SPECIAL REPORT: Inditex and IndustriALL Global Union: Getting results from a global framework agreement

Special Report

Text: Léonie Guguen

A GFA serves to protect the interests of workers across the operations of multinational companies, setting the best standards for trade union rights, health, safety and environmental practices. GFAs are constantly reviewed and improved by IndustriALL.

The Agreement allows us to do our work with the factory owners 

says Isidor Boix from Spanish union Industria-CC.OO, who acts as IndustriALL’s coordinator for implementation of the GFA with Inditex.  

We have been able to translate the good intentions written in the contract into concrete activities.

Spanish-based fashion group Inditex has 6,340 stores in 87 different countries employing more than 128,000 people worldwide. The retail and administration staff is covered by a GFA concluded with UNI Global Union. Largely consisting of the Zara chain of stores, Inditex also has seven other brands: Massimo Dutti, Bershka, Stradivarius, Oysho, Pull & Bear, Uterqüe and Zara Home.

Much of the company’s success has been achieved by adopting the latest catwalk looks and delivering them to the high street in a matter of weeks. To achieve such a rapid turnaround from design studio to shop floor, approximately 50 percent of production is manufactured in proximity countries to Spain such as Turkey, Portugal and Morocco. Other key areas of production include Brazil, Argentina, Pakistan, China, India, Bangladesh and South East Asia. It has approximately 6,000 different suppliers.

The GFA between IndustriALL and Inditex covers more than a million garment workers toiling for the group.

As a global organization, IndustriALL has the capacity to reach and defend workers spread out across the group’s enormous supply chain. The GFA has succeeded in integrating workers’ rights into the group’s corporate behaviour and ethical guidelines. As a result of this positive partnership, factory owners are learning to consider trade unions as key to creating a sustainable workforce

            – Jyrki Raina, IndustriALL’s general secretary

The GFA is like a direct line of communication between the workers and the company here… It is a way to receive the problems and be involved in the solutions. We have been able to resolve some critical situations in some countries.

             – Félix Poza,
               Director of Corporate Social Responsibility at Inditex

The relationship has progressed well beyond the original agreement, with Inditex and IndustriALL taking on joint training initiatives and country visits.

The GFA is something we have integrated into our normal activities. 

However, success was not achieved overnight and there were five years of dealings with Inditex before the 2007 GFA was signed with IndustriALL’s predecessor the International Textile, Garment and Leather Workers’ Federation (ITGLWF).

It was the 2005 Spectrum factory collapse in Bangladesh that spurred greater action from Inditex. Sixty-four workers died and 80 people were injured when a building with an illegal number of floors collapsed. The ITGLWF fought to secure compensation for victims from brands sourcing from the factories. In the end it was only Inditex, whose supplier had subcontracted to the factory, which agreed to pay compensation in line with international standards.

The cooperation over the Spectrum disaster boosted the relationship between ITGLWF and Inditex and led to the GFA being signed in October 2007.

The collaborative agreement sets out to ensure the effective application of International Labour Standards throughout Inditex’s supply chain including those workplaces not represented by IndustriALL trade unions. It also means IndustriALL is recognized by Inditex as its global trade union counterpart for workers in its Corporate Social Responsibility (CSR) commitments.

Corporate Social Responsibility can be a problem for unions because it is very unilateral. It is the companies that make the decisions and carry out the audits and so on… Other big brands, for example H&M and Gap, have got CSR declarations but they lack a clear definition of the role of unions. The GFA provides a much-needed mechanism to establish a relationship between Inditex’s CSR agreement and local unions. The local union can say to Inditex ‘I want to visit this factory to see what happens there’ and Inditex will phone the factory and organize it.

            – Isidor Boix

In the past 12 months, IndustriALL has carried out numerous factory visits in seven different countries. Since 2007, the GFA has enabled IndustriALL to resolve problems of the liberty of unions, monitor working conditions in suppliers’ factories and successfully fight for the reintegration of workers expelled for being unionists, for example in Peru, Turkey and Cambodia.

We are free to talk openly to workers without factory owners or Inditex being present 

The GFA also further enforced workers’ right to organize in Inditex’s Code of Conduct for External Manufacturers and Suppliers, which has ‘respect for freedom of association and collective bargaining’ as one its pillars.

However, in practice, implementing unionization is not necessarily straightforward.

It is a mechanism that doesn’t always work well. In countries like Morocco it is very difficult to establish a union presence, whereas in countries like Brazil it is much easier.

            – Isidor Boix

It is a challenge for everybody, also for IndustriALL, which has to work in many countries to improve the capacity of the local trade unions.

            – Félix Poza 

Many factories have no union representation at all, so we talk to workers about the role of unions, trade union law and help establish organization in the factories… For a lot of people we meet, it is the first time they have ever been given the chance to talk about their working conditions collectively.

