company but management refused to recognize the union and started to harass the workers especially the union office bearers and active union members. Management then ordered to lock out 100 workers including the union office bearers. The union called for a strike when management failed to negotiate on the charter of demands.

The NTUF has called on the Interim Chief Minister of Balochistan to take immediate action and insist that the mine and mineral company obey the labour laws and accept the lawful demands of the mineworkers at Duddar mine. 

Condemn the ongoing harsh persecution of Hassan Juma’a

International solidarity and indignation are rising as trade unions around the world call for the sham charges filed by the Oil Ministry against Hassan Juma’a to be dropped immediately. Hassan is the president of IndustriALL Global Union’s Basra-based Iraqi Federation of Oil Unions (IFOU) and is charged with “Harming the interests of the state” under outdated repressive legislation.

This is the first time an Iraqi trade unionist has been charged under penal code 111-1969, an archaic law that the Saddam Hussein regime used to repress state employees. The court hearings for Hassan have been postponed from 20 March to 7 April to 15 April, and now again to 2 May. The postponements are mainly due to the lack of evidence against Hassan, charged with organizing a strike and demonstrations on 13 and 19 February that allegedly caused damage at the Southern Oil Company.

The ongoing industrial relations conflict between the Southern Oil Company and the IFOU brought over 1,000 oil workers from several worksites to demonstrate at the company headquarters on 16 April.

The major demonstration kicked off at 10am on Tuesday in a strong show of unity between workers from oil fields in North and South Rumaila fields, Berjsiyya and other locations (see video here).

Management had repeatedly rejected calls for dialogue regarding non-payment of benefits from 2010, 2011 and 2012. As the 16 April demonstration grouped outside management offices chanting slogans, the General Manager came out again and informed the angry protesters that he had met with Prime Minister Nouri al-Maliki and the Deputy Prime Minister for Energy Al Shahristani, who authorized him to release 50% of the unpaid production bonuses from 2010, 2011 and 2012. He also promised to resolve issues that were within his authority.

The wider context of heavy repression of trade union rights in Iraq, especially in the oil industry, underlines the importance of the international campaign for a just labour law in the country. Repressive Saddam-era labour legislation has to be replaced through a process that includes national trade unions and establishes laws in line with international standards and fundamental principles of the ILO.

Ghana tragedy claims lives of 17 illegal miners

Days prior to the tragic incident, the Minister of Lands and Natural Resources, Alhaji Inusah Fuseini reported that over 300 illegal miners died as a result of frequent mine accidents in 2011 and 2012.

Ghana had recently renewed efforts to clamp down on illegal mining, arresting more than 120 Chinese nationals involved in illegal mining in March. There has been an influx of foreigners that have come to the country to mine illegally.

Over and above this though, Ghana has a long standing issue of illegal mining, referred to in the country as ‘galamsey’. Illegal mining can be very dangerous as miners are ill equipped to take adequate safety precautions. These activities also pose risks to communities leading to environmental degradation, poor water quality as well as safety issues. 

Despite soaring gold prices in recent years, the abundance of mining activity and contribution of the mining sector to the economy, Ghanaians have not reaped benefits from mining in terms of jobs. There has been a significant decline in the contribution of mining to total formal employment and an increase in precarious work forms in the sector. There has also been a switch from labour to capital intensive mining leaving many miners unemployed as well as farming communities that have lost their land to make way for mining operations that are without alternative livelihoods.

“Such illegal activity that led to this tragedy takes place against a backdrop of desperation with no economic opportunities available to them that leads to people taking part in these dangerous and environmentally degrading activities,” said Prince Ankrah, General Secretary of the Ghana Mine Workers Union. “To address this as a nation, Ghana must develop policies that end precarious work, lead to job creation and certainty for a sustainable livelihood.”

It is estimated that over one million people are engaged in artisanal and small-scale mining (ASM) in Ghana and their labour produces a quarter of Ghana’s gold production annually, up from 9 per cent in 2000. However majority of their activities are unlicenced, informal and considered illegal.

Ghana has made efforts to improve licensing access and formalize ASM but these efforts lack sufficient depth. Whilst legal reform and enforcement is required and could address some of the worst practices found in the sector such as child labour and sexual violence, adequate support for ASM, such as  providing access to finance, tools, materials and training,  needs to also be developed to ensure that health and safety standards and environmental protection can be met. 

The authorities keep putting pressure on the ITUA in Russia

On 20 March the ITUA was inspected by the authorities as part of a broader crack down on independent organizations. Alexei Etmanov, ITUA president, was given a letter specifying the documents which were requested from the union.

After the ITUA has submitted most of the documents, the Prosecutor's Office found different violations in them.

