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Labor Strategy Paper
Statements of Understanding:
We believe that
1. Governments throughout Latin America, with pressure, funding, and
support from international financial institutions and multinational corporations
are increasing their implementation of the neoliberal economic model.
Key elements of the model include structural adjustment programs, low-wage
export-oriented production (maquiladoras), the privatization of public
services, the gutting of the state and its regulatory capacity, anti-worker
labor flexibility policies, lessening restrictions on capital flow while
increasing restrictions on the flow of labor, and union busting.
2. Free trade agreements, such as NAFTA (North American Free Trade Agreement),
the Caribbean Basin Trade Partnership Act, and the FTAA (Free Trade Area
of the Americas), are a crucial element in guaranteeing US political and
economic domination of Latin America. This market-driven integration process
is causing the loss of jobs, reduction of wages and social services, and
the erosion of fundamental principles of democracy.
3. Six years of NAFTA has shown it to be an unmitigated disaster, resulting
in massive dislocation of jobs, and the driving down of wages in Canada,
the US, and Mexico. While the border areas have seen intensified industrial
activity, Mexican workers there often make less than the minimum wage
of $3.40 per day. The percentage of people living in poverty in Mexico
has skyrocketed since NAFTA.
4. Under the FTAA, exploited workers in Mexico will be leveraged against
even more desperate workers in Haiti, El Salvador or Brazil by companies
seeking tariff-free access back into US markets.
5. The ongoing liberalization process also includes the destruction of
the agricultural sector and the loss of food self-sufficiency. This has
led to massive rural migration and the loss of hundreds of thousands of
agricultural jobs throughout Latin America.
6. The policies of the World Trade Organization (WTO) are destructive
to workers globally, by placing free trade over workers’ rights. The voices
of Latin American countries are continually marginalized by the corporate
and non-transparent structures.
Export-oriented production:
1. With the expansion of free trade zones in Central America and the
Caribbean, one of the region’s only advantages within the competitive
globalized economy is its pool of low-wage labor that the region’s governments
make available to investors by setting up zones where companies pay no
import or export taxes for up to ten years.
2. In a constant search for lower production costs in order to maximize
profits, US retailers and manufacturers shift contracts and orders from
maquila to maquila and country to country. The contractors, in competition
to offer the lowest costs, push their workers to produce as fast as possible
for the lowest wage possible while cracking down on any attempt to organize
trade unions. While national laws (which are often quite good) are supposedly
in force in the free trade zones, local authorities are reluctant to enforce
them.
3. Wages in the free trade zones rarely cover even half the costs of
a basic basket of consumer goods (including beans, rice, and laundry soap,
but not rent or children’s shoes) for a family.
4. Free trade zone factories often allow chemicals to pollute lakes,
rivers, streams and the land around the factories. Cotton dust, chemicals,
noise, long hours, bad seating and ventilation all lead to health problems
among workers and unborn children.
5. Eighty percent of maquiladora workers are women, most of them between
the ages of 16 and 26, and many of them are single mothers of small children.
6. International Financial Institutions have defined the paid work that
women do as merely "income generating activity" rather than
labor deserving a full wage, based on the assumption that a woman’s income
is supplemental to her husband’s income. This definition of women’s labor
as supplemental allows their wages, and wages overall, to be forced even
lower. In fact, in many countries, the majority (and perhaps only) breadwinner
is a woman. Labor unions, also using this assumption, have failed to recognize
the importance and potential of organizing women workers.
Privatization of State Industry:
1. Privatization (or selling off) of state-owned enterprises is a universal
recommendation of International Financial Institutions (IFIs) Structural
Adjustment Programs (SAPs) that comes at the expense of jobs, worker rights
and the quality of service offered by the enterprise. State-owned enterprises
are sold under pressure from IFIs when it would be in the better interest
of the country and its population to keep the institutions under public
control.
2. A state-owned enterprise is easier to parcel out to foreign and national
private investors if the employees are not organized into unions. Lowering
standards of labor rights attracts private investments.
3. Traditionally, the public sector has the highest unionization rate,
and the strongest, most progressive unions. Privatization efforts go hand-in-hand
with union busting, and result in the weakening of social movements overall.
The rights of labor:
1. The right to organize is a long-established right, recognized internationally,
and steeped in precedent as a hallmark of democratic government. The right
to organize includes, but is not limited to, the right to form a union,
the right to bargain collectively, and the right to strike.
2. International institutions and conventions established to protect
and promote workers rights, such as the International Labor Organization
(ILO), are being systematically gutted, and their decisions are increasingly
ignored by capital and governments.
3. Capital is using its newfound mobility under NAFTA and other international
agreements to prevent workers from organizing, blackmailing workers with
the threat of relocation whenever they exercise their rights.
4. In order to attract investors, governments are violating their legal
obligation to uphold the right of workers to organize while, at the same
time, they are attempting to weaken their country’s legal codes as they
relate to established labor standards.
Statements of Principle:
We believe that
1. International financial institutions should be prevented
from requiring "labor flexibility," which is simply
a code word for ending worker protections, in loan agreements
that they sign with developing countries.
2. Workers must not continue to pay for the consequences of
intensified international competition resulting from free trade.