            – Isidor Boix

Living Wage

As a direct result of the GFA, the concept of a living wage was introduced into Inditex’s Code of Conduct. “Wages should always be enough to meet at least the basic needs of workers and their families and any other which might be considered as reasonable additional needs” it reads. This definition was agreed with former head of ITGLWF Neil Kearney and introduced to the Code in 2007.

It is a key point and milestone for us. Including a definition of an acceptable wage was a radical concept at the time, 

says Indalecio Pérez from Inditex’s CSR department.

What is the impact of wages on the price of a piece? In many cases it is just cents when you compare it to the price of the raw materials, the cost of the cutting, manufacturing and transport… We have been living with increasing salaries in the past year and the business is still running.

            – Félix Poza

However, Pérez admits it is often difficult to make an impact acting individually:

We are just one company, even if we are a big company. But if you compare our entire production to production worldwide, we are a small percentage. We have limited effect if we go it alone. We (brands) need to tackle it together, and deal with local organizations and credible institutions and governments. We cannot substitute the role of governments. 

2012 Protocol

As Inditex has grown into a fashion colossus so the GFA with the company has strengthened. The 2012 Protocol further advanced the agreement by specifying the role of trade unions in the enforcement of the GFA within Inditex’s Supply Chain.

the 2012 Protocol developed the practical side of the accord… The evolution of Inditex has also been the evolution of our relationship with them. 

            – Isidor Boix

The Protocol recognizes the important role that local unions play in implementing the GFA given their proximity to factories. Where local unions identify a breach regarding the GFA it will notify Inditex and IndustriALL, who will introduce a Corrective Action Plan should a breach be confirmed.

Central to the Protocol is that IndustriALL and Inditex put in place training schemes aimed at providing a better understanding of the GFA. These should involve managers, officials, workers and supervisors from suppliers and external manufacturers, as well as representatives of local trade unions from each of the countries involved.

In addition to the original GFA, the Protocol requires Inditex to give a full list of all its 6000 suppliers and subcontractors including the volume of their production for Inditex, enabling IndustriALL and local union affiliates to make better contacts with workers.

The Protocol also marks a complete shift in attitude by Inditex with regard to workers and unions.

In 2012 we dramatically changed the relationship with IndustriALL in a positive way because we tackled the relationship with the unions from a preventative point of view… We realized that asking for a living wage, asking for freedom of association and promoting collective bargaining is a preventative and a proactive way of guaranteeing a sustainable supply chain.

            – Indalecio Pérez

Training

As a result of the 2012 Protocol, joint IndustriALL and Inditex training projects have taken place in countries including Turkey, Morocco, Brazil, Portugal, Argentina and China.

The training has been positive and an opportunity to talk to workers and trade unions in a different way… We get to hear about the needs of the workers and what can be improved. Ultimately, we are talking about the sustainability of the factory and in the end you are talking about the sustainability of the entire business model.

            – Félix Poza

The meetings have given IndustriALL and local trade unions an opportunity for open dialogue with top management at the factories, which has been unprecedented in many countries.

Training projects, which always include IndustriALL representatives, have been started in nearly all supplier countries, also providing a new opportunity to build relationships between the Inditex’s country CSR teams and local trade unions.

When we started we didn’t have any involvement with local trade unions and now in a very short time we have created channels of communication in each of the countries.

GFA Coordinators

In a further significant step, Inditex has committed to funding a network of coordinators whose sole role is to help implement the Agreement. Trade union experts will be assigned in countries with significant production output for Inditex and will be able to work with the company’s local CSR teams. The first GFA Coordinators will be assigned to Bangladesh, Cambodia, Turkey, India, China and Latin America.

A structure of GFA coordinators will enable Inditex and IndustriALL to share a constant dialogue with local affiliates, as has been achieved to a large extent in Turkey, Portugal, Brazil and Bangladesh.

Bangladesh health and safety commission

Alarmed by the high number of deaths caused by fires in Bangladeshi garment factories, Inditex launched a joint project with IndustriALL in January 2013 to carry out fire assessments and set up health and safety commissions in 200 factories in the country.

The project will help factories to be better organized and improve evacuation procedures in the case of an emergency. A Health and Safety Committee, which must be composed of union members, will be set up inside each factory and elected by the workers.

After the April 2013 Rana Plaza factory collapse, which killed 1,138 garment workers, Inditex inspectors began evaluating Bangladeshi suppliers in terms of structural risk as well.

Inditex is a signatory to the Bangladesh Accord on Fire and Building Safety, the ground-breaking agreement led by IndustriALL and UNI following the Rana Plaza disaster which commits brands to improving safety conditions in the country’s garment factories.

Inditex has given the audit reports from its own fire and structural inspections to the Accord’s administration.

As the GFA continues to grow and develop, Poza credits it with promoting mature industrial relations for the company.