The Prosecutor's Office protested against several articles in the union Statutes. For example, the Statutes say that the meeting of the union local's governing body is legitimate if more than half of the members/delegates 'participates' in it. The authorities claim that this article violates Russian laws: it should demand that the members/delegates 'are present' at the meeting, not 'participate' in the it.

The Prosecutor’s Office also claims that the ITUA has a tax debt of 211,882 roubles and 13 copecks (some 5,200 Euros). However, the union has paid precisely the same amount of taxes (up to 13 copecks) after the Ford strike in 2008. “We have documents proving the payment of this sum. I don’t believe that coincidences like this are possible. This is either malevolent or grave error,” says Etmanov.

Finally, the union was accused of ‘violating fire safety regulations’ in its office, but this claim is also false, Etmanov explains that the ITUA only rents an office and according to the rent agreement the union is not responsible for fire safety.

Russian authorities have embarked on an unprecedented inspection of all Russian NGOs, and the ITUA, an IndustriALL Global Union affiliate, is one of the victims of the state’s activity. Even so, Etmanov says the union will protest these actions. “I’m sure in our victory,” he says.

VW workers reject new work schedule in Russia

The management of the Volkswagen plant in Kaluga, Russia, has recently calculated a new work schedule for the summer period. Due to the combination of factors, such as an increase in demand, workers have to work 6 to 7 days almost every week.

Workers were pressured by foremen to accept the new schedule in writing. The Interregional Trade Union of Autoworkers (ITUA), which organizes VW workers in Kaluga, decided to take collective action.

On 5 April some 400 VW workers gathered in the administration quarters to hand over their demands. They chanted ‘We are not serfs – give us back our weekends!’ Pushing aside a small security force, they entered the human resources department office, handing their demands to Dr. Weber, a German trade union relations officer.

On 8 April ITUA activists met with the representatives of the company The management was still hostile to the demands of the union. Finally it was decided that a survey would be held to discover workers’ common opinion. Another meeting on 15 April didn’t bring any results. The ITUA is collecting signatures against the new schedule. The activists will meet again with the management on 19 April.

ITUA urged the workers to be firm, not to cave in to the management’s pressure, and to express their true opinion about the new work schedule.

"There have always been, and always will be issues with the work schedule. The reasons are many: from the economic crisis to the modernization of production. However, the workers do not in any way cause these issues. Even so, the management easily shifts the burden of problems on workers’ shoulders,” says Dmitry Trudovoy, president of the ITUA local at Volkswagen.

"Therefore I’d like to ask the workers of our plant: how long will we suffer the management’s arbitrary treatment and their reluctance to consider our problems? Isn’t it the time to fight for radical change, a 35-hour five-day work week, which will resolve all the work schedule issues once and for all?” he concluded.

Over 200 workers protest at Holcim’s AGM

On 17 April at Holcim’s AGM in Dübendorf, Switzerland, over 200 employees from all over Europe (Italy, Belgium, France, Slovak Republic, Czech Republic, Romania, Germany and Switzerland) held a protest to send shareholders a strong message that their CHF 1.5 billion profit target for 2014 at the expense of the workforce is unacceptable.

Katty Noël, member of IndustriALL Belgian affiliate Syndicat des Employés, Techniciens et Cadres de Belgique (SETCA), participated in the Holcim AGM with Uwe Barkmann, European Works Council (EWC) Secretary and member of IndustriALL Affiliate the Industriegewerkschaft Bergbau, Chemie, Energie (IG BCE). They both addressed shareholders to express their discontent with the company’s plans.  “As you must have noticed on your way in, a large number of my colleagues have joined us from many countries in Europe to express our discontent and our determination to make difference,” said Katty Noël, EWC vice-secretary in her address to Holcim shareholders.

Noël and Barkmann were welcomed by Holcim Chairman Rolf Soiron, who disagreed with their views. “There will be plant closures,” said Soiron, “if the market is no longer there, we have to reduce capacity.”

Protesters urged management to at least observe the applicable laws and regulations if the company absolutely has to generate extra profit at their employees' expense.

“We have gathered here to tell management to stop insisting to gain extra profits by dismissing people and without proper information and consultation from the responsible bodies,” said Matthias Hartwich, IndustriALL Director for Mechanical Engineering and Materials Industries, in front of Holcim’s AGM.

The EWC of Holcim and the European Federation of Building and Woodworkers (EFBWW) call on management to:

See Katty Noël's address to Holcim AGM

See Uwe Barkmann's address to Holcim AGM

Bargaining victory for Zewu at last

Zesa, the electricity parastatal in Zimbabwe, had reneged on a collective bargaining agreement which compelled it to pay the lowest paid worker US$275 per month. As a result, Zewu took Zesa to a criminal court over the non-compliance. The state prosecutor argued that Zesa had deliberately refused to give workers their dues, saying the company had committed a crime by contravening the Labour Act.