So-called comparative advantage must not be founded on the violation
of basic human rights.
3. Countries that do not implement internationally recognized
labor rights agreements and refuse to enforce labor covenants
undercut the rights of workers in countries that do. International
institutions that were establish to defend the rights of workers
(such as the ILO) should be strengthened, not gutted. The revocation
of trade privileges to countries that do not enforce labor codes
can contribute to the improvement of working conditions. Such
a strategy must only be employed if called for by the labor
movement in that country. Since many countries, including the
United States, have not ratified some or any of the ILO covenants,
we support campaigns working for the ratification of those points.
4. The right to organize a democratic and independent union,
free of government and corporate control, is a human
right for all workers regardless of gender, ethnicity, race,
economic status, or locality. We support our colleagues who
are fighting to oppose the corporativist relationship between
the government and government-supported or corrupt unions.
5. Democratic and accountable unions are the most effective
method of fighting against worker rights abuses and sustaining
worker rights gains worldwide.
6. Union busting is an unconscionable violation of human rights
7. It is the responsibility of governments to ensure laws protecting
workers are upheld. The failure of governments to uphold labor
laws sets a dangerous precedent, eroding democracy and ensuring
lower standards of living.
8. The failure of governments to uphold labor laws has international
impact in the context of NAFTA and other free-trade agreements.
Standards are effectively lowered in several countries by the
action of one country.
9. In this new international context, the right to organize
must be defended internationally in order to be respected. Governments
and capital must be pressured in several countries at once to
force them to accept established labor law, specifically the
right to organize.
10. When we buy a garment assembled in a maquila overseas,
we enter into an economic relationship with all those who participated
in the manufacturing process. We can use our influence as consumers
and citizens to pressure companies to uphold acceptable working
conditions, including a living wage. What constitutes a living
wage should be determined through inclusion of local worker
groups so as not to undermine local organizing. As consumers
we provide the impetus for ensuring corporate responsibility.
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1. We will create an Emergency
Response Network, to react immediately to labor situations
in the United States and Latin America.
2. We will continue to
use the ‘solidarity model’ in all of our
actions and campaigns.
3. We will create a website
clearinghouse including information on specific campaigns,
rapid response actions and education materials.
4. We support the creation
of a unified campaign such as the citizen’s referendum
or Zapatista-style consulta.
5. We will create a set
of broad political principles around which we can organize
specific campaigns and support each other’s efforts
in ensuring labor rights in the globalized economy.
6. We will use our position
as consumers to demand that companies include labor
rights in their contracts and processes. We will fight
the influence that socially irresponsible corporations
hold over society and culture.
7. We will take back May
1st, International Workers’ Day, as
a way to bring us all together and reach out to the
rest of the population. We will use this day to highlight
our campaigns and promote tactics such as the citizen’s
referendum.
8. We support the protests
of the FTAA in Quebec, in border cities, and globally.
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11. Access to free healthcare, education, and water are all
basic human rights that governments have a responsibility to
provide to their citizenry. It is the obligation of national
governments to make decisions about state-owned enterprises
that take into consideration the best interest of the country,
the workers and the population served.
12. Union busting, the arrest of labor organizers, and violent
behavior from the management of state-owned enterprises to destroy
an organized workforce is an insidious effect of Structural
Adjustment Programs that are a universal condition for aid from
International Financial Institutions.
13. The erosion of workersí rights in any country lowers the
international standards and has far-reaching effects on the
plight of workers everywhere.
14. No human being is illegal. As capital is free to move all
over the world, labor should be free to move also. We call for
immediate amnesty for all immigrants.
15. Real agrarian reform (reform that is not part of counterinsurgency)
is an instrument of social justice, development and generation
of employment in the rural sector. It must be implemented to
improve the quality of life of the rural working class and rural
population in general.
16. We support the continued efforts of unions in the
United States to ensure their own rights and the rights of workers
globally. A vital counterbalance to the neoliberal offensive
is cross-border solidarity. This involves the joint strategizing
and implementation of tactics by solidarity organizations and
unions in the United States and Canada with Latin American social
movement organizations (unions, peasant organizations, and women’s
groups) and some leftist political parties.
17. We must strive to develop with our current historic partners
in Latin America stronger bonds of cross-border solidarity.
This should lead to forming joint campaigns that allow us to
confront neoliberalism and US imperialist domination in Latin
America. It is important to take into account the history of
US imperialism and intervention in Latin America. This means
activists in the North should always be aware of the legacy
of the US and work to not perpetuate these racist, imperialist
dynamics.
18. Workers engaging in concerted action across borders in
defense of common interests, is the best guarantor of the right
to organize. National and international campaigns of coordinated
actions including union-student groups, unions, religious congregations,
and others can support international labor rights.
19. Solidarity work must be responsive to union needs and demands.
Those on both sides of every border must strive to develop trusting
relationships and the sharing of information and resources between
organizations (unions, NGOs, student organizations, religious
organizations, etc.).
20. We are opposed to the FTAA, fast track, and any bi-lateral
or multi-lateral trade agreements that lack language and effective
mechanisms for ensuring workers’ rights.
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