The results of our collaboration have always been very positive and the Agreement has given us the capacity to solve problems. Sometimes it has provided solutions for other brands as well.

Monika Kemperle, IndustriALL's assistant general secretary says: 

With Inditex there is a willingness to cooperate even if we do not always see eye-to-eye… The Global Framework Agreement is an invaluable bond and the recognition of a long-term commitment from both sides to improve conditions for workers at all extents of Inditex’s vast supply chain.

FEATURE: Building global union power in the auto industry

Feature

Text: Tom Grinter

The table below illustrates the developed international trade union structures inside the market-leading automotive companies. IndustriALL Global Union serves as a network of company networks in the industry. International solidarity and union power are exerted to achieve company-recognized World Works Councils that provide top-level mechanisms for labour influence over company strategy as mentioned in the Action Plan adopted by the Founding Congress in Copenhagen in 2012. In all of these bodies IndustriALL plays an important role, recognized by the management. IndustriALL has a seat throughout the entire World Works Council meetings including for the management reporting of corporate strategy.

IndustriALL affiliates organizing internationally in the major auto companies:
IndustriALL affiliates organizing internationally in the major auto companies:

Bob King, UAW President and Co-Chair of the IndustriALL auto sector:

In IndustriALL Global Union, there is a vision of economic and social justice without borders. The automotive affiliates are helping to make this vision a reality, working together in new and innovative ways. From Brazilian workers taking swift action to stop retaliation against a Nissan worker in Canton, Mississippi, to
auto unions uniting to condemn violent repression at Ssangyong Motor in Korea, the UAW has found this cooperation inspiring and effective.”

Erich Klemm, Chairman of The Daimler World Employee committee:

As companies extend and enforce their international activities, worker representations must build up transnational structures if they want to prevent workers becoming a pawn to globalized production orders and cross border decision making. The ultimate goal of the international bodies at Daimler is to create mutual trust, time and again, for worker representation across borders in the spirit of solidarity. The meetings ensure equal information for all and discussion on an equal footing with the top management.

We succeed in this with the support of international unions – and including the workers representatives from new sites. Plants and workforces need to have a face for one another.”

The Volkswagen World Works Council illustrates how effective this body can be. All local level Human Resources managers are invited to meetings where the workers’ representatives have a platform to voice local complaints in front of the full international management, CEO and unions. No local level HR manager wants an open discussion of labour complaints in his or her plant, so plant level unions have greatly increased opportunities to reach an agreement in the lead up to these annual meetings.

French auto companies are also well organized internationally by IndustriALL affiliates. The GFAs with Renault and PSA Peugeot Citroën are model agreements with strong language on decent wages, trade union rights, health and safety, coverage of the supply chain and the setting up of a World Works Council to follow implementation.

Helmut Lense, IndustriALL’s Auto and Rubber Director, on World Works Councils:

Companies have to fund trade union travel and participation costs in the meetings, not because of law but because of the power of the union. There is no question of this payment affecting the union’s independence. Depending on the home country of the company, these meetings are usually led by the respective Works Council, not by the management. The Works Council invites management to the meeting and insists that the CEO comes and reports to the union.

The unions say to management that workers need a global structure, that management does not pay for their flights to international meetings, neither should the union. You are doing your work as company management, we are doing our work as the union on a global level. Each side is doing its job and it is paid by the company’.

Numerous standard-setting industrial relations systems and agreements in the industry put pressure on other auto companies to follow suit. The Global Framework Agreement with Ford is IndustriALL’s only GFA signed with an American company. And the pattern of influence is extended down the supply chain, where most violations occur.

The supply chain has added importance in the auto sector compared to other industries, as 70 to 80 per cent of the average car’s value comes from the supply chain. The auto sector does not differ from the general trend whereby the majority of labour rights violations occur in the supply chain. Ensuring supply chain coverage in global framework agreements is a priority for the sector. The above pie chart illustrates the high number of IndustriALL GFAs with companies in the supply chain, the majority of which are German companies for example Bosch, Mann & Hummel and ZF.

Global industrial relations agreements with BMW, Renault, PSA and Volkswagen (VW) have been instrumental in solving conflicts at auto suppliers. On a regular basis IndustriALL coordinates the international intervention to a rights violation in manufacturers within the auto supply chain in Turkey. This IndustriALL response is greatly strengthened by leverage through the network of GFA with the major auto companies buying the product, whether it be rubber seals for the engine, ball bearings, or the wheels.

Exporting union power

The German union IG Metall is IndustriALL Global Union’s largest affiliate. High union density, with an ever-increasing membership has positioned IG Metall to dominate the Works Council mechanism in Germany that was originally established to weaken Germany’s unions. IG Metall uses its sway on the supervisory board of all major German companies in the sector.

Everywhere in the world people still work under appalling conditions and are persecuted and oppressed because they organize a union,”

said Berthold Huber, president of IndustriALL Global Union.

Our central task is to enforce minimum social standards in order to make globalization more humane. We are negotiating with companies on Global Framework Agreements so as to implement minimum conditions in all locations of the company and in their supply chains.”

IG BCE, also large and influential, exerts important pressure within supplier sectors such as tyre, glass and leather industries, while CNM-CUT of Brazil is very active in international auto activities with a strong presence in the sector.

Likewise, the Japanese Auto Workers Union (JAW) use their high union density and influence with management of Japanese multinational companies to lobby in support of fellow autoworkers in other countries. Concrete examples include supporting the organizing drive of the UAW at Nissan’s plant in Canton, Mississippi, the STUHM trade union at Honda’s plant in Jalisco, and Unifor’s organizing efforts at Toyota in Canada.

The JAW is also leading a number of activities to build union networks in Asia. The JAW has taken the initiative to launch, in August 2013, the Asian Autoworkers’ Network. The new network’s common understanding is:

… that it is greatly important for Asian autoworkers’ unions to come together in solidarity and exchange ideas and opinions. We hope this … will contribute to deepen relations among autoworkers’ unions in Asia and eventually lead to MNC union networks that IndustriALL envisions.

Effective international solidarity in action

IndustriALL auto union affiliates from all continents fight for each other in the knowledge that only by achieving decent working conditions everywhere can a sustainable industry be built.

Members struggle against vindictive automotive employers and complicit governments in India, Korea, Mexico, Russia, and Turkey to name a few.

Indian autoworkers similarly constantly struggle for their basic trade union rights and will gain from increased international solidarity from the global union network.

The high-profile example of current ongoing struggle in India is at the Japanese company Maruti Suzuki’s motorbike plant in Manesar. From 15 to 31 January 2014 over 2,000 demonstrators marched to New Delhi from the neighbouring state Haryana to demand the release of 147 arrested workers and the reinstatement of 2,300 suspended workers.

In December 2012, local management of the Finnish car parts multinational PKC sacked 100 workers involved in a Los Mineros organizing drive among other unacceptable tactics to maintain the protection contract at the Ciudad Acuña plant in Mexico.

IndustriALL is working to support a union of Volkswagen workers, SITIA, in becoming a federation structure that can organize especially new auto plants in Mexico. The coverage of the union will then by extended to auto suppliers.

The co-chair of the industrial sector, Gabriela Pignanelli, comes from SMATA, the Argentinian autoworkers’ union that is returning to international activities and becoming more and more active.

“When we fight, we win”

South African affiliate NUMSA regularly mobilizes to win gains for its members in the auto sector, and has established sectorwide bargaining. For example in October 2013 NUMSA’s motor component workers went on strike for four weeks to win a new three year collective agreement with wage rises per year of 10, 8 and 8 per cent.

NUMSA can regularly be counted on to take action in solidarity with fellow autoworkers in other countries. Action in support of the UAW’s organizing campaign at Nissan has been wide-ranging. In mid-2013 NUMSA hosted a UAW delegation for a week of high profile activities culminating in a noisy picket at the Japanese embassy, demanding government intervention to stop union busting at the Nissan plant in Mississippi.

The ITUWA has won good collective agreements in Russia through mobilizing members at Ford, Volkswagen and Benteler Automotive. ITUWA organizes workers at 17 automobile companies and suppliers after establishing itself in 2007 through a successful strike at Ford in St Petersburg.

VW workers in the US denied right to organize

US union, the United Auto Workers (UAW) has played a historical leading role in the sector, and continues to do so. The various UAW organizing drives at factories of non-US multinationals continue at differing stages, each has important international union support. The 12-14 February unionization vote at VW in Chattanooga Tennessee confirmed to the world that basic labour rights are not present in the US.

The important vote was undoubtedly derailed by outside political interference. The UAW has filed objections in the US with the National Labour Relations Board (NLRB) over the underlying and deviant behaviour by politically elected officials in the Volkswagen unionization vote in Chattanooga. The UAW lost the representation election, 626- 712, but despite Volkswagen’s neutrality and granting UAW right of access to the plant, an anomaly in such US labour cases, Tennessee politicians inexplicably interfered in the process, and now might have jeopardised future VW expansion in Chattanooga.

Republican Party elected officials in Tennessee, the state’s Governor, Bill Haslam; US Senator, Bob Corker; and an influential state senator, Bo Watson, all heartily joined right-wing lobbying groups invading Chattanooga to thrash the UAW and crush the 22-page neutrality agreement worked out by the UAW and Volkswagen, with assistance by IG Metall of Germany.

Forty-three votes was the difference, 

said UAW secretary treasurer, Dennis Williams at a press conference following the vote.

It’s very disturbing when this happens in the United States of America when a company and union come together to have a fair election process.

Organizing Nissan workers in the US

After Nissan workers in Canton, Mississippi, began an effort to form a union and approached the UAW for assistance, local management responded harshly by conducting intensive group and one-on-one meetings and showed antiunion videos to communicate its strong opposition to the union. These activities have created an atmosphere of fear and intimidation that is clearly in breach of the workers’ right to make a free choice regarding unionization.

IndustriALL registered serious concerns regarding Renault-Nissan’s response to union organizing efforts in the United States to CEO Carlos Ghosn in March 2014.

General secretary Jyrki Raina’s letter stated:

While I applaud Renault’s signing of the Global Framework Agreement (GFA), and the Alliance’s public commitment to respect global labour standards, including those contained in the OECD Guidelines for Multinational Enterprises and the United Nations’ Global Compact, it is important to recognise that Nissan’s conduct at its U.S. assembly plants is inconsistent with these internationallyrecognized labour standards. Renault- Nissan cannot claim it is respecting workers’ human rights by merely complying with weak U.S. labour laws.”

In its support of UAW’s organizing drive at Nissan IndustriALL works with automotive affiliates in Japan, France, Brazil, South Africa, and elsewhere around the world.

Setting the common plan of action

In his role as IndustriALL Automotive and Rubber Director, Helmut Lense facilitates annual meetings of the IndustriALL Automotive Working Group that brings together autoworker unions from at least 18 countries and all of the auto companies. The working group discusses and sets common strategies and concrete actions for the sector aiming to stabilise the relationship between the unions, companies and countries to support organizing everywhere and to help strengthen existing and new unions in the sector, in line with the IndustriALL Action Plan.

The location of the working group meetings is strategically chosen; in 2010 it started in Detroit, USA, to discuss the organizing strategies of the UAW. In 2011 and 2012 the meeting was held in India and Russia to build connections between local unions struggling to begin organizing drives together with union representatives from the companies’ home union. In 2013, the meeting was conducted in Japan to develop the vitally important relationship with the Japanese unions. And in 2014 the meeting will be in Thailand to strengthen the Asian union movement in the sector and to show Asian unions that IndustriALL is focusing on the region and supporting their efforts.

Another important area of work for the sector is to focus on these specific countries: Mexico, India, Russia and China. Specific focus on India began in 2014, seeking to build unity amongst the Indian auto unions and to develop relations and solidarity between the Indians and headquarter unions from the various auto companies such as Ford and Daimler.

Next year a new focus will begin on Russia, and the country focus that began in 2013 on Mexico will continue. These country specific activities are run with a small group of key union leaders who have real influence inside their respective companies. Each workshop works to a similar structure, with the two priorities to increase awareness of the local conditions and then to build the connections between local unions and the headquarter union.

From the IndustriALL Global Union Action Plan:

To fulfill its mission IndustriALL will work towards the following goals:

Jyrki Raina, general secretary of IndustriALL Global Union:

We are proud of the advances made in the auto sector in building union power through networks. Strong networks and high levels of organizing combine in the sector to empower workers throughout the supply chain and make GFAs a strong tool. GFAs remain one of the best ways to secure workers’ rights and improve conditions in multinational companies in our globalized economy. 

We will continue to support GFAs to negotiate, monitor compliance and improve conditions. Global capital is an immense force, its power must be tempered by the power of people acting together.”

FUP and Petrobras launch Workers’ Network

IndustriALL Director Carol Bruce from the meeting in Rio de Janeiro stated:

FUP and IndustriALL have dreamt of establishing an international Petrobras workers’ network for ten years. Today our dream has come true. Policies need to be established and enacted to make CSR felt at the shop floor level, and not only at company headquarters.

Some 50 workers and trade union representatives attended the meeting from Brazil, Argentina, Peru, Curacao, China, Nigeria and Colombia.

Presentations were made by Petrobras management on CSR and human resources policies. Some attention was paid to gender issues. Women make up 15.8 percent of the workforce at Petrobras. It was felt that since the president of Petrobras is a woman, this helps to break stereotypes and change mentalities. There is a women’s collective within Petrobras which fights for women’s space.

One focus of the meeting was outsourcing and precarious work. Some delegates reported on their experiences. Experiences with other networks were presented such as BASF and Repsol. A presentation was made by DIESSE, which is a department that provides studies and support to trade unions in Brazil. The two participants from Nigeria presented their case which was based on the fact that Petrobras made highly skilled staff redundant with the false argument that it was divesting in Nigeria. “Precarious work is a priority for the new network. Labour relations inside Petrobras are casual, and far too informal,” added IndustriALL’s Carol Bruce.

Ultimately the demand is for Petrobras and IndustriALL to renegotiate and renew the global agreement in order to include some good practices that have been emerging with other agreements. The unions want to make the most of the agreement and work specifically on themes such as discrimination. They would like to ensure that one activity be held every year, whether it be a meeting or a piece of research. All unions in the network are asked to send in their collective agreements with Petrobras in the attempt to create a database. The International Secretary of FUP will be responsible for coordinating this work. The participants felt that if it is possible to coordinate activities in all the countries where Petrobras operates, the network will make a real difference. The trade unions can exchange experiences, explain their doubts and propose solutions with the idea of globalizing rights. The network will be more effective once it is officially recognized by the company. In this way Petrobras can be made really responsible.

Petrobras, 56% owned by the Brazilian government, has 80,500 employees and operates in some 30 countries. The company is a leader in exploration and production of oil, and operates 16 refineries as well as numerous petrochemicals, biofuels, pipelines and other installations. 

IndustriALL Global Union signs worldwide social and environmental responsibility agreement with Solvay

The official signing ceremony took place on 17 December in the presence of Jyrki Raina, General Secretary of IndustriALL, and Jean-Pierre Clamadieu, CEO of Solvay. At the ceremony, Albert Kruft as Secretary of Solvay’s European Works Council, also pledged full support to this global agreement.

Solvay commits to respect international social standards as defined by the International Labor Organization and to comply with the principles of the United Nations Global Compact in all of its operations worldwide – also in countries which have not yet ratified these conventions. Solvay expects its suppliers and sub-contractors to respect these fundamental principles.

Every year, two joint assessment missions will take place in countries and on sites chosen by IndustriALL, along with IndustriALL officers, Solvay management and trade union representatives. The first mission assesses Solvay’s safety policies and the second mission will review the application of all the agreement’s aspects, including environmental protection, pay levels or relationships with suppliers and subcontractors.

“This agreement reflects our aim to foster a rich and well-balanced dialogue with the Group's employees and their representatives worldwide. IndustriALL will be a demanding and constructive partner in helping us to implement this agreement,” said Jean-Pierre Clamadieu, CEO of Solvay.

Jyrki Raina, General Secretary of IndustriALL, says on the agreement:

The challenge for IndustriALL is to ensure that multinational groups act in a dignified manner and respect the rights of their employees throughout the world.

"Solvay’s voluntary commitment is extremely important because it clearly states to the world the Group’s conviction that social dialogue at an international level is possible as well as essential and represents a source of mutual progress. We know Solvay very well, and we are confident that, together, we will be able to ensure that this agreement is applied as effectively as possible.”

IndustriALL Global Union signs two new Global Framework Agreements

On 9 December Jyrki Raina, General Secretary of IndustriALL Global Union, met with Jan Johansson, CEO of SCA to renew the GFA between SCA, IndustriALL and Swedish trade union Pappers.

The first GFA with SCA was signed in 2004 and has since been renewed every second year. The latest version of the GFA is more dynamic and meets current requirements in line with the decisions from the Frankfurt conference on GFAs. The revised agreement lists fundamental conventions and ILO guidelines principles, the basis of the relationship between employers and employees. It also covers the issues of working-time and compensation for overtime, as well as a principle of equality towards all employees; permanent, part-time or contract staff.

On 10 December, a GFA was signed between IndustriALL, Norwegian trade union Fellesforbundet and Norske Skog, Norway’s largest paper manufacturer. The agreement states Norske Skog’s compliance with and respect for human and trade union rights, and a commitment to promote these rights in its supply chain and with its customers.

Jyrki Raina, general secretary of IndustriALL says:

“GFAs show that companies can do socially responsible business, and IndustriALL would like to see these kinds of agreements as an industry standard.”

Materials unions intensify global solidarity

The Bangkok Conference examined recent developments in the materials industries, and discussed the severe challenges that unions face, particularly job losses, deterioration in working conditions and the future of employment in the sectors. Particular attention was given to the campaign that the European trade unions conducted for the survival of the glass industry.

The delegates precarious work as one of the most threatening practices for workers in the materials industries all over the world on the basis of experiences and lessons learnt, and decided to pledge full support to IndustriALL’s worldwide fight to STOP Precarious Work. Health and safety issues were also debated with particular emphasis on occupational diseases in the sector.

Trade union networks and global framework agreements were also on the agenda of the meeting, and delegates underlined the importance of networking in multinational companies dominating materials sectors, such as Holcim, Lafarge, Saint Gobain, Asahi Glass, Nippon Sheet Glass and Owens Ilinois (O-I).

IndustriALL’s organizing and campaigning programme through experiences from Asia was intensely discussed. Sustainable industrial policy in the materials industries was part of the presentations and panels. The Future of sectors and employees were focused in the context of sustainability.

All working men and women deserve a clean and safe workplace; respect and fair treatment from their employer

said Newton B. Jones, Chairman of the IndustriALL Global Union’s Materials Industries Section, also International President of Boilermakers.

Today, by necessity, we commit to global unity.  We join hands.  We link arms.  And we stand together with our newly-formed federation of International labor unions as the IndustriALL Global Union.

He continued

To conclude, the delegates discussed and unanimously adopted an action plan for the sector covering the upcoming four years. The action plan includedthe following:

The Conference elected new leadership for the Section. Newton B. Jones of the Boilermakers of North America was re-elected as Chairperson while Rosemeire Theodoro dos Santos of CNQ-CUT of Brazil became Vice-Chairperson. Along with this, the delegates decided to create a Steering Committee where Peter Schuld from IG BCE of Germany, and Bambang Surjono from FSP-KEP of Indonesia will work together with the Chairperson and Vice-Chairperson.

“The delegates in the Bangkok Conference made very good discussions and adopted an action plan in line with IndustriALL’s general strategies”

said Kemal Özkan, IndustriALL’s Assistant General Secretary.

IndustriALL signs GFA with the Renault Group

The global framework agreement (GFA) signed on 2 July 2013 in Paris follows on from  the “Declaration of Employees’ Fundamental Rights” dated 2 October 2004.  The signing ceremony took place on the occasion of the annual meeting of the Group Works’ Council which this year coincided with the celebration of the 20th anniversary of the Committee.  

The new agreement consolidates the company’s commitments to ILO’s labour standards, including freedom of association and neutrality, and contains a number of major improvements in particular concerning skills, training, health and safety, and diversity. The wording on the responsibility of suppliers and subcontractors has been significantly strengthened and the respect for fundamental rights identified as a determining criterion in their selection.  The agreement also incorporates new commitments to environmental protection and sustainable development, as well as improved provisions on implementation and follow-up.  A committee composed of representatives of IndustriALL and management as well as members of the Works’ Council has been established to monitor the GFA’s effective implementation.  

In addition, the text opens the way for other global thematic agreements to be negotiated with IndustriALL in the future. IndustriALL’s General Secretary Jyrki Raina praised the major improvements to the 2004 Declaration and the open and constructive atmosphere that prevailed during the whole negotiating process.   In a joint press release he stated “The agreement contains significant improvements in the area of fundamental labour rights, notably concerning freedom of association, of health and safety, training and the environment.  IndustriALL applauds  Renault’s strong commitment to advance these rights at its suppliers and subcontractors and promote social dialogue at global level.”  Marie-Françoise Damesin  Executive Vice President, Human  Resources for the Renault group, said: “ I welcome the agreement, which reflects Renault’s commitment to corporate, social and environmental responsibility. It is the result of a responsible social dialogue built over 20 years internationally.” Jocelyne Andreu, Secretary of the Renault Group Works’ Council, expressed her satisfaction, saying “ This agreement is the result of several months of discussions and it symbolizes mature employer/employee dialogue. I am sure that its implementation will be a powerful lever for progress and success for the company and its employees”.

The Renault Group manufactures vehicles under three brands – Renault, Dacia and Renault Samsung Motors – and has an alliance with Nissan since 1999.  It operates in 118 countries with 38 production sites and employs 127,000 people worldwide.  In 2012 the Alliance inaugurated a plant in Tangier, Morocco, that is expected to have some 6,000 workers by 2015.

This new agreement is part of IndustriALL’s Action Plan, which calls for the establishment of regular social dialogue at global level to enable constructive industrial relations leading to global level negotiations.

IndustriALL and PSI reach global agreement with Enel

The new GFA defines a set of guidelines aimed to establish global level social dialogue, which is regarded as the pre-eminent approach in dealing with issues affecting the interests of the business and employees.

According to the new GFA, the Group undertakes responsibility to respect a series of fundamental principles contained in the UN's Universal Declaration of Human Rights, the UN guiding principles on Business and Human Rights, the fundamental conventions of the International Labour Organisation (ILO), the ILO Tripartite Declaration of Principles Concerning Multinational Enterprises and Social Policy and the UN Global Compact, as well as the OECD Guidelines on Multinational Companies -.

The parties agreed that the principles contained in all of the listed instruments are considered to be part of this agreement. With the GFA, “Enel will remain neutral (refrain from interfering in any way) and allow trade union access to workplaces during organizing campaigns for the purposes of communicating with employees pursuant to the legislation and the Industrial Relations systems in each country”. Recognizing the importance of permanent and secure employment, Enel adopts and promotes the ILO definition of “Decent Work”.

Among other instruments, the agreement foresees creation of a Global Works Council and three Multilateral Committees on health and safety, training and equal opportunities which will contribute to a proper social dialogue system representing all countries where the Group operates.

The new GFA argues that, “an industrial relations’ policy based on social dialogue offers a robust foundation for building and implementing a system that incorporates the Group's values and international culture which allows all employees to feel they are citizens in the countries where it operates, accepted and integrated into local communities, while retaining full respect for the specific conditions in each country.”

Rosa Pavanelli, PSI General Secretary,  appreciated the value of the agreement, has underlined the importance of its founding principles and the objectives of the new participatory system, declaring that the coherent application of these principles will be now the real challenge.

Commenting on the agreement Jyrki Raina, IndustriALL Global Union’s General Secretary said, “IndustriALL welcomes Enel’s strong commitment to develop global level dialogue with workers and their unions, with focus on workers’ rights, health and safety, training and equality.” 

Enel Group has nearly 74,000 employees across the globe and operates a wide range of hydroelectric, thermoelectric, nuclear, geothermal, wind, solar and other renewable power plants operating mainly in Europe and Latin America. The Group holds 92 percent of the shares of Spanish Group Endesa with which IndustriALL’s founder organization ICEM had signed a global agreement.

IndustriALL Executive launches action on sustainable industrial policy

Representing 50 million workers from a range of industrial sectors, IndustriALL Global Union wants to push for recognition of the importance of industry to national economies and as providers of good quality jobs.
 
The Executive Committee endorsed a comprehensive action plan on sustainable industrial policy to:

Robust discussions were held around the issues of trade union networks and global framework agreements (GFA) with multinational companies (MNC). IndustriALL Assistant General Secretary Kemal Özkan reported on newly established trade union networks at International Paper, Sappi, Saint Gobain and Owens Illinois.  This year 21 company and sectoral networks will meet to build solidarity and joint action.
 
Both positive and negative examples of GFAs have been experienced by IndustriALL affiliates.  The Executive decided to set up a working group to monitor the contents and proper implementation of GFAs, and to work on a Charter of Principles to Confront Corporate Bad Behaviour, proposed by Workers’ Uniting.  
 
IndustriALL has concluded over 40 GFAs with major companies.  Recently, a revised GFA was signed with Lafarge, and on 14 June a new GFA with Italian electric power utility Enel will be signed.  The agreements contain improved language on permanent employment over precarious work and neutrality on organizing.  New processes have been initiated with French oil and gas company Total, and the mining giant Anglo American.  
 
The Executive established a working group for developing a new affiliation fee system by the next Congress.
 
The Committee approved the affiliation of the eight unions from Argentina, Democratic Republic of Congo, Uganda, Nigeria, Moldova, Tunisia, and the first new independent union from Egypt, the electricity workers’ union.
 
The Executive Committee decided to meet on 4-5 December in Tunis as a show of support for democratic development  in Tunisia after the revolution that launched the Arab spring in 2011.

Global unions renew agreement with Lafarge

This new agreement promotes Lafarge’s commitment to international fundamental labour rights, recognizes the principles expressed in the UN Guiding Principles on business and human rights and upholds best practices regarding union rights and social dialogue.

The new redaction has a substantially improved language regarding respect by the company of the core International Labour Organization Conventions 87 and 98 on freedom of association and collective bargaining, settlement of disputes as well as application of the agreement across the company’s subsidiaries and supplier chain. A special group consisting of the representatives of signatories will meet at least once a year to follow up and review the implementation of the agreement.

The new Global Agreement also reinforces Lafarge actions in fields like health and safety or diversity thanks to new statements and a direct reference to the Group strategy with its “2020 Ambitions” on sustainable development.

The signing ceremony took place in the ILO headquarters in Geneva, Switzerland in presence of the ILO Director General Guy Ryder. Bruno Lafont, Lafarge Chairman and CEO signed the agreement on behalf of the Lafarge Group, the signatories from the union side were Jyrki Raina, IndustriALL General Secretary and Ambet Yuson, BWI General Secretary.

BWI General Secretary Ambet Yuson states that "especially the commitments of Lafarge to apply agreed standards in its subcontractors and the commitment of the company and its subcontractors for direct employment are beyond those of its competitors and therefore standard setting for the cement industry”.

IndustriALL’s General Secretary, Jyrki Raina, states that for IndustriALL Global Union, "the provisions in the renewed agreement represent significant improvements for workers and trade unions, especially the provisions on freedom of association, subcontractors and the settlement of disputes. It is crucial to improve social dialogue between trade unions and management for the betterment of living and working conditions for cement workers across the world”.

Lafarge Chairman and CEO, Bruno Lafont  expressed his satisfaction regarding this new agreement: “This agreement highlights the constant and positive dialogue between the Group and the Global Union Federations. It illustrates  the coherence of our actions with our values in all our countries of operations”.

Lafarge is the world leader in building materials, holds top-ranking positions in all three of its activities:  Cement, Aggregates & Concrete. Lafarge employs 65,000 people in 64 countries.

The text of the press release is available on the link http://www.industriall-union.org/bwi-industriall-global-union-and-lafarge-sign-a-new-global-framework-agreement.