The magistrate said in his ruling: “We have found Zesa guilty of non-compliance to the SI 50 (registration of the CBA) which compelled it to pay workers salaries increment for 2012. Facts against Zesa are overwhelming. When the CBA negotiations were being done in 2012, Zesa was part of the table and was fully aware of the creation of SI 50.With this and all other facts tabled before this honourable court, the state proved beyond reasonable doubt that ZESA is found guilty.”

The court ordered Zesa to pay a fine of US$400, comply with agreement and make restitution, requiring Zesa to pay workers US$60 million in salary arrears, failure of which property would be attached.

After the ruling there was jubilation among the 3,000 Zesa workers. Commenting on the ruling, Zewu President Angeline Chitambo said, “this serves as a great lesson to employers who are after overworking workers but underpay them…justice has prevailed over evil forces.”  

Chitambo was unfairly dismissed last year by Zesa for allegedly inciting workers to embark on industrial action over the company’s non compliance with the bargaining agreement. Together with her union, ZEWU, she continues to fight for her reinstatement.

Solidarity visit by Belgian union to Zimbabwe’s electricity union

De Potter, who is also an executive member of IndustriALL met with senior leadership of the Zimbabwe Energy Workers Union (Zewu) together with IndustriALL regional officer, Herman Ntlatleng before touring the proposed Zewu labour college during the second week of April 2013.

De Potter and Ntlatleng then joined the union in Nyanga for a strategic planning workshop. The workshop was opened by President Angeline Chitambo; “The strategic planning workshop will help in shaping the future of Zewu….we need to leave the workshop more united and focused.”

De Potter called on Zewu to use its strategic role to ensure that the rights of workers are upheld; ““You need to know that affordable energy is vital for any economic and future development, therefore it is essential for labour unions, especially you as a strategic player to persistently fight for energy security. Zewu must continue the fight for fair working condtions.”

Addressing the workshop Ntlatleng said the union must continue until justice prevails for President Chitambo and National Executive member Dennis Mukote to be reinstated back to their respective workplaces. You must not fold hands, pretending that all is well. If you keep quite, you will be helping the employer,” he said.

Chitambo was unfairly dismissed by Zesa after being accused of addressing a press conference last July, allegedly urging workers to embark on industrial action, following a salary dispute with Zesa. Mukote was also suspended on the same charge.

Ntlatleng reported on the campaign activities carried out by IndustriALL and its affiliates in the region and abroad against the suspension of Zesa workers and the dismissal of the union leaders.

Honda Mexico cuts profit sharing with workers

The workers at the Mexican plant of multinational company Honda began an indefinite work stoppage on 16 April after the company announced a reduction in this year’s state mandated profit sharing bonus (RPTU).

In an initial meeting, management offered a profit share of 300 Mexican pesos (less than US$25) per worker for the year 2012 and a separate bonus of 8,500 Mexican pesos (US$630). This compares with profit sharing of 67,500 Mexican pesos (US$5,500) for 2011 and 48,000 Mexican pesos (US$3,900) for 2010. However, production and sales were higher in 2012 than in 2011. In fact 45,390 CRVs were produced in 2011 versus 65,256 in 2012.

In addition management of Honda Mexico is refusing to negotiate with the union that the workers want to be represented by, Union of United Honda of Mexico Workers (STUHM), and management continues to negotiate with and recognize the protection contract union called SETEAMI.

“Our response to this offer is disbelief,” writes the STUHM union in its press release, adding, “the profit sharing should similarly increase – it should at least increase by 60 per cent. Obviously, there is no believable argument to justify the company denying workers a fair profit sharing payment.”

STUHM reports that the workers were so upset by the company’s announcement that an immediate consensus was reached to stop working on the day shift, and that those on second and third shifts would join the strike later. Already 1,500 workers of the approximately 2,400 at the plant have stopped work.

“We believe that the strike is necessary and legitimate in the fight for our workplace rights. We invite you to join us at the plant in El Salto on Wednesday, 17 April 2013 at dawn to be witness to the awakening of thousands of workers in response to management constantly attacking our rights,” writes STUHM.

IndustriALL Global Union is closely following Honda’s actions in Mexico where a worker died at work last month, on which the company has remained silent to the concern of the workers.

IndustriALL demands that Honda workers in Mexico are allowed to exercise their right to decide freely and democratically which union they want to represent them, without any interference from the